Suraj Estate Developers Limited (SURAJEST) AI Stock Analysis

• Market Cap: ₹9.46B
• Dividend Yield: 0.41%
• Average Volume (3M): 5.92K
• Price to Earnings (P/E): 12.1
• Beta (1Y): 2.14
• Revenue Growth: 64.92%
• EPS Growth: 7.40%
• Country: IN
• Employees: 68
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): 5.43
• Shares Outstanding: 47,773,388
• 10 Day Avg. Volume: 6,114
• 30 Day Avg. Volume: 5,915
• PEG Ratio: 7.15
• Price to Book (P/B): 1.68
• Price to Sales (P/S): 2.76
• P/FCF Ratio: -3.77
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 20
• Revenue Forecast (FY): ₹5.31B

• Rating: 65 Neutral
• Price Target: ₹213.00 ▼(-20.74% Downside)
• Action: Reiterated Date: 03/17/26
• Date: Action: Reiterated 03/17/26

The score is primarily supported by solid financial performance (growth and improving balance sheet), but is held back by cash flow volatility/negative recent operating cash flow and bearish technical trend signals. Valuation is modestly supportive due to a moderate P/E, though the dividend yield is minimal.

Positive Factors

Revenue growth & profitability

Consistent revenue growth and improving net margins demonstrate durable market demand and execution across projects. Sustained top-line expansion supports scale economies, easier project financing and reinvestment, enabling steadier unit sales and resilient profitability across redevelopment cycles.

Improving balance sheet

A rising equity ratio and higher ROE indicate a strengthening capital structure and better equity utilization. This reduces refinancing vulnerability, increases capacity to bid for redevelopment rights and provides financial flexibility to fund construction and absorb timing mismatches in project cash flows.

Focused redevelopment model

Concentration on redevelopment in established Mumbai micro-markets is a structural advantage: it gives access to development rights, local approvals knowledge and built-in demand. This niche reduces land-cost exposure versus greenfield work and supports more predictable monetization and pricing power over time.

Negative Factors

Volatile, negative operating cash flow

Highly volatile and recently negative operating cash flow weakens liquidity and raises dependence on external financing. For a developer, OCF deficits can delay construction, increase interest costs and magnify execution and timing risk, constraining project throughput and limiting durable cash-generation capacity.

High leverage remains

Persistently elevated leverage reduces financial flexibility and heightens refinancing and interest-rate risk despite recent improvements. High debt levels increase fixed costs, restrict capital available for new project rights or acceleration, and can amplify earnings volatility in cyclical slowdowns.

Margin pressure & negative EPS growth

A recent fall in gross profit together with negative EPS growth signals margin compression or one-off impacts despite revenue gains. This weakness may reflect cost inflation or pricing limits and could constrain sustainable profitability, free cash flow and the ability to fund growth internally.

Suraj Estate Developers Limited Business Overview & Revenue Model

Company Description

Suraj Estate Developers Limited engages in the real estate development business primarily in South Central Mumbai, India. The company develops residential and commercial projects. Suraj Estate Developers Limited was incorporated in 1986 and is based in Mumbai, India.

How the Company Makes Money

Suraj Estate Developers Limited primarily makes money by developing and selling residential real estate units in its projects. Key revenue streams generally include: (1) Sales of apartments/units: Revenue is generated from customer bookings and sales of units in ongoing and completed projects, with collections linked to construction milestones and/or possession depending on project terms and applicable accounting policies. (2) Redevelopment projects: In redevelopment-led projects, the company typically earns by creating additional saleable area beyond what is allocated to existing occupants/eligible stakeholders; the monetizable inventory is then sold in the market, with project economics driven by procurement of development rights, rehabilitation/relocation obligations, and construction/approval timelines. (3) Ancillary receipts tied to real estate sales: Where applicable, the company may receive amounts such as parking sales, floor-rise and premium charges, club/amenity recoveries, and other customer recoverables associated with unit sales; if such streams are not disclosed separately, they are usually embedded within project revenue. The company’s earnings are influenced by factors such as approvals, construction execution, sales velocity and pricing in its target micro-markets, cost of materials and labor, access to project finance, and the ability to source redevelopment opportunities. Specific significant partnerships and their quantitative contribution to earnings are null.

Suraj Estate Developers Limited Financial Statement Overview

Summary

Strong revenue and profitability trends and an improving equity position support the score, but high leverage and notably volatile/negative recent operating cash flow and weaker recent gross profit are meaningful risks.

