Realty sector shines: Nifty Realty Index touches a significant level of 600 today; do you own any?

Nifty Realty Index displayed remarkable strength, registering a nearly 5% surge in today’s intraday trading session. Furthermore, it reached a significant milestone by touching the 600 level, a level it hadn’t seen since October 2009. Today, among all the indices trading on the NSE, the Realty Index has emerged as the top performer.

The NIFTY Realty Index is designed to reflect the performance of real estate companies that are primarily engaged in the construction of residential and commercial properties. The rescheduling of index constituents happens bi-annually every year.

Today, the Nifty is also trading above its high for the past five days, at approximately 19,703 levels. This represents a gain of 197 points compared to its closing level from the previous day. Let’s first compare the returns generated by the Realty index versus the Nifty50.

Nifty50 Vs Nifty Realty:

Based on the provided data, the Realty Nifty has clearly outperformed the Nifty50 across various time frames. In the last 1 year, it has delivered an impressive return of 40%, which is 2.8 times higher than the return generated by the Nifty during the same period.

Realty Index Chart (Monthly Time Frame)

Top Performer:

Observing the data, Prestige Estate has emerged as the top performer, delivering an impressive return of 61% over the last year. The second-best gainer is Macrcotech Developers, with the stock providing a 58% return to its investors during the same period.

On the other hand, Mahindra Group’s company, Mahindra Lifespace Developers, has generated a modest return of 14.9%, placing it at the bottom among all the components of the Realty Index.

Furthermore, among the ten stocks discussed in this article, four stocks have outperformed the Realty Index by generating higher returns than its benchmark index over the past year. These include Prestige Estate, Macrcotech Developers, DLF, and Godrej Properties.

Given that the index has reached significant levels, it may exhibit further upward movement in the upcoming days. Investors must keep these stocks on their radar.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.