Realty breaks out: Nifty Realty outpaces Nifty 50, jumps 8% in a month, analysts pick these stocks with upside

The Nifty Realty index has surged 8% over the past month—outpacing the Nifty 50’s 1.4% gain—as real estate stocks continue to show resilience despite global market headwinds.Analysts told ET that despite some profit booking after the June 9 peak of 1,049.50, the realty index remains above key short- and long-term moving averages, signalling sustained upward momentum.“The Nifty Realty index has managed to hold above its 20-day exponential moving average in three of the last seven sessions,” said Sudeep Shah, Deputy Vice President and Head of Technical & Derivatives Research at SBI Securities according to the report. “This is a strong indicator of ongoing positive momentum.”Shah highlighted 990 as a key support level for the index, adding that a breakout above 1,040 could open upside potential towards 1,140–1,150.Among the top picks, Shah favours Oberoi Realty and Prestige Estates. He noted that Oberoi Realty is showing strong bullish signals on RSI and ADX indicators, with a breakout above Rs 1,970 potentially taking it to Rs 2,020–2,030. Prestige Estates, he said, remains steady and could test Rs 1,890–1,900 once it clears Rs 1,755 resistance.Ashish Chaturmohta, Managing Director and Fund Manager at Apex PMS, JM Financial Ltd., offered a broader sector view. He was quoted as saying that India’s real estate sector is currently in the middle of a typical 7–8 year upcycle. He attributes the recovery to improved affordability, falling interest rates, and increased pricing power among organised developers.“The previous down cycle has made way for a shift towards organised developers,” Chaturmohta said. “With stable stamp duties and falling inventory—from 42 months earlier to 16–17 months now—developers are in a strong position.”Chaturmohta also pointed to growing traction in premium housing, data centres, warehousing, and SEZs, backed by rising digital and logistics infrastructure needs.Analysts remain bullish on the sector, supported by low interest rates, strong balance sheets, and healthy demand—especially in urban redevelopment and premium housing segments.(Disclaimer: Recommendations and views on the stock market and other asset classes given by experts are their own. These opinions do not represent the views of The Times of India)