Brigade Enterprises Upgraded to Buy with Target Price of Rs 1045 by Prabhudas Lilladher
Brigade Enterprises Reports Moderate Pre-Sales Growth in Q4FY26
Brigade Enterprises Ltd, a leading real estate company, has reported moderate pre-sales growth of 3% year-over-year (YoY) in the fourth quarter of FY26, along with 3% YoY collection growth during the same period. This growth can be attributed to the company's new launches, entry into new markets, and premiumization, which have led to a healthy pre-sales compound annual growth rate (CAGR) of 22% over the fiscal years 2023-2026.
The company's annuity income has seen a significant increase of 20% during this period. With a robust launch pipeline of approximately 12 million square feet and strategic expansion into Chennai and Hyderabad, Brigade Enterprises is expected to achieve a pre-sales CAGR of 12-15% over the fiscal years 2026-2028.
Outlook and Recommendations
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Given Brigade Enterprises' strong operating cash flow (OCF) generation and comfortable balance sheet position, the company is well-equipped to fund its business development (BD) and capital expenditure (capex) comfortably. As a result, the research firm maintains a 'BUY' rating for Brigade Enterprises with a target price of INR1,045 per share.
| Company | Pre-Sales Growth (YoY) | Collection Growth (YoY) |
|---|---|---|
| Brigade Enterprises Ltd | 3% | 3% |
| Industry Average | - | - |
Note: The industry average for pre-sales and collection growth is not provided in the original text and is therefore not included in the table.
Investor Takeaway
Investors should consider buying Brigade Enterprises with a target price of Rs 1045.
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