Raymond Shares Soar 14% Ahead Of Realty Arm’s July 1 Listing; What Investors Should Know

Last Updated:June 30, 2025, 14:47 IST

Shares of Raymond Realty are set to list on the stock exchanges on July 1, after their demerger from Raymond Limited

Raymond Share Price: Shares of Raymond Ltd surged 14.39% on Monday to hit an intraday high of Rs 713.95, as investor sentiment turned bullish ahead of the stock market debut of its demerged realty arm, Raymond Realty, slated for July 1.

The rally was supported by a significant spike in trading volumes. As of writing, over 1.84 lakh shares had exchanged hands on the BSE, far exceeding the two-week average of 30,000 shares. Turnover stood at Rs 12.52 crore, pushing Raymond Ltd’s market capitalisation to Rs 4,691.12 crore.

Raymond Realty was officially demerged from Raymond Ltd ,effective May 1, 2025, under a 1:1 ratio, meaning shareholders of Raymond will receive one share of Raymond Realty for every share held. Post-demerger, the Raymond Group will operate through three distinct verticals: lifestyle, real estate, and engineering.

Brokerage estimates hint at a strong listing for Raymond Realty. SBI Securities expects the stock to debut in the range of Rs 897 to Rs 1,430, while Ventura Securities has pegged the listing price at around Rs 1,383.

Ahead of the listing, Raymond Realty bolstered its leadership by appointing Gautam Hari Singhania as Chairman and elevating Harmohan Sahni to Managing Director and CEO. In a note to shareholders, Singhania outlined the company’s transformation strategy, “Raymond 2.0″, aimed at repositioning the century-old business as a future-ready enterprise aligned with India’s growth trajectory.

“This milestone, marked by Raymond Realty’s listing, reflects our unwavering commitment to creating shareholder value and building a globally respected Indian powerhouse,” he said.

Weighing in on the development, Kranthi Bathini, Director of Equity Strategy at WealthMills Securities, suggested investors consider buying Raymond Realty at current valuations. However, for Raymond Ltd, he advised a wait-and-watch approach, recommending existing shareholders continue holding rather than making fresh entries.

Raymond Realty Share Listing Expectations

Raymond Realty is expected to make a strong debut on the stock exchanges, with brokerages projecting a wide range of potential listing prices. According to SBI Securities, the stock could list between Rs 897 and Rs 1,430, based on an estimated EV/EBITDA multiple of 11-15x for FY26E and EBITDA growth between 0–20% in FY25.

In a base-case scenario, the brokerage assumes a 10% year-on-year EBITDA growth in FY26 and an EV/EBITDA multiple of 13x — a 23.5% discount compared to its listed peers. Based on this, SBI Securities estimates the fair value of Raymond Realty at Rs 1,148 per share.

Meanwhile, Ventura Securities projects a robust financial trajectory for the company. It expects Raymond Realty’s revenue, EBITDA, and net profit to grow at a CAGR of 20%, 17%, and 15.9%, respectively, over FY25–28, reaching Rs 4,065 crore in revenue, Rs 813 crore in EBITDA, and Rs 426 crore in net earnings by FY28. Ventura also expects EBITDA and net profit margins to remain stable at 20% and 10.5%, respectively, supported by an asset-light project development model that will help the company maintain a net-debt-free balance sheet and achieve a Return on Equity (RoE) of 16.2% by FY28.

Highlighting the demerger as a strategic value unlock, Ventura said: “Given the substantial opportunities and growth prospects, the demerger of RRL (Raymond Realty Limited) allows the company to pursue focused, sustainable growth in the real estate space.” It has set a FY28 DCF-based target price of Rs 1,383 per share.

However, SBI Securities also flagged key risks including delays in project launches, cyclicality in the real estate sector, and intense competition.

Aparna Deb

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More

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