The stock hit a record high of Rs 874.30 today. The stock has surged 185% in one year.
The brokerage highlighted Anant Raj's strategic shift from real estate to a diversified model, focusing on data centers and cloud services. This aligns with India's growing demand for data localization and digital transformation. The company's robust real estate sales and increasing rental income from its data center and cloud operations further strengthen its position.
With a planned 300MW data center capacity over the next 4-5 years, Anant Raj leverages its existing technology parks to optimize execution and reduce costs. The partnership with Orange to offer cloud services (IaaS) promises significant profitability potential, with cloud capacity expected to reach 25% by FY32.
Strong pre-sales, collections, and operational cash flows support the company's growth trajectory. While execution risks persist, the brokerage anticipates substantial revenue and EBITDA margin expansion, driving long-term value creation.
Anant Raj is a diversified real estate company focused on developing IT parks, hospitality projects, data centers, office complexes, shopping malls, and residential projects in India. The company has a strong presence in Delhi, Haryana, Andhra Pradesh, Rajasthan, and other parts of the NCR region.
On a consolidated basis, net profit of Anant Raj surged 75.67% to Rs 105.58 crore while net sales rose 54.34% to Rs 512.85 crore in Q2 September 2024 over Q2 September 2023.