New Delhi: DLF, a leading real estate company, has delivered a stellar performance in the fourth quarter of fiscal year 2024-25. The company's net profit surged by 36%, while revenue witnessed a remarkable 46% growth. This b performance led to a slight increase in DLF's share price today, although early trading saw the stock at ₹752, down approximately 2%.
Brokerage Firm Perspectives:
1. Jefferies' Bullish Stance – Target ₹2000
Foreign brokerage firm Jefferies maintains a positive outlook on DLF. They have issued a "Buy" rating on the stock with a target price of ₹2000. They believe the company's performance in Q4 was robust, particularly driven by the luxury Dahlias project. The company has secured pre-sales exceeding ₹2,000 crore, which could further accelerate future growth.
2. Morgan Stanley's Overweight Rating – Target ₹910
Morgan Stanley also expressed confidence in DLF, assigning an "Overweight" rating with a target price of ₹910. The brokerage stated that the company's Q4 pre-sales exceeded expectations. DLF declared a dividend of ₹6 per share, aligning with estimates. They also suggest that with an 18.5x P/E ratio, DLF appears undervalued compared to other real estate companies.
3. Nomura's Neutral Opinion – Target ₹700
Nomura holds a more cautious view on DLF. They have given the stock a "Neutral" rating with a target price of ₹700. They acknowledge that Q4 results surpassed expectations, but the company hasn't significantly altered its FY26 launch guidance. The company's net cash position stands at ₹6,800 crore, indicating b financial health.
DLF's Q4 Highlights:
- Profit: 36% growth
- Revenue: 46% increase
- FY25 New Sales Bookings: ₹21,223 crore (44% growth)
- Q4 New Sales Bookings: ₹2,035 crore
- Dividend: ₹6 per share
Investment Strategy for Investors:
If you have already invested in DLF, this might be a time to consider booking profits, especially for short-term traders. However, brokerage firms believe the company's long-term growth prospects remain b. The ₹2000 target set by brokerages like Jefferies suggests potential upside in the long term.
What Should Investors Do?
- Long-term investors: Hold or consider buying on dips.
- Short-term traders: Partially book profits upon realizing returns.
- New investors: Consult a certified financial expert before investing.
DLF has demonstrated b performance in Q4 and anticipates robust growth in FY25. While the share price has seen a slight dip, brokerage confidence remains. Investors should tailor their strategies to align with their investment objectives and time horizons.
