Sunteck Realty Limited

Real Estate — Real Estate - Development · NSE

₹276.60+₹2.50 (+0.91%)

DalalBaazaar Score

69 / 100

🟢 Good

Verdict

NEUTRAL

Risk

Moderate

Driven by negative free cash flow, micro-cap size, which brings thin liquidity.

In simple words: The business is earning a fairly low return on the money invested in it, with modest growth. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:03 pm

Understanding the Business

Company site ↗

The 60-second version of Sunteck Realty Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Sunteck Realty Limited, together with its subsidiaries, engages in real estate construction and development in India.

IndustryReal Estate - Development

SectorReal Estate

Employees582

Annual revenue₹1,112 Cr

How does it make money?

Turns over ₹1,112 Cr a year. Of every ₹100 of sales, about ₹18 reaches shareholders as profit, with ₹30 left at the operating level before interest, tax and depreciation. Each of its 582 employees supports ₹1.91 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.91 Cr

Who are its competitors?

The closest listed comparisons in its industry are DLF LIMITED, GODREJ PROPERTIES LTD, OBEROI REALTY LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Little sign of one

Returns on capital of 6.6% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

Peer median ROE10.3%

What is the outlook?

10 analysts covering the stock expect revenue to grow about 17.2% and earnings to grow about 16.1% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+17.2%

Est. earnings growth+16.1%

Analysts10

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +216% while net margin moved +4496% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+216%

Margin effect+4496%

DalalBaazaar Score

69/ 100

Good

Weighted across six categories. Every point is explained below.

• Beta of 0.85 — moves roughly with the market
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

72/ 100

Good

How good the business is, ignoring the share price entirely.

Valuation

80/ 100

Cheap

What you are being asked to pay, ignoring how good the business is.

A good business currently available at an undemanding price — the combination this framework is built to look for.

Historical Valuation

Current P/E

19.0x

3Y Median

83.2x

40 monthly readings · mean 1434.8x · range 19.7x–6005.5x

Sector Median

30.2x

median of 3 sector peers

🟢Current valuation is approximately 77% below its 3y median of 83.2x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟢Against its sector it trades 37% below the peer median of 30.2x.

vs. its own history

Cheap

83.2x median over 40 months · -77%

vs. sector peers

Cheap

30.2x median of 3 peers · -37%

vs. generic bands

Fair

15x–35x

EV/EBITDA

14.1x

PEG

0.04

What's Good / What's Bad

🟢 What's Going Well5

Margins are improving
EBITDA margin is up from 28.3% to 30.5% over 3 years.
Return on equity is rising
ROE has improved from 0.1% to 5.7%.
Return on capital is rising
ROCE has improved from 2.8% to 6.6%.
Very low debt
Debt/Equity of 0.17x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

2 items require attention · 1 high · 1 watch

🔴Profit up while operating cash flow fallsFinancial
Reported profit rose but cash generated by operations declined — worth checking whether earnings are being supported by non-cash items or working capital.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹589 Cr in the latest year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 28.3% to 30.5%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Priced below its own history
The stock trades 77% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Cheaper than its peers
It trades 37% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 35% a year✓ 46.7% CAGR
Latest reported year was 1.7%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 28%✓ 30.5%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.3x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Free cash flow remains positive✗ -₹589 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 8%✗ 6.6%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

8 / 12 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

4 good · 4 neutral · 3 weak

Market Cap

₹4,062 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

19.0x

Fair

Fairly valued against the generic band

P/B Ratio

1.12x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹14.53

Profitable

Profitable on a per-share basis

ROE

5.7%

Weak

Weak capital efficiency

ROCE

6.6%

Weak

Low return on total capital employed

Debt/Equity

0.17x

Low

Conservative leverage

Revenue Growth (YoY)

1.7%

Modest

Modest growth

Profit Growth (YoY)

26.3%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.54%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

-₹589 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

P/E (Forward)

