Shares of Raymond Ltd, the diversified Indian conglomerate, surged by 12.01% to hit ₹699.10 on the NSE on Monday, June 30, 2025, marking their biggest single-day gain in over five months. The rally comes just a day ahead of the scheduled listing of Raymond Realty, the demerged real estate arm of the group, on July 1.
The rally reflects heightened investor optimism around value unlocking, upcoming strategic announcements, and Raymond’s focus on expanding its high-margin real estate portfolio.
📈 Key Highlights
✅ Stock surged 12.01% to ₹699.10
✅ Highest level since January 2025
✅ Raymond Realty to list on July 1
✅ Market cap post-surge: ₹9,310 crore
✅ YTD gain: +41.7%
✅ 5-day gain: +16.4%
🔎 Why Are Raymond Shares Rising?
1. Upcoming Raymond Realty Listing
Investors are bullish ahead of the Raymond Realty listing tomorrow, with analysts expecting a listing price between ₹185–₹210 per share based on grey market trends. The demerger was approved earlier this year to unlock shareholder value.
Details of Listing
| Entity | Listing Date | Face Value (₹) | Sector |
|---|---|---|---|
| Raymond Realty Ltd | July 1, 2025 | ₹10 | Real Estate Development |
Raymond Realty focuses on residential projects in Thane, Mumbai Metropolitan Region, with total developable potential exceeding 14 million sq. ft.
2. Value Unlocking From Demerger
The demerger will:
- Separate the real estate business from the textiles and engineering segments
- Allow independent capital raising and project financing
- Boost group net worth and consolidate promoter holdings
Market experts believe this move could re-rate Raymond Ltd’s textile and apparel business valuations, currently overshadowed by its real estate division.
3. Strong FY25 Financial Performance
| Particulars (₹ Cr) | Q4 FY25 | Q3 FY25 | QoQ Change (%) |
|---|---|---|---|
| Revenue | 2,212 | 2,070 | +6.9% |
| EBITDA | 383 | 326 | +17.5% |
| Net Profit | 180 | 153 | +17.6% |
| EBITDA Margin (%) | 17.3 | 15.7 | +160 bps |
(Source: Company filings)
The company attributed higher profitability to robust branded apparel sales, improved cost efficiencies, and strong demand in the real estate division.
📊 Raymond Stock Performance in 2025 (till June 30)
| Month | Opening Price (₹) | Closing Price (₹) | Monthly Gain (%) |
|---|---|---|---|
| January | 533.10 | 558.70 | +4.8% |
| February | 558.70 | 572.40 | +2.4% |
| March | 572.40 | 603.10 | +5.4% |
| April | 603.10 | 635.50 | +5.4% |
| May | 635.50 | 651.30 | +2.5% |
| June | 651.30 | 699.10 | +7.3% |
| YTD Gain | – | – | +41.7% |
4. Bullish Brokerage Views
Kotak Institutional Equities
“Raymond Realty listing will unlock significant shareholder value. Textile and branded apparel valuations could improve post-demerger clarity.”
Motilal Oswal
“Maintain ‘BUY’ with target of ₹740. We expect continued strength in real estate, which contributes nearly 45% of EBITDA.”
5. Strong Growth Pipeline in Realty Business
Raymond Realty has an ongoing and upcoming project pipeline exceeding ₹13,000 crore in GDV (Gross Development Value) with focus on premium and affordable segments in Mumbai Metropolitan Region.
Key Projects
| Project Name | Location | GDV (₹ Cr) | Status |
|---|---|---|---|
| TenX Habitat | Thane | 2,650 | Under Construction |
| Address by GS | Thane | 5,400 | Launched |
| Aspire by GS | Thane | 2,100 | Upcoming |
| Thane Commercial | Thane | 1,200 | Planning Stage |
(Source: Company filings)
6. Real Estate – A Game Changer For Raymond
Real estate contributed ~45% of Raymond’s FY25 EBITDA, up from 27% in FY22. The management expects real estate EBITDA share to cross 55% by FY27, aided by faster project monetisation and higher margins (~30%).
💼 Peer Comparison in Realty Segment
| Company | FY25 Revenue (₹ Cr) | EBITDA Margin (%) | FY25E PE Ratio |
|---|---|---|---|
| Raymond Realty* | 2,080 (Est.) | 28.5% | NA (listing pending) |
| Godrej Properties | 4,750 | 22.4% | 54x |
| Oberoi Realty | 3,910 | 38.2% | 41x |
| Mahindra Lifespaces | 2,220 | 19.5% | 48x |
*Raymond Realty data is internal segment revenue (not separate entity till demerger).
7. Promoter Restructuring Boosts Confidence
Last week, Raymond announced reshuffling its board and promoter group holdings, increasing Gautam Singhania’s direct holding to 50.1% in the realty arm post-demerger, enhancing promoter control and governance clarity.
⚠️ Risks To Watch
| Risk Factor | Potential Impact |
|---|---|
| Slowdown in real estate demand | May affect cash flows and project launches |
| Margin pressure in textiles | Cost inflation may erode profitability |
| High competition | Realty market saturation in MMR |
🏦 What Analysts Expect Post Listing
Analysts project Raymond Realty’s market cap at listing could be between ₹4,200–₹4,800 crore, leading to an implied valuation gain for existing Raymond shareholders.
If listing is strong, Raymond Ltd’s textile and engineering stock could also re-rate further due to enhanced balance sheet clarity.
🔮 Outlook: Is ₹700+ Sustainable?
Technical View
- RSI: 82 (overbought)
- Immediate support: ₹665
- Resistance: ₹730
If Raymond sustains above ₹700 this week, analysts expect targets of ₹740–₹755 in near term, driven by positive post-listing sentiment.
🧭 Upcoming Triggers
✅ Raymond Realty listing on July 1
✅ Q1 FY26 results in late July
✅ New project launch announcements in August
✅ Conclusion
The 12% surge in Raymond shares ahead of its realty arm’s listing underlines investor optimism over value unlocking, strategic focus, and strong sector fundamentals. While valuations remain elevated, the company’s diversified presence in high-margin real estate and premium apparel segments offers long-term growth potential, provided execution remains robust.
⚠️ Disclaimer
This news report is based on publicly available exchange filings, brokerage reports, and analyst data as of June 30, 2025. Stock market investments are subject to risk. Please consult SEBI-registered advisors before making investment decisions.
