Sunday, May 23, 2021

Macrotech Developers Ltd (543287) – A debt-free company in next three years

Macrotech Developers Ltd (543287) closes   at 644.30  with  a   Gain  of   +2.60%   on    21-May-2021  with formation of  a  Green  Candle    on Daily  Price Chart.

About the Company : Macrotech Developers Limited, formerly Lodha Developers Limited, is a residential developer. It is engaged in developing real estate across the residential and commercial sectors in the Mumbai, Pune and in London. Its residential portfolio comprises of luxury, high-end and aspirational developments. It also develops office and retail projects across markets as standalone developments and in mixed-use format. It is developing several apartment projects, such as the World Towers at Lower Parel, Trump Tower Mumbai at Worli and Lodha Altamount at Altamount Road. In its high-end residential category, it is developing projects, such as The Park at Worli, Lodha Venezia at Parel, and New Cuffe Parade at Wadala. Aspirational residential category consists of several projects, including Lodha Eternis at Andheri, Lodha Luxuria Priva at Thane, Lodha Splendora at Thane and Lodha Belmondo at Pune. Its brands include Lodha, Lodha Luxury and Palava.

Strength : 1.Macrotech Developers is targeting to bring down its net debt to zero over the next three years from the current borrowing level of around Rs 16,000 crore

2..Cos will do Rs 9,000 crore or upward of sales for FY2022.

3. Company will double its investment on construction to Rs 2,800 crore in this fiscal.

Financials : Macrotech Developers Ltd has posted Net Sales / Revenue   of ₹ 5449.00 Cr & Net Profit of 40.00Cr in FY2021 and expected to post Net Sales / Revenue   of ₹9000.00 Cr & Net Profit of 1927.80 Cr in FY2022.

 

Valuations  : The Company is now Trading at X 43.50  of its  valuations ( FY2021  earnings considered here) and at X0.90 of its FY 2022 earnings , which is now almost  ~10%  Discount.   

Growth Rate for this cos is 160%, which justify its higher multiple valuation,

If We factor its earnings/valuations, its Price arrives at 714 with consideration FY2022 earnings.

Disclaimer : We are / may going to take exposure shortly.

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The author tracks economic, behavioural and corporate tends, hoping to gauge good avenues of return based on Fundamental Valuations of Stocks, a follower of EPV method. You can reach me/us at | Twitter # NiftyNext1 |  e-Mail : Mail@NiftyNext.Com  |  Tel +91 8802230836  |  Telegram # TheNiftyNext   |

 

 


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