Synopsis:
A top brokerage reaffirmed a ‘Buy’ rating with a 41% upside target. Backed by strong Q1 results, rapid data center expansion, and a robust real estate portfolio, the company is well-positioned for long-term growth in digital infrastructure.
India’s data center sector is experiencing rapid expansion, driven by increasing digitalization and data consumption. The market was valued at approximately $6.5 billion in 2024 and is projected to see significant growth. As of April 2025, the country’s data center capacity in its top seven cities reached 1,263 MW, marking a more than 3.6-fold increase since 2020. This boom is attracting substantial investments and positioning India as a key data infrastructure hub.
With a market capitalization of Rs 19,655.10 crore, the shares of Anant Raj Ltd closed at Rs 577.75 per share, increased around 2.63 percent as compared to the previous closing price of Rs 562.95 apiece.
Motilal Oswal, one of the well-known brokerages in India, has maintained its ‘Buy’ rating on this data center stock with a target price of Rs 807 apiece, indicating a potential upside of 41 percent from Tuesday’s price of Rs 573.00 per share.
Anant Raj reported strong performance with ₹592 crore in June quarter revenue, marking a 26% YoY and 10% sequential growth, surpassing Motilal Oswal’s estimates. The residential segment is projected to deliver 14 million sq. ft. by FY30, potentially generating ₹7,200 crore in cumulative net operating profit after tax, highlighting solid long-term growth prospects.
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Motilal Oswal anticipates a significant scale-up in the company’s data centre business, with capacity projected to surge from 6 MW in FY24 to 307 MW by FY32. A notable shift towards cloud services is expected, growing from 0.5 MW to 77 MW, reflecting strong demand trends and the company’s aggressive expansion in digital infrastructure.
Looking forward to the company’s financial performance, revenue increased by 25 percent from Rs 472 crore in Q1FY25 to Rs 592 crore in Q1FY26. Further, during the same time frame, net profit increased by 38 percent from Rs 91 crore to Rs 126 crore.
The company showcases a strong foundation with five decades of real estate expertise, operations in four major Indian states, and 28 MW of active data center capacity. With 320 acres of prime, debt-free land in Delhi-NCR and nearly 9.96 million sq. ft. of completed projects, it emphasizes execution, financial strength, and future-ready infrastructure platforms.
Anant Raj Limited is engaged in the development and construction of information and technology parks, hospitality projects, residential townships, data centers, affordable housing, office complexes, and shopping malls in the State of Delhi, Haryana, Andhra Pradesh, Rajasthan, and the National Capital Region.
Written by Abhishek Singh
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