12.5x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

32.9%

Good

Healthy core-business profitability

Net Margin

18.9%

Good

Strong bottom-line conversion

Current Ratio

1.81

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.85

Market-like

Moves roughly in line with the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

279.2 / 290.0

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

38.0

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹352 Cr	₹559 Cr	₹848 Cr	₹1,112 Cr	+46.7%
EBITDA	₹100 Cr	₹179 Cr	₹237 Cr	₹339 Cr	+50.3%
EBITDA Margin	28.3%	32.0%	28.0%	30.5%	—
PAT (Net Profit)	₹1 Cr	₹71 Cr	₹150 Cr	₹204 Cr	+425.4%
EPS	₹0.1	₹4.99	₹10.26	₹13.94	+418.5%
ROE	0.1%	2.3%	4.6%	5.7%	—
ROCE	2.8%	4.8%	6.5%	6.6%	—
Total Debt	₹684 Cr	₹375 Cr	₹387 Cr	₹774 Cr	+4.2%
Free Cash Flow	₹265 Cr	₹48 Cr	₹157 Cr	-₹589 Cr	—

🟢 Revenue has grown at 46.7% a year over 3 years.

🟢 EBITDA has grown at 50.3% a year over 3 years.

🟢 EBITDA Margin has risen from 28.3% to 30.5% over 3 years (+2.1 pts).

🟢 PAT (Net Profit) has grown at 425.4% a year over 3 years.

🟢 EPS has grown at 418.5% a year over 3 years.

🟢 ROE has risen from 0.1% to 5.7% over 3 years (+5.6 pts).

🟢 ROCE has risen from 2.8% to 6.6% over 3 years (+3.8 pts).

🔴 Total Debt has grown at 4.2% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹265 Cr to -₹589 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹9,913 Cr

Total Liabilities

₹5,441 Cr

Cash & Equivalents

₹54 Cr

Operating Cash Flow

-₹433 Cr

Capex

-₹157 Cr

Shareholding (proxy)

Institutional Holding

15.2%

Insider Holding

63.0%

Corporate Actions

Dividend Rate

₹1.5

Ex-Dividend Date

17 Sept 2026

Analyst Consensus

Recommendations

10 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹489.5

+77.0% vs CMP

Target Range

₹380 – ₹560

Peer Comparison

Company	P/E	ROE
DLF LIMITED	36.6x	10.3%
GODREJ PROPERTIES LTD	30.2x	8.4%
OBEROI REALTY LIMITED	23.5x	14.7%

Recent News

1 positive4 mixed1 general

SUNTECK Forecast — Price Target — Prediction for 2027

TradingView, 25 JunAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Sunteck Realty vs Nifty 50: 1Y Return -38.99% vs -10.93%

Univest, 12 Oct

MOFSL reiterates 'Buy' on Sunteck Realty post Q1 results; sees 69% upside

Business Standard, 23 JulResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Sunteck Realty Q2FY27 Results: Earnings call scheduled for October 27, 2026

scanx.trade, 15 OctResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Sunteck Realty (NSEI:SUNTECK) Stock Forecast & Analyst Predictions

Simply Wall Street, 08 SeptAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Sunteck Realty share price rises 12% as Q4 net profit up 27% to ₹64 crore, dividend announced; check key numbers

Upstox, 21 AprCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

Watch Items

Trading very close to its 52-week low — worth checking whether this reflects a temporary setback or a structural problem.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Growth · Profitability · Valuation

WeakRisk

Points for each in the Score ↑

Attractive on both counts

A good business currently available at an undemanding price — the combination this framework exists to look for. The work left is qualitative: whether the advantage the numbers imply is one you can identify and expect to last. 1 high-severity red flag sits above this conclusion and should be read first.

3 of 5 tripwires tripped — Debt / EBITDA stays below 2x; Free cash flow remains positive; ROCE stays above 8% · see Key things to watch ↑