Tuesday, 26 May 2015

SUNTECK REALTY LTD. - RESULT UPDATE

Sunteck Realty Ltd. posted on the blog at 280 on 11th April 2015.
Company has announced March 2015 quarter numbers today.
 
Total FY2015 sales are around 302 crores, Total FY2015 net profit is around 68 crores.
Both the quarterly and the annual numbers this time around are not important. As the company is following project completion method to report its numbers it is only in FY 2017-2018 when we can expect the numbers to massively bump up on back of project completion.
 
Mr Kamal Khetan on the phone-call with CNBC TV-18 has already clarified that the results are only looking bad due to the project completion method being followed and already the unrecognized sales are around 2000 crores waiting to hit the books. He also said that FY16 peformance will be at par with FY14 so again almost 1000 crore top line expected in FY16.
 
This is a not so important result announcement here and real wealth will be made when in FY17/18 topline of 2800 crores and EPS of 70 is expected taking the stock to Rs 2100 per share at a P/E valuation of 30.
 
Today the stock crashed to 245 after the results were flashed on the business channels but as soon as the markets realized the importance of these numbers the stock has bounced back to around Rs 260.
 
 This is a quality real-estate stock which can make huge wealth for share-holders in the long run, So its a hold for this Under-construction MULTIBAGGER.
 

10 comments:

  1. Replies
    1. Not sure what you mean.. but in Sunteck i am expecting big wealth creation by year 2018.

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  2. Sir, what is ur take on vidhi dye at cmp.. how much can we expect in the medium term?

    ReplyDelete
    Replies
    1. Vidhi Dyes is already blogged about here: http://theaceinvestor.blogspot.in/2014/12/value-pick-vidhi-dyestuffs.html

      Bullish on it

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    2. i know sir..Asked u this because the stock has already rallied by 50% from ur recommendation. Wanted to know if I can still invest in it since I am a new follower of ur blog and hence had missed the party..

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  3. Dear Premji,
    Even the market is good Richa ind is moving southward daily any reason for the downward i have 4500 shares at an average price of 33.5/- can i buy now and average or book loss pls advice.

    Thanks

    Amudhan

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  4. Sir. If the Sales are 302cr, NP is 68cr. Therefore assuming the same pace, if the sales are 2800 cr, NP is 630 cr. Therefore on an equity of 11.99 crores, the EPS comes to 105.

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    Replies
    1. I am factoring in some increased costs that will not keep such a net profit margin intact.

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  5. Wud request u 2 analyse INDIAN INFOTECH ,HEAVILY INVESTED

    ReplyDelete