OBEROIRLTY - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.7
| Stock Code | OBEROIRLTY | Market Cap | 60,668 Cr. | Current Price | 1,666 ₹ | High / Low | 2,006 ₹ |
| Stock P/E | 30.6 | Book Value | 443 ₹ | Dividend Yield | 0.48 % | ROCE | 15.5 % |
| ROE | 13.0 % | Face Value | 10.0 ₹ | DMA 50 | 1,620 ₹ | DMA 200 | 1,631 ₹ |
| Chg in FII Hold | -1.16 % | Chg in DII Hold | 1.12 % | PAT Qtr | 570 Cr. | PAT Prev Qtr | 486 Cr. |
| RSI | 53.8 | MACD | 2.73 | Volume | 2,94,298 | Avg Vol 1Wk | 3,02,844 |
| Low price | 1,390 ₹ | High price | 2,006 ₹ | PEG Ratio | -6.16 | Debt to equity | 0.18 |
| 52w Index | 44.8 % | Qtr Profit Var | 84.3 % | EPS | 54.1 ₹ | Industry PE | 26.6 |
📊 Financial Overview: Oberoi Realty has a market cap of ₹60,668 Cr with a current price of ₹1,666. The 52-week range is ₹2,006–1,390. Profitability is strong with ROE at 13.0% and ROCE at 15.5%. Debt-to-equity ratio of 0.18 indicates very low leverage. PAT rose to ₹570 Cr from ₹486 Cr, showing healthy growth. EPS stands at ₹54.1, reflecting solid earnings power.
💰 Valuation Indicators: Stock P/E is 30.6, slightly above the industry average of 26.6, suggesting mild overvaluation. Book value is ₹443, giving a P/B ratio of ~3.76. PEG ratio is negative (-6.16), indicating valuation concerns relative to earnings growth. Intrinsic value appears close to current levels, offering limited margin of safety.
🏢 Business Model & Competitive Advantage: Oberoi Realty is a leading real estate developer with strong presence in premium residential and commercial projects. Its competitive advantage lies in brand reputation, execution capability, and focus on high-margin luxury developments. Low debt and consistent profitability strengthen its position.
📈 Entry Zone & Long-Term Guidance: The stock is trading near fair value. A better entry zone would be ₹1,500–1,600, closer to support levels. Long-term holding looks favorable given strong fundamentals, provided valuation moderates and earnings growth sustains.
Positive
- 📈 [Strong Profit Growth](ca://s?q=Oberoi_Realty_quarterly_profit_growth): PAT rose from ₹486 Cr to ₹570 Cr QoQ.
- 🏦 [Low Debt](ca://s?q=Oberoi_Realty_debt_to_equity): Debt-to-equity ratio of 0.18 shows financial strength.
- 📊 [Healthy Returns](ca://s?q=Oberoi_Realty_ROE_ROCE): ROE at 13.0% and ROCE at 15.5% are strong.
Limitation
- ⚖️ [Valuation Premium](ca://s?q=Oberoi_Realty_PE_ratio): P/E of 30.6 compared to industry average of 26.6.
- 💸 [Low Dividend Yield](ca://s?q=Oberoi_Realty_dividend_policy): Dividend yield at 0.48% is modest.
- 📉 [Negative PEG](ca://s?q=Oberoi_Realty_PEG_ratio): PEG ratio of -6.16 reflects valuation concerns.
Company Negative News
- 📊 [FII Exit](ca://s?q=Oberoi_Realty_FII_holdings): FII holdings decreased by -1.16%.
Company Positive News
- 📈 [Profit Surge](ca://s?q=Oberoi_Realty_PAT_growth): Quarterly profit growth of 84.3% indicates strong momentum.
- 🏗️ [Project Pipeline](ca://s?q=Oberoi_Realty_new_projects): Expansion in premium residential and commercial projects supports growth.
Industry
- 🏢 [Real Estate Sector](ca://s?q=India_real_estate_industry): Industry PE at 26.6, showing moderate valuation.
- 📊 [Growth Drivers](ca://s?q=India_real_estate_demand): Rising urbanization, housing demand, and commercial expansion drive sector growth.
Conclusion
⚖️ Oberoi Realty’s fundamentals are strong with healthy profitability, low debt, and robust project pipeline. While valuations are slightly above industry averages, long-term prospects remain favorable. Entry is advisable near ₹1,500–1,600 for better risk-reward. Overall, it is a solid candidate for long-term holding, provided earnings growth continues.