Prabhudas assigns ‘outperformer’ to Peninsula Land; target Rs 129
Prabhudas Lilladher has recommended ‘outperformer’ to Peninsula Land for a target price of Rs 129, an upside of 94.9 per cent from the current level.
By ET Online |
MUMBAI: Prabhudas Lilladher has recommended ���outperformer��� to Peninsula Land for a target price of Rs 129, an upside of 94.9 per cent from the current level. The company declared weak results for Jan-Mar of 2007-08. This was primarily on account of the stop-work notice issued by the Municipal Corporation of Greater Mumbai, whereby the company had to stop work on four of its Mumbai projects in Oct-Dec 2007-08 and Jan-Mar 2007-08.
The company resumed some part of the work in March 2008, while the notice was fully withdrawn with effect from April 2, 2008. Topline for the quarter witnessed 8 per cent year on year decline, while profit after tax witnessed 42 per cent decline.
The company booked 65 per cent of its quarterly revenue from Ashok Towers, a residential project located in Parel. While 94 per cent of the project has been pre-sold, 55 per cent construction has been completed. PLL booked another 13 per cent of its revenue from Peninsula Business Park and 17 per cent from the sale of TDRs, which were generated from the company���s Bhandup project.
PLL has four on going projects in Mumbai, which are likely to drive its revenue and profits over 2008-09 and 2009-10. Prabhudas expects revenue growth of 117 per cent accompanied with profit after tax growth of 119 per cent.
Prabhudas estimate of the company���s NAV, excluding the SEZs, which have not been notified (as well as the newly acquired land at Hyderabad) stands at Rs 101, while they have attributed a value of Rs 28 to the realty fund.
At the market price, the company is trading at 34 per cent discount to the NAV.
The company resumed some part of the work in March 2008, while the notice was fully withdrawn with effect from April 2, 2008. Topline for the quarter witnessed 8 per cent year on year decline, while profit after tax witnessed 42 per cent decline.
The company booked 65 per cent of its quarterly revenue from Ashok Towers, a residential project located in Parel. While 94 per cent of the project has been pre-sold, 55 per cent construction has been completed. PLL booked another 13 per cent of its revenue from Peninsula Business Park and 17 per cent from the sale of TDRs, which were generated from the company���s Bhandup project.
PLL has four on going projects in Mumbai, which are likely to drive its revenue and profits over 2008-09 and 2009-10. Prabhudas expects revenue growth of 117 per cent accompanied with profit after tax growth of 119 per cent.
Prabhudas estimate of the company���s NAV, excluding the SEZs, which have not been notified (as well as the newly acquired land at Hyderabad) stands at Rs 101, while they have attributed a value of Rs 28 to the realty fund.
At the market price, the company is trading at 34 per cent discount to the NAV.
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