Max Estates Ltd, the real estate arm of the Max Group, is evolving into a full-spectrum developer with a focus on premium residential and commercial assets. The company’s business model now blends development income with stable leasing revenue from Grade-A office spaces.
Key Financial Highlights (TTM):
*Revenue: ₹282.1 crore — strong year-on-year growth led by leasing and new project sales.
*Net Profit: ₹50.7 crore — a significant improvement, showing margin recovery.
*Earnings per Share (EPS): ₹2.02 — profitability is rising but yet to reflect full asset utilization.
*Price to Earnings (P/E): ~148.7× — reflects rich valuation and high market expectations.
*Price to Book (P/B): 3.37× — market values assets significantly above book.
*Debt to Equity: 0.73× — moderate leverage; comfortable debt profile for a real-estate company.
*Return on Equity (ROE): 1.8 % — still low; operational efficiency needs improvement.
*EV/EBITDA: 63.5× — expensive relative to peers, suggesting optimism on growth execution.
*Current Ratio: 2.0× — good short-term liquidity.
*Interest Coverage: 1.02× — narrow margin; any rise in borrowing cost can pressure profits.
Strengths
*Diversified portfolio across office, retail, and residential projects.
*Expansion through acquisitions such as Base Buildwell and the Delhi One project.
*Strategic partnerships with institutional investors like New York Life.
*Increasing share of recurring leasing income adds stability.
Risks & Concerns
Valuation is stretched; earnings must catch up to justify current price levels.
Thin interest coverage ratio — financial costs must be monitored closely.
Profitability partly supported by “other income,” not just core operations.
Technical Outlook
Key Financial Highlights (TTM):
*Revenue: ₹282.1 crore — strong year-on-year growth led by leasing and new project sales.
*Net Profit: ₹50.7 crore — a significant improvement, showing margin recovery.
*Earnings per Share (EPS): ₹2.02 — profitability is rising but yet to reflect full asset utilization.
*Price to Earnings (P/E): ~148.7× — reflects rich valuation and high market expectations.
*Price to Book (P/B): 3.37× — market values assets significantly above book.
*Debt to Equity: 0.73× — moderate leverage; comfortable debt profile for a real-estate company.
*Return on Equity (ROE): 1.8 % — still low; operational efficiency needs improvement.
*EV/EBITDA: 63.5× — expensive relative to peers, suggesting optimism on growth execution.
*Current Ratio: 2.0× — good short-term liquidity.
*Interest Coverage: 1.02× — narrow margin; any rise in borrowing cost can pressure profits.
Strengths
*Diversified portfolio across office, retail, and residential projects.
*Expansion through acquisitions such as Base Buildwell and the Delhi One project.
*Strategic partnerships with institutional investors like New York Life.
*Increasing share of recurring leasing income adds stability.
Risks & Concerns
Valuation is stretched; earnings must catch up to justify current price levels.
Thin interest coverage ratio — financial costs must be monitored closely.
Profitability partly supported by “other income,” not just core operations.
Technical Outlook
- Pattern: Inverse Head & Shoulders
- Timeframe: Daily (1D)
- Current Price: ₹491.95
- Reversal Zone: ₹453 – ₹468
- Resistance Levels: ₹520, ₹547, ₹592
Analysis:
The chart displays a clear Inverse Head & Shoulders pattern that has just broken above the neckline with strong momentum. This breakout indicates a potential trend reversal from the previous downtrend. Volume expansion confirms buying participation near the breakout zone.
If the stock retests the ₹453–₹468 range and holds, it can act as a strong base for a medium-term move. A sustained close above ₹520 will likely extend the rally toward ₹547 and ₹592 levels.
Conclusion
When strong fundamentals meet a classic reversal pattern, momentum follows conviction.
Max Estates is showing a promising combination of fundamental expansion and technical breakout strength. Sustaining above ₹520 can validate the breakout pattern and pave the way toward ₹590+. A retest near ₹460 would offer a low-risk accumulation opportunity for swing or positional traders.
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Disclaimer
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.