Anant Raj’s Unstoppable Growth: 50%+ Profit Surge for 12 Quarters—Is It the Next Big Stock?
Anant Raj, an NCR-based real estate developer, has delivered 10x returns to investors over the past four years and is the only BSE-listed company to consistently achieve 50%+ profit growth for 12 straight quarters since March 2022. The company has recently expanded into the data center infrastructure sector, diversifying its portfolio beyond residential and commercial real estate. Analysts at Ventura Securities highlight its extensive land holdings (220 acres in Gurugram and 101 acres in Delhi) as a key asset for long-term growth. In Q3FY25, the company reported a 54% year-on-year net profit increase, reaching ₹110.32 crore.
It also approved the issuance of 1.37 million convertible warrants worth ₹100 crore to its promoter. Motilal Oswal has rated the stock a ‘Buy’ with a target price of ₹1,085, citing strong growth potential. Additionally, Anant Raj has significantly reduced its debt from ₹96 crore in Q2FY25 to ₹54 crore in Q3FY25. Its 6MW data center in Manesar is now operational, with plans to expand total capacity to 22MW by the end of FY25. MD Amit Sarin believes demand for data centers in India will continue to outstrip supply, driven by digital adoption, AI, and data localization.
ICRA projects India’s data center capacity to nearly double by March 2027, requiring ₹40,000–45,000 crore in investments. With strong financials, expanding market presence, and aggressive growth strategies, Anant Raj remains a stock to watch.
Anant Raj’s Unstoppable Growth: 50%+ Profit Surge for 12 Quarters—Is It the Next Big Stock?
Despite a recent decline in its stock price, Anant Raj, a real estate developer based in the National Capital Region (NCR), has delivered remarkable returns to investors. Over the past four years, the company has multiplied investments nearly tenfold, demonstrating its strong financial performance. Notably, it is the only company on the Bombay Stock Exchange (BSE) to achieve over 50% year-on-year profit growth for 12 consecutive quarters since March 2022. This consistent track record, coupled with its strategic expansion into data centers, has drawn significant investor interest.
Diversification into Data Centers: A Strategic Move
While traditionally focused on residential and commercial real estate, Anant Raj’s recent entry into the data center sector marks a major strategic shift. Analysts at Ventura Securities see this diversification as a key driver of future revenue. The company’s existing business model—combining property sales and rental income—now aligns with its push into data infrastructure, adding another revenue stream. Additionally, Anant Raj holds a vast land bank of 220 acres in Gurugram and 101 acres in Delhi, offering significant potential for future developments, whether in real estate or data centers, based on market demand.
Financial Performance: Consistent Growth
Anant Raj’s financial performance continues to impress. In Q3FY25, the company reported a net profit of ₹110.32 crore, reflecting a 54% increase from ₹71.83 crore in the same quarter the previous year. Over the past 12 quarters, its profit growth has ranged between 57% and 287%, highlighting strong operational efficiency and rising demand.
To further strengthen its finances, the company approved the issuance of 1.37 million convertible warrants worth ₹100 crore to its promoter, Shri Ashok Sarin Anant Raj LLP. This move not only infuses capital but also reinforces promoter confidence in the company’s growth trajectory.
Debt Reduction and Analyst Confidence
Anant Raj has been actively reducing its debt, a key factor for sustained financial stability. The company’s net debt declined from ₹96 crore in Q2FY25 to ₹54 crore in Q3FY25, demonstrating strong financial discipline. Recognizing its solid fundamentals, Motilal Oswal Financial Services reaffirmed its ‘Buy’ rating for the stock in February 2024, with a target price of ₹1,085. Analysts cite Anant Raj’s consistent profitability, debt reduction, and growth prospects as the key reasons for their optimism.
Data Centers: Tapping into a High-Growth Sector
Anant Raj has already made strides in the data center market, with its 6MW IT load facility in Manesar now operational. The company plans to expand its total capacity to 22MW across Manesar and Panchkula by the end of FY25, positioning itself to benefit from India’s rising demand for digital infrastructure.
According to Managing Director Amit Sarin, India generates 28% of the world’s data but holds only 1% of global data center capacity. With the increasing adoption of cloud computing, AI, digital services, and stricter data localization laws, he believes demand will continue to outpace supply, creating significant growth opportunities in the sector.
Industry Outlook and Investment Potential
According to ICRA, India’s operational data center capacity is expected to nearly double to 2,000–2,100MW by March 2027, requiring an estimated ₹40,000–45,000 crore in investments for FY26–27 alone. Over the next 7–10 years, investments in the sector could reach ₹2.0–2.3 lakh crore, with a projected development pipeline of 3.0–3.5GW. Given its early entry into the market and expansion plans, Anant Raj is well-positioned to capitalize on this growth.
Conclusion: A Stock Worth Watching
Anant Raj’s strong profit growth, strategic expansion into data centers, and extensive land holdings make it a compelling investment prospect. While its recent stock dip may raise short-term concerns, the company’s debt reduction, high-margin data center projects, and real estate assets suggest a promising long-term outlook. However, as with any investment, market volatility and execution risks should be considered. For investors looking at opportunities in real estate and digital infrastructure, Anant Raj remains a stock to watch.