Overall Fundamental outlook

Business Operations:

Sector: Real Estate
Industry: Real Estate - Development

Sobha Limited engages in the construction, development, sale, management, and operation of residential and commercial real estate under the Sobha brand primarily in India. It operates through two segments, Real Estate, and Contractual and Manufacturing. The company's residential projects include luxury and super luxury apartments, apartments, independent villas, row houses, plotted developments, and homes; and contractual services for corporates offices, IT parks, convention centers, hotels, hostels, multiplexes, training centres, academic institutions, and food courts. It also manufactures products for construction activities, such as concrete blocks, pavers, kerb stones, water drainage channels, paving slabs, aluminium windows, doors and louvers, glass skylights, canopies and partitions, automatic sliding doors, and glass, railings; and wooden products ranging from doors, windows and panelling to cabinets, and loose furniture; home furniture, furnishing products, and other home accessories; and spring, foam, organic, and rolled mattresses under the Restoplus brand. In addition, the company offers contractual services, including project conceptualization, planning, design, engineering, and execution. The company was formerly known as Sobha Developers Limited and changed its name to Sobha Limited in August 2014. Sobha Limited was incorporated in 1995 and is headquartered in Bengaluru, India.

Revenue projections:

Revenue projections for SOBHA
Revenue projections for SOBHA

SOBHA's revenue is projected to decrease from last year, a development that could lead investors to adopt a more cautious approach. A revenue decline can negatively affect profitability, signaling challenges for the company and making it less attractive for those seeking solid financial performance.

Financial Ratios:

currentRatio 1.252000
forwardPE 27.361744
debtToEquity 25.950000
earningsGrowth 4.174000
revenueGrowth 0.626000
grossMargins 0.339990
operatingMargins 0.057300
trailingEps 9.230000
forwardEps 29.290000

Sobha Limited's current ratio of 1.252 indicates strong liquidity, meaning the company can comfortably meet its short-term debt obligations. This financial position reflects Sobha Limited's ability to use its cash reserves and current assets to cover liabilities without facing any cash flow issues.
Sobha Limited's Forward PE is at a healthy level, meaning the stock price is aligned favorably with earnings. This suggests that the stock isn't overpriced, providing room for growth and making it an appealing option for investors looking to capitalize on potential future gains.
SOBHA's low Debt-to-Equity ratio means it is not excessively reliant on debt financing. This low leverage suggests lower financial risk and stronger equity control, positioning the company in a more stable financial situation and reducing vulnerability to debt-related issues.
SOBHA's positive earnings and revenue growth signal that the company is expected to expand its business. The company's increasing profits and sales reflect strong financial health, suggesting continued growth and success in the coming periods.
SOBHA's forward EPS being higher than its trailing EPS points to expected growth in profitability. This suggests that the company is projected to perform better in the current financial year, with higher earnings forecasted compared to the previous year.

Price projections:

Price projections for SOBHA
Price projections for SOBHA

Price projections for SOBHA have been revised down over time, reflecting a less optimistic outlook. Analysts appear to be adjusting their expectations, signaling concerns about the company's ability to sustain its previous growth levels.

Insider Transactions:

Insider Transactions for SOBHA
Insider Transactions for SOBHA


7 buy transactions of SOBHA stock were completed, with market price at 1188.0713936941963.No buy transactions occurred in the period under review.SOBHA's current price levels have seen more selling than buying, which may indicate potential for further decline. If this trend continues, the stock could experience additional price drops, as selling pressure grows.

Recommendation changes over time:

Recommendations trend for SOBHA
Recommendations trend for SOBHA


With analysts showing a buy bias for SOBHA, investors may be more inclined to see the stock as an attractive investment. The favorable outlook could spur increased interest, positioning SOBHA as a safe and profitable place for investors to allocate their funds and seek growth.