Share Review - Indiabulls Real Estate - Target Price Rs. 155

A. K. Prabhakar

Investment Rationale - Indiabulls Real Estate 

#  Ongoing projects -  Key focus: Chennai, Mumbai, Delhi,

#  Lower net debt / Lower leverage

# Blip Industry scenario - though -  Structural positive in longer run

#  Value unlocking after power business hived off

# Q2 FY 2012 results surprise on revenue and operating level


 Valuations :

The Indian real estste sector underperformance has de-rated stocks across the board providing select opportunities.
Indiabulls Real Estate (IBREAL) is one company with lower leverage and good track record. We feel once the pick up in the real estate sector will benefit the company gradually. At CMP the company is at its 52 week low and trades at 12.4x and 9.8x FY12E and FY13E earnings respectively.
One can Buy for a price target of Rs. 155 for a time horizon of next Two years.

Review By Anand Rathi 
Mr. A. K. Prabhakar
Senior Vice President - Equity Research
akprabhakar@bloomberg.net
Victoria House. Ground Floor,
Kamala Mill Compound Opp. Bombay Dyeing Gate,
Pandurang Budhakar Marg,
Lower Parel Mumbai - 400 013.
www.rathi.com
Tel No:  +91 22 6626 6666 | Direct:  +91 22 6626 6608
FaxNo: +91 22 6626 6544 |

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