Sobha Ltd (SOBHA)

Sobha Ltd's Financial Indicators Raise Concerns - 10 May, 2024

Sobha Ltd's low ROE of 3.6% and declining net income by 32% over the last five years raise concerns about its financial health. The company has a high payout ratio, indicating that dividend payments are prioritized over business growth. Analyst estimates suggest a drop in future payout ratio to 9.6%, with an expected rise in ROE to 18%.

Karnataka High Court Pulls Up Govt Over Non-Functional RERA Tribunal - 18 Apr, 2024

The Karnataka High Court has criticized the government for not filling up vacancies in the Real Estate Regulatory Authority (RERA) tribunal, leading to a non-functional tribunal. This has impacted the case of a buyer in Sobha City project, developed by Sobha Ltd., which has been pending for five years due to the absence of a chairman and requisite quorum at the tribunal.

Sobha Ltd's Share Price Rises 26% in a Month - 13 Apr, 2024

Sobha Ltd's share price has surged by 26% in the past month, resulting in an annual gain of 261%. However, investors are cautious due to the company's lower P/S ratio and limited future growth expectations. Analysts predict revenue growth of 29%, which is lower than the industry average of 40%. As a result, it's unlikely that the share price will rise significantly in the near future.

Sobha Records Best-Ever Pre-Sales in FY24; Stock Surges Above Consolidation - 11 Apr, 2024

Sobha Ltd's stock has rallied 257.17% in the past year, outperforming sub-index Nifty Realtys. Brokerage Nuvama Institutional Equities maintains its Buy call on Sobha with a revised target price of Rs 1,876. Sobha recorded best-ever pre-sales in FY24 valued at Rs 6,640 crore.