Prestige Estates Projects shares gained more than 4 percent intraday on Friday after Deutsche Bank initiated coverage with a buy call on the stock, citing attractive valuations.

The global brokerage house has come out with a price target of Rs 260, implying 23 percent potential upside from Thursday’s closing levels.

The stock was quoting at Rs 216.30, up Rs 5.05, or 2.39 percent on the BSE, at 13:37 hours IST.

Commercial business gained relative significance and cyclical momentum remained supportive, the brokerage said, adding residential launch momentum has been improving and value mix has been drifting towards better cash flows segment.