Feet on the Street: Residential momentum slows; office lacklustre Industry context Our data analysis shows that primary residential market volume saw a slowdown in June-July and unsold inventory remains high in some cities, while the office market remains challenging. Key conclusions: (1) Residential volume in markets such as Mumbai, Noida/Greater Noida and Chennai fell...
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Sachs India Ltd.(India: Real Estate Developers)
Buy Larsen & Toubro Ltd.
Target Price: Rs1,877.00 CM Price: Rs 1,608.00 Investment Conclusion Order inflow activity has revived substantially for L&T in the recent past. As a result, the downside risk to inflows/earnings have subsided. We increase our inflow estimate by 8-9% over FY10 and FY11. Accordingly, our sales and EBITDA estimates are raised by 5% in FY11...