Buy DLF, target price Rs 1,000: JM Financial

JM Financial has a buy call on DLF with a target price of Rs 1,000. The current market price of DLF is Rs 705.5.
DLF., incorporated in 1963, is a Large Cap company with a market cap of Rs 174583.73 crore, operating in the Real Estate sector.

DLF's key products/revenue segments include Property Development, Rental Income, Other Operating Revenue and Royalty Income for the year ending 31-Mar-2023.


Financials
For the quarter ended 31-12-2024, the company has reported a Consolidated Total Income of Rs 1737.47 crore, down -20.33% from last quarter Total Income of Rs 2180.83 crore and up 5.72% from last year same quarter Total Income of Rs 1643.5c crore. The company has reported net profit after tax of Rs 440.40 crore in te latest quarter.

The company?s top management includes Dr.K P Singh, Dr.Umesh Kumar Chaudhary, Ms.Priya Paul, Mr.Vivek Mehra, Lt. Gen. (Retd.)Aditya Singh, Mr.A S Minocha, Ms.Anushka Singh, Ms.Savitri Devi Singh, Ms.Pia Singh, Mr.Devinder Singh, Mr.Ashok Kumar Tyagi, Mr.Rajiv Singh, Lt. Gen. (Retd.)Ajai Singh. Company has S R Batliboi & Co. LLP as its auditors. As on 31-12-2024, the company has a total of 248 crore shares outstanding.


Investment Rationale
According to JM Financial, the steady growth in annuity business will be complimented by high margin residential segment having a high quality land bank, sufficient for growth over the next 20 years. DLF remains one of our preferred picks in real estate and we maintain BUY with SoTP based target price of Rs 1,000 (implying 44% upside).

Promoter/FII Holdings
Promoters held 74.08 per cent stake in the company as of 31-Dec-2024, while FIIs owned 16.37 per cent, DIIs 4.81 per cent.