DLF stock rises 3%, rallies for second consecutive day after posting strong Q3 earnings; Buy or sell?

DLF share price remained in the spotlight on Tuesday's trading session after the stock continued its gaining streak for the second consecutive day. DLF stock rose as much as 3.4 per cent on January 28, finally ending the day at ₹727.80 on National Stock Exchange (NSE).

On Monday, the DLF shares surged over 5 per cent to an intraday high to ₹731.40 after the company posted robust December quarter earnings.

The company saw a 61 per cent year-on-year (YoY) increase in consolidated net profit to ₹1,059 crore, compared to ₹657 crore in the same period last year.

The revenue from operations for the quarter was ₹1,529 crore, showing a slight increase compared to ₹1,521 crore in the same quarter of the previous financial year.

Sequentially, the profit after tax (PAT) declined by 23 per cent compared to ₹1,381 crore recorded in Q2FY25, while revenue dropped by 20 per cent from ₹1,915 crore reported by the Gurugram-based real estate company in the July-September quarter.

The company also announced that its new sales bookings reached ₹12,093 crore, and its net cash position improved further to ₹4,534 crore.

"Our development business continues its growth trajectory, delivering record new sales bookings of ₹12,093 crore during the quarter. Our latest super luxury offering, The Dahlias in DLF 5, Gurugram, performed exceptionally well, garnering ₹11,816 crore of new bookings in the opening quarter. The overwhelming response to our new offering has resulted in the company surpassing its annual guidance," the company said.

Should you invest?

Brokerage firm JM Financial maintained its ‘buy’ rating, with a target price of ₹1,000. The brokerage firm sees an upside potential upto 42.1 per cent in the DLF stock.

“DLF with its steady annuity cash flows and fully paid-up land banks remains extremely well placed to scale up across segments and newer geographies. We maintain a BUY rating with a Mar’26 TP of INR 1,000,” the brokerage firm said.