Monday, 17 November 2008

Buy Sobha Developers, target of Rs 155: Emkay Global

Emkay Global Financial Services has maintained its buy rating on Sobha Developers with a target of Rs 155 in its November 7, 2008 research report. "Net revenues decreased by 9.3% YoY to Rs 3.0 billion. PAT decreased by 13.0% YoY to Rs 490 million. We are revising our NAV estimates to Rs 367 / share (previous Rs 973), due to a) increase in cost of funds b) delay in projects c) factoring current net debt d) decrease in average realisations and rentals from commercial properties and e) increase in cap rate. We however maintain our BUY rating on the stock with target price of Rs 155 (earlier Rs 554) based on 60% discount to NAV and 2x EV / EBITDA of its contractual income," says Emkay Global Financial Services' research report.

Disclaimer: The views and investment tips expressed by investment experts on are their own, and not that of the website or its management. advises users to check with certified experts before taking any investment decisions.

Source: Moneycontrol

No comments:

Post a Comment

DISCLAIMER: The author is not a registered stockbroker nor a registered advisor and does not give investment advice. His comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to buy or sell a stock, option, future, bond, commodity, index or any other financial instrument at any time. While he believes his statements to be true, they always depend on the reliability of his own credible sources. The author recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction, before making any investment decisions, and that you confirm the facts on your own before making important investment commitments.