HDFC Securities is bullish on Sobha Limited
The real estate sector in the Indian stock market is once again shining in the eyes of investors. A well-known brokerage firm of the country has made such a prediction regarding the shares of a leading company in this sector, which can bring a smile on the faces of investors. We are talking about Sobha Limited, a leading real estate company, whose shares are expected to rise by 67 percent from the current price. By 2 pm on Wednesday, October 8, this stock was trading with a slight decline at the level of Rs 1463.70.
Quarterly results raised hopes
Brokerage House HDFC Securitiesis significantly impressed by the second quarter performance of Sobha Limited. According to the recent report of the firm, the company has performed brilliantly on the sales front in the second quarter of the current financial year (Q2 FY26). The most interesting thing is that without launching any major new project, the company has registered a tremendous sales of about Rs 1,939 crore in this quarter. If we look at the total figures for the first half, it comes to around Rs 3,980 crore.
These strong sales figures indicate that the company is moving fast on the path to achieving its ambitious target of sales of more than Rs 10,000 crore in the entire financial year. HDFC Securities estimates that the company may see a huge growth of 70% year-on-year in sales in FY 2026, which will take it beyond Rs 10,000 crore.
Why is brokerage bullish on this stock?
Now the question arises that why is the brokerage firm reposing so much trust in Sobha Limited? Two concrete reasons have been given behind this. The first and most important reason is the future plans of the company. Sobha Limited is soon preparing to launch many new and big projects in the fastest growing real estate markets of the country, such as Bengaluru, NCR (Delhi-NCR) and Pune.
The second big reason is the company’s own reputation and capability. The brand identity of Sobha Limited is very strong in the market, due to which it enjoys the trust of its customers. Additionally, the company’s ability to price its projects right and its excellent track record of completing projects on time set it apart from others. However, the report also believes that there may be some pressure on the company’s profit margins in the short term, but due to the pace of work on projects, use of its own land and strong hold on prices, Sobha’s profit earning capacity is expected to improve in the long term.
You can get 67 percent profit
HDFC Securities is completely ‘bullish’ on the stock of Sobha Limited. While advising investment in this stock, the brokerage has fixed its target price at Rs 2,459. If compared with the current price of Rs 1,469, it shows a direct profit of about 67 percent. However, before making any investment, it is important to take a look at the past performance of the stock. In the last six months, this stock has given a good return of 27 percent to its investors. But, if we look at the yearly figures, it has come down by 16 percent. At the same time, since the beginning of the year 2025 till now this share has fallen by about seven percent.
Disclaimer: This article is for information only and should not be considered as investment advice in any way. TV9 Bharatvarsh advises its readers and viewers to consult their financial advisors before taking any money-related decisions.