Awfis Space Solutions: Strong Q3, but Target Price Revised to INR 590

• Awfis Space Solutions reported strong operational performance with blended occupancy reaching 75% in Q3FY26, a 100 bps QoQ and 200 bps YoY increase.
• The higher occupancy was driven by a favorable seat cohort mix, with over 500-seat cohorts making up 36% of the portfolio.
• EBITDA margin hit an all-time high of 36.5% in Q3FY26, up from 36.1% in Q2FY26 and 33.8% in Q3FY25.
• Awfis added 7,000 seats during the quarter, contributing to its expansion.
• Choice Institutional Equities revised Awfis's target price to INR 590/share (from INR 760/share), citing higher projected capex, lower PAT for FY26-28E, and a reduced sectoral EV/Adjusted EBITDA multiple due to muted investor sentiment.

Why It Matters: Awfis shows strong operational growth, but Choice Institutional Equities revised its target price downwards.