Anant Raj Ltd is a diversified real estate developer with a strong presence in residential, commercial, IT parks, and affordable housing segments across Delhi-NCR, Haryana, Rajasthan, and Andhra Pradesh. The company has delivered explosive profit growth in recent years and is now expanding into data centers and hospitality. While its revenue and earnings momentum are impressive, concerns around low return ratios, high valuation, and execution risk in capital-intensive projects warrant caution. This article provides a balanced, fact-based outlook and realistic share price targets for each year from 2026 to 2030.
Geography: Primarily NCR, Haryana, Rajasthan, and Andhra Pradesh
Ownership: Promoter holding at 57.41% – controlled by the Sarin family (Ashok Sarin is Chairman)
Listed: Yes – on BSE (532901) and NSE (ANANTRAJ)
Clarifications:
What is the main business? Real estate development—not construction or infrastructure EPC.
Is Anant Raj debt-free? No – it carries ₹420.55 Cr in debt (vs ₹266.78 Cr cash).
Who owns the company? The Sarin promoter family holds 57.41%.
Why is the share falling? Due to rich valuation (P/E ~70x), low ROE (6.17%), and concerns about capital allocation in large projects.
Is it a good buy? Only for high-risk, long-term investors who believe in India’s real estate revival and execution capability.
Anant Raj: Key Financial Snapshot
Metric
Value
Market Capitalization
₹20,088.33 Cr
Current Share Price
₹558
52-Week High / Low
₹948 / ₹366
P/E (TTM)
70.10
P/B (TTM)
4.02
Book Value (TTM)
₹138.89
EPS (TTM)
₹7.96
ROE
6.17%
ROCE
6.71%
Dividend Yield
0.13%
Debt
₹420.55 Cr
Cash Reserves
₹266.78 Cr
Sales Growth (YoY)
53.81%
Profit Growth (YoY)
68.56%
Shareholding Pattern
Category
Holding (%)
Promoters
57.41%
Public (Retail)
26.32%
Foreign Institutions (FII)
11.14%
Domestic Institutions (DII)
5.13%
Others
0%
Note: Strong promoter control ensures strategic continuity.
Anant Raj Share Price Target Forecast (2026–2030)
Given the high P/E, modest ROCE, and execution-dependent growth, upside is limited unless returns improve. Targets assume:
EPS CAGR of 20–22% (supported by recent 68% profit growth, though likely to moderate)
P/E compression from 70x to 40–45x by 2030
Debt management as project sales ramp up
Year
Target Price Range (₹)
2026
₹580 – ₹650
2027
₹610 – ₹700
2028
₹640 – ₹760
2029
₹670 – ₹820
2030
₹700 – ₹880
⚠️ Important: Even at ₹880 in 2030, P/E would be ~45x if EPS grows at 22% CAGR—still premium for a sub-7% ROE business.
Year-wise Breakdown
Anant Raj Share Price Target 2026
Year
Target 1
Target 2
2026
₹580
₹650
Rationale: Near-term upside is capped by low ROCE (6.7%) and high enterprise value. Recent Q2 FY26 results show strong sales, but margins remain under pressure.
Anant Raj Share Price Target 2027
Year
Target 1
Target 2
2027
₹610
₹700
Rationale: Potential benefit from data center monetization and NCR real estate recovery. However, competition from DLF, Sobha, and Prestige limits pricing power.
Anant Raj Share Price Target 2028
Year
Target 1
Target 2
2028
₹640
₹760
Rationale: If the company improves asset turnover and inventory conversion, ROCE could rise above 8%, supporting modest re-rating.
Anant Raj Share Price Target 2029
Year
Target 1
Target 2
2029
₹670
₹820
Rationale: Long-term play on India’s urbanization and commercial real estate demand. Success depends on project delivery and cash flow generation.
Anant Raj Share Price Target 2030
Year
Target 1
Target 2
2030
₹700
₹880
Rationale: The upper end assumes sustained 25%+ sales growth, debt reduction, and ROE improvement above 8%. Still, valuation remains stretched vs peers.
Strengths vs Risks
✅ Strengths
Explosive sales & profit growth (53–68% YoY)
Diversified portfolio (residential, commercial, data centers)
Strong land bank in high-demand regions
Beneficiary of PMAY and RERA compliance
⚠️ Risks
Extremely high P/E (70x) with low ROE
ROCE below 7% – inefficient capital use
Execution risk in large, capital-intensive projects
Minimal dividends – not suited for income investors
Investment Suitability
Factor
Assessment
Risk Profile
High (overvalued, low ROCE)
Time Horizon
Long-term (5+ years)
Volatility
High
Dividend/Income
None (0.13% yield)
Ideal Investor
Aggressive investor betting on real estate cycle recovery; not for conservative portfolios
FAQs
Only if you accept high valuation risk. Fundamentals do not justify current multiples.
Real estate development—including residential, commercial, IT parks, and data centers.
Due to valuation concerns, low returns on equity, and market rotation away from speculative real estate stocks.
No – it has ₹420.55 Cr in debt, though manageable with operating cash flows.
The Sarin family (promoters) hold 57.41% of shares
Final Verdict
Anant Raj operates in a high-growth sector with strong tailwinds, but its financial performance lags its valuation. With ROCE under 7% and P/E near 70x, the stock carries significant downside risk. Our 2026–2030 price targets (₹580–₹880) reflect very modest appreciation—assuming no major deterioration. Investors should avoid aggressive buying and wait for a P/E below 50x or an ROCE above 9% before considering entry.
📌 Disclaimer: Price targets are estimates based on current fundamentals and sector trends. They are not investment advice. Please consult a SEBI-registered advisor before investing.