Income Statement

Suraj Estate Developers Limited has demonstrated robust revenue growth over the past years, with a significant increase in total revenue from 2020 to 2025. The gross profit margin has remained strong, indicating effective cost management. The company has also shown a steady increase in net profit margin, reflecting improved profitability. However, the decline in gross profit in the latest year is a concern.

Balance Sheet

The company's debt-to-equity ratio has been relatively high, which poses a risk, but it has shown improvement with increasing stockholders' equity. The equity ratio has improved significantly, indicating a stronger balance sheet position. Return on equity has increased, showcasing better utilization of equity. Despite the high leverage, the company is moving towards a more stable capital structure.

Cash Flow

The operating cash flow has been volatile, showing a substantial negative figure in the most recent year, which is a concern for liquidity. The free cash flow has also been inconsistent, with a significant decline recently. However, the company has managed to maintain positive financing cash flow, supporting its operations and growth.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	5.48B	5.49B	4.12B	3.06B	2.73B	2.40B
Gross Profit	2.31B	2.23B	2.76B	1.71B	1.48B	981.03M
EBITDA	1.93B	2.07B	2.32B	1.52B	1.29B	902.17M
Net Income	913.90M	1.00B	674.99M	321.60M	263.75M	61.63M
Balance Sheet
Total Assets	0.00	17.47B	12.90B	9.43B	8.64B	7.92B
Cash, Cash Equivalents and Short-Term Investments	420.59M	420.59M	64.16M	121.05M	76.86M	208.53M
Total Debt	0.00	4.61B	4.30B	5.93B	6.40B	6.03B
Total Liabilities	-9.03B	8.44B	7.74B	8.71B	8.25B	7.63B
Stockholders Equity	9.03B	9.03B	5.16B	713.92M	391.63M	291.47M
Cash Flow
Free Cash Flow	0.00	-4.02B	-163.34M	1.89B	684.73M	-173.54M
Operating Cash Flow	0.00	-4.01B	90.12M	1.90B	697.57M	-149.31M
Investing Cash Flow	0.00	767.38M	-897.42M	-271.22M	-210.63M	-122.69M
Financing Cash Flow	0.00	3.15B	702.08M	-1.57B	-446.80M	269.57M

Suraj Estate Developers Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 268.75
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SURAJEST, the sentiment is Negative. The current price of 268.75 is above the 20-day moving average (MA) of 212.71, above the 50-day MA of 226.42, and below the 200-day MA of 281.96, indicating a bearish trend. The MACD of -6.78 indicates Positive momentum. The RSI at 36.94 is Neutral, neither overbought nor oversold. The STOCH value of 42.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SURAJEST.

Suraj Estate Developers Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
SURAJEST	65 Neutral	₹9.46B	12.10	―	0.41%	64.92%	7.40%
ARVSMART	63 Neutral	₹24.61B	23.57	―	0.98%	13.62%	34.30%
SUNTECK	63 Neutral	₹44.86B	24.91	―	0.36%	-14.25%	17.95%
KOLTEPATIL	57 Neutral	₹29.21B	195.93	―	1.01%	3.05%	―
AJMERA	56 Neutral	₹22.51B	36.99	―	0.47%	-1.25%	-5.48%
ASHIANA	56 Neutral	₹30.68B	12.74	―	0.85%	24.58%	122.16%

Suraj Estate Developers Limited Corporate Events

Suraj Estate Developers Buys Prabhadevi Land Owner Hally Pacific for ₹30.4 Crore

Suraj Estate Developers Limited has completed the acquisition of 100% of Hally Pacific Private Limited, which owns a strategically located 717.39 square metre vacant land parcel on Sayani Road in Prabhadevi, Mumbai. The deal, executed via a share purchase agreement on February 20, 2026, for about ₹30.40 crore, makes Hally Pacific a wholly owned subsidiary.

The company plans to develop the site with an estimated saleable carpet area of around 0.367 lakh square feet and a projected gross development value of approximately ₹200 crore. Management stated that the project will strengthen Suraj Estate’s near-to-medium term project pipeline, enhance medium-term revenue visibility, and further consolidate its position in its core South-Central Mumbai micro-markets, while supporting its strategy of disciplined growth and selective acquisitions.

Suraj Estate Raises Rs 45 Crore via Unlisted NCD Issue

Suraj Estate Developers Limited has approved the allotment of 4.5 crore unlisted, secured, non-convertible debentures with a face value of Rs 10 each, aggregating Rs 45 crore, on a private placement basis to IDBI Trusteeship Services Limited as trustee of India Real Estate Investment Fund Series 2. The 42-month NCDs, carrying an effective coupon structure of up to 17% with monthly interest payments, provide the company with significant debt funding to support its real estate operations while deepening its financing relationship with institutional investors in India’s alternate investment fund space.

