Real Estate Sector Outlook - Scale-Up In Launches To Exit FY23 On A High Note: Motilal Oswal

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .Motilal Oswal Report.Inventories across most of the companies under our coverage universe have declined to below 12 months as absorptions have exceeded launches over the last six quarters. We thus expect launches for our coverage universe to pick-up in Q4 FY23 to a multi-quarter high leading to 42% YoY growth in pre-sales. Operational update reported by a few companies indicates a pre-sales growth of 12%/11% YoY in Q4 FY23/FY23. According to Knight Frank, demand in top-eight cities has sustained at ~80,000 units in Q4 FY23. Further, with a surprise pause by the Reserve Bank of India, interest rate will unlikely be a dampener on demand from hereon and we expect the industry to grow at 5-10%. While Mumbai Metropolitan Region, Pune and Hyderabad have posted an increase in inventories, overhang continues to remain under control at 18 months for top eight cities. Hence, the industry will continue to witness gradual price hikes. We reiterate our constructive outlook on the industry and prefer players with high pre-sales growth potential. .Click on the attachment to read the full report:.Real Estate Q4 Results Preview - Stable Performance: HDFC Securities.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Real Estate Sector Outlook - Scale-Up In Launches To Exit FY23 On A High Note: Motilal Oswal

Demand momentum sustains; interest rate unlikely to be a dampener.

Choose a plan