DLF Ltd.

NSE: DLF | BSE: 532868 | ISIN: INE271C01023 | Industry: Realty
| Expensive Performer
737.6500 21.75 (3.04%)
NSE May 19, 2025 15:31 PM
Volume: 5.0M
 

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DLF Ltd.
07 Feb 2020
737.65
3.04%
HDFC Securities
With slow movement on inventory of Rs 48bn in the luxury projects of DLF Phase V, the company is recalibrating its go-to market with conversion of plotted land-bank to low-rise independent floor development with Rs 1.5-3mn ticket size. This shall enable the company to bridge the gap in sales. Though the net debt is expected to remain in the same range as of 4QFY20, through accelerated monetization of inventory coupled with monetization of its land bank and land entitlements, the company plans to reduce net debt to ~Rs 20bn. We maintain BUY. Key risks (1) Further delays in monetization of luxury segment inventory (2) Inability to fully utilize mark-to-market potential from rental assets. DLF luxury real estate continues to suffer from weak demand, elevated property prices and hence slower churn in ready inventory. Leasing portfolio continues to perform and with addition of new assets we have increased our SOTP-based TP to Rs 284/sh (vs. Rs 265/sh earlier). Strong balance sheet augurs well for lease asset portfolio growth.
Number of FII/FPI investors increased from 888 to 901 in Mar 2025 qtr.
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