Realty Stocks to BUY or SELL: At a time when the Indian stock markets are struggling to deliver good returns, realty stocks are among the outliers that have stood strong during these tough times for the equity market.
Nifty Realty PerformanceIn the short-term period, the Nifty Realty index has performed well, gaining nearly 0.5 per cent over the last week. Over the last month, the index rose by more than 4.5 per cent. The gains become even more striking over a longer timeframe, as the realty index surged over 22 per cent in the last three months, reflecting the resilience shown by the sector.
Oberoi Realty Share Price Target 2026
Elara sees over 40% Upside
Oberoi Realty has received a BUY rating from brokerage firm Elara Capital. The brokerage has maintained a price target of Rs 2,500. This target implies an upside of 42.5 per cent from the current price level.
The current market price of the realty stock stands at Rs 1,754.50, after settling 0.3 per cent higher (up Rs 4.75) in the previous session. (Oberoi Realty Share Price)
Oberoi Realty Stock Outlook
The stock’s growth outlook from the brokerage is primarily driven by new orders and upcoming construction projects in the pipeline.
Elara Capital said Oberoi Realty’s maiden Gurugram project, 360 North, is expected to generate sales exceeding Rs 20 billion, making it the developer’s most successful launch in terms of sales.
The project’s launch pricing of Rs 33,500 per square foot represents a premium of up to 40 per cent over recently launched projects on Golf Course Extension Road. A payment schedule of 70 per cent spread over 48 months is attracting both end users and investors.
The success of 360 North is expected to accelerate expansion in the NCR region. Oberoi has added around Rs 500 billion of residential pipeline in FY24–26, expanding its presence to 16 micro markets.
Q1FY27 presales are estimated at Rs 13 billion, supported by sustenance sales and contributions from Carter Road.
The brokerage further believes that the stock is trading at a 10 per cent discount to the March 2027 estimated net asset value, based on company estimates and data reports.
Lodha Developers Share Price Target
Morgan Stanley maintains Equal Weight
Unlike Oberoi Realty, Morgan Stanley is less enthusiastic about Lodha Developers. The global brokerage has assigned an Equal Weight rating for the stock, while maintaining a price target of Rs 1,130. This target reflects an upside of over 20 per cent from the current market price of Rs 940. (Lodha Developers share price)
Lodha Developers Stock Outlook
Morgan Stanley noted that Lodha Developers has delivered a pre-sales CAGR of 28 per cent since its April 2021 listing, with leverage falling from 5x to 0.23x.
The brokerage cited FY31 targets of Rs 85 billion in sales and 20 per cent return on equity, with a market share of 3.5 per cent across India’s top six cities. It also projected FY27 pre-sales guidance of Rs 240 billion.
Additionally, rental income is expected to rise from Rs 3 billion in FY26 to Rs 30 billion by FY32, including over Rs 20 billion from data centre assets. The median unit price stands at Rs 30 million. The stock trades at 19x FY28 P/E.
| Realty Stocks Name | Share Price Target | Recommendation | Upside% |
| Oberoi Realty | Rs 2,500 | BUY | ~42.5% |
| Lodha Developers | Rs 1,130 | Equal Weight | ~20% |
(Disclaimer: The above article is meant for informational purposes only and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money-related decisions.)
