Buy Lodha Developers, Aditya Birla Real Estate; organised players to benefit from housing market consolidation: Siddhartha Khemka

Brokerage recommends buying Lodha Developers (target Rs 1,285) and Aditya Birla Real Estate (target Rs 1,940), citing that organised residential developers are gaining market share as smaller players exit. The number of active developers has declined from nearly 3,500 in FY24 to about 2,100 by January 2026, while leading players' combined share has expanded by over 500 basis points since FY21 to nearly one-fifth of the market. Net operating cash flow-to-collections ratios range between 20% and 60%, and sector net debt has fallen by nearly 60% over the past decade.