Target: ₹494CMP: ₹307.10Sunteck Realty reported 20 per cent y-o-y pre-sales growth to ₹790 crore in Q1-FY27, driven by healthy booking momentum across its portfolio, particularly at Vasai, Mira Road and Naigaon. Collections were up 17 per cent y-o-y to ₹410 crore, in line with pre-sales growth, however collection to pre-sales ratio was flat at 52 per cent in Q1-FY27 (v/s 53 per cent y-o-y).Management highlighted that demand continues to be strong across all its micro-markets and on the pre-sales concluded in FY26 and Q1FY27, embedded margins on these projects was in the range of 35-40 per cent.Net OCF before business development (BD) came in at ₹190 crore (+78 per cent y-o-y), and the company spent ₹170 crore towards BD/JDA cost.Sunteck has unsold inventory of ₹8,400 crore across ongoing projects and has un-launched inventory pipeline of ₹38,300 crore which provides healthy pre-sales visibility going ahead. This pipeline offers 3–4 years of launch visibility, and the company plans launches totalling ₹7,100 crore GDV over the next three quarters across Andheri, Vasai, Naigaon, Goregaon and Mira Road.With strong inventory pipeline, we expect Sunteck to register pre-sales growth of 27 per cent CAGR over FY26-28E. Furthermore, cashflows are expected to remain strong on back healthy construction progress.We retain our Buy on Sunteck with a TP of ₹494 as the stock trades at attractive level of 0.6x of NAV.Key Risks: Sluggish macro, weak launches, slow sales momentum.Published on July 28, 2026