Suraj Estate Developers Raises ₹45 Crore via Private NCD Placement

Suraj Estate Developers has approved the allotment of 4.5 crore unlisted, secured non-convertible debentures with a face value of ₹10 each, raising ₹45 crore through a private placement. The securities, carrying an effective interest structure of up to 17% per annum over a 42-month tenure, have been allotted to IDBI Trusteeship Services as trustee for India Real Estate Investment Fund Series 2, providing the developer with significant debt funding that could support ongoing and future real estate projects while increasing its leveraged capital structure.

Suraj Estate Developers Raises Rs 45 Crore via Unlisted NCDs from AIF

Suraj Estate Developers Limited has raised Rs 45 crore through a private placement of 4.5 crore unlisted, secured non-convertible debentures to IDBI Trusteeship Services, acting as trustee for India Real Estate Investment Fund Series 2 managed by ICICI Venture. The 42-month NCDs, carrying an effective interest structure rising to 17% per annum with monthly payments, highlight the developer’s continued reliance on structured debt financing to support its projects and signal sustained investor appetite for real estate-backed instruments in India.

The debentures are not proposed to be listed, underscoring a targeted funding approach via institutional alternative investment funds rather than public debt markets. This transaction strengthens the company’s liquidity position for ongoing and upcoming developments while reflecting the broader trend of real estate developers leveraging private credit and AIF channels to secure capital amid evolving funding conditions.

Suraj Estate Developers to Raise ₹45 Crore via Private NCD Issue

Suraj Estate Developers Limited has approved the issuance of 45 crore rupees of unlisted, redeemable, secured, non-convertible debentures, priced at 10 rupees each, through a private placement. The debentures will be allotted to IDBI Trusteeship Services Limited, acting as trustee of India Real Estate Investment Fund Series 2, managed by ICICI Venture Funds Management Company, providing the developer with additional funding flexibility and reinforcing institutional investor confidence in its projects.

Suraj Estate Posts Record Q3 FY26 Performance on Strong Sales and Commercial Launch

Suraj Estate Developers Limited reported its highest-ever operational performance for the third quarter and nine months of FY26, driven by strong sales growth and a successful commercial project launch. For Q3FY26, sales value surged 137% year-on-year to Rs 253 crore and sales area rose 211% to 51,826 sq ft, while collections increased 48% to Rs 124 crore. Consolidated total income grew 6% year-on-year to Rs 181.5 crore, and PAT rose 26% to Rs 25.2 crore, with improved margins, although year-to-date EBITDA and PAT were slightly lower than the previous year. The quarter was marked by the launch of Suraj One Business Bay, which achieved about 40,000 sq ft of sales worth roughly Rs 200 crore within 45 days, underscoring robust commercial demand in South-Central Mumbai and positioning the commercial segment as a key growth driver. The company also expanded its land bank by acquiring two residential land parcels in Bandra West to support phased project launches, and its recognition as India’s Best Residential Developer by Euromoney further strengthens its brand and market positioning for future growth.

Suraj Estate Developers Faces Rs 37-Crore GST Demand, Plans Appeal

Suraj Estate Developers Limited has disclosed that it received an adjudication order and show cause notice from the Additional Commissioner of CGST & Central Excise, Mumbai Central, following an audit covering financial years 2018-19 to 2022-23. The order, dated 15 December 2025 and received on 19 December 2025, raises a GST demand of Rs 18.61 crore plus interest and imposes a penalty of Rs 18.43 crore. Based on legal advice, the company contends that the demand is largely not sustainable because it relates mainly to payments made to the Brihanmumbai Municipal Corporation and other statutory authorities, and it does not expect any material impact on its financials, operations or other activities. Suraj Estate intends to challenge the order by filing an appeal with the Commissioner (Appeals-II).

Suraj Estate Developers Buys Two Land Parcels in Bandra West to Fuel Project Pipeline

Suraj Estate Developers Limited has acquired two land parcels in Bandra (West), Mumbai, measuring approximately 1,760 square metres and 906.37 square metres, to support its expansion plans in this premium locality. The acquisition is intended to strengthen the company’s pipeline of new projects in Bandra (West), signalling an effort to deepen its presence in one of Mumbai’s most sought-after real estate markets and potentially enhancing its growth prospects and positioning in the city’s high-value residential segment.