Sunteck Realty Ltd.
ISIN: INE805D01034 • Market Cap: ₹4,341 Cr
The 5-Pillar Quality Audit for Sunteck Realty Ltd.
Evaluated across Profitability, Financial Health, Historical Compounding, Valuation Safety, and Ownership Governance:
1. Profitability & Capital Efficiency
Weight: 25%Measures operating margins (28.7%), Return on Capital Employed (6.0%), and equity compounding (4.6%).
2. Financial Health & Solvency
Weight: 25%Debt-to-Equity is 0.12 with comfortable interest coverage and clean working capital.
3. Growth & Compounding Track Record
Weight: 20%Historical 3Y Sales CAGR (46.0%) and 3Y PAT CAGR (430.2%).
4. Valuation Multiple & Margin of Safety
Weight: 15%Trades at P/E of 20.36 vs PEG of 0.99 and Dividend Yield of 0.5%.
5. Ownership Quality & Governance
Weight: 15%Promoter holding stands at 63.1%, backed by 23.4% institutional ownership.
Key Fundamental Strengths
Fortress Balance Sheet (D/E: 0.12)
The company operates virtually debt-free, shielding net margins from interest rate cycles and monetary tightening.
Strong Topline Expansion (3Y Sales CAGR: 46.0%)
Revenue has expanded at 46.0% CAGR over 3 years, signaling industry market-share gains.
High-Velocity Profit Compounding (3Y PAT CAGR: 430.2%)
Net earnings have compounded at 430.2% annualized, demonstrating operating leverage.
Attractive Valuation Margin (P/E: 20.36)
Trading at a P/E multiple of 20.36, the stock offers a favourable risk-reward entry for quality compounding.
Areas to Watch & Potential Risks
Subdued Capital Efficiency (ROCE: 6.0%)
A sub-12% ROCE suggests return on capital barely exceeds the company's weighted average cost of capital (WACC).
Sectoral & Macro Headwinds (Realty)
Subject to broader cyclical demand, raw material price shifts, and regulatory frameworks governing the Realty space.
Quantitative Strategy Eligibility
Checking SUNTECK against established Indian wealth creation frameworks:
Coffee Can Investing Framework
Fails 10%+ revenue growth or 15%+ minimum capital return benchmark over historical periods.
Quality Factor Screener (High RoIC + Low Debt)
Qualifies for Indian Quality Indices with overall score of 76/100 and clean gearing.
GARP / Value-Growth Blend
Valuation multiple or return metrics require further cyclical pullback.
Realty Sector Peer Comparison
Compare SUNTECK directly against top industry peers by market capitalization:
| Company | 5-Pillar Score | Market Cap | P/E | ROCE | D/E | Scorecard |
|---|---|---|---|---|---|---|
| Sunteck Realty Ltd. (SUNTECK)Current | 76/100 | ₹4,341 Cr | 20.36 | 6.0% | 0.12 | — |
| DLF Ltd. (DLF) | 62/100 | ₹1.65 Lakh Cr | 37.14 | 6.1% | 0.00 | View |
| Lodha Developers Ltd. (LODHA) | 82/100 | ₹1.21 Lakh Cr | 29.21 | 18.2% | 0.44 | View |
| Phoenix Mills Ltd. (PHOENIXLTD) | 68/100 | ₹68,498 Cr | 53.51 | 10.3% | 0.45 | View |
| Prestige Estates Projects Ltd. (PRESTIGE) | 64/100 | ₹67,840 Cr | 59.57 | 13.8% | 0.92 | View |
| Godrej Properties Ltd. (GODREJPROP) | 69/100 | ₹60,093 Cr | 37.55 | 12.4% | 0.80 | View |
Frequently Asked Questions: Sunteck Realty Ltd.
Q:What is the 5-Pillar Fundamental Score for Sunteck Realty Ltd. (SUNTECK)?
Sunteck Realty Ltd. has a RupeeTools Fundamental Score of 76/100, placing it in the 'Solid & Healthy' category. Its pillar scores are: Profitability (53/100), Financial Health (75/100), Growth (99/100), Valuation (82/100), and Ownership Quality (78/100).
Q:Is SUNTECK fundamentally strong for long-term investment?
Yes, SUNTECK exhibits solid fundamental strength with a 76/100 score, driven by a return on equity of 4.6% and a debt-to-equity ratio of 0.12.
Q:Does SUNTECK pass the Coffee Can Investing filter?
No. SUNTECK does not currently meet the strict 15% ROCE and 10% sustained topline compounding threshold mandated by the Coffee Can investing framework.
Q:How does SUNTECK compare against other Realty peers?
Within India's Realty sector, SUNTECK trades at a P/E of 20.36 and generates an ROCE of 6.0%. Compare its 5-Pillar score of 76/100 against top sector peers like DLF Ltd. (62/100), Lodha Developers Ltd. (82/100).
Regulatory & SEBI Research Analyst Compliance Disclaimer:
This 5-pillar fundamental score is an automated quantitative health check generated purely from historical public financial statements, corporate filings, and exchange disclosures for educational and informational purposes only. It does NOT constitute investment advice, a stock recommendation, or a solicitation to buy or sell securities. RupeeTools is not a SEBI-registered Research Analyst. Please consult a SEBI-registered financial advisor before making investment decisions.