Jefferies has reduced target prices for DLF, Lodha, and Oberoi due to concerns over the Middle East conflict affecting sector growth. However, all three companies still maintain a 'Buy' rating. Prestige and Oberoi face a cautious outlook as pre-sales are decreasing.

HDFC Securities has upgraded Godrej Properties to a 'Buy' recommendation, alongside Prestige Estates, Oberoi Realty, and Sobha, due to revised target prices caused by slower deal closures in the real estate sector.

The Nifty Realty index experienced a 24% decline in 2026 due to concerns over housing demand, uncertainty in the IT sector, and escalating geopolitical risks. Despite strong launches by developers such as Godrej Properties and Macrotech, growth may moderate in FY27 due to challenges posed by supply-demand imbalances.