DLF dips 3% after weak Q1; Nomura sees recovery in launches, eyes 11% gains

DLF Ltd.’s share price fell over 3 per cent on Tuesday, a day after the company reported its April-June quarter (Q1FY27) results.

 

The company posted weak first-quarter results as the firm’s consolidated revenue fell to Rs 1,605.56 crore, a decline of 46 per cent from the year-ago period. The company’s profit, however, surged 4 per cent year-on-year to Rs 794 crore. Brokerage firm Nomura noted that the company’s quarterly results were a miss.

 

As of 11:18 AM, the real estate company’s share price was trading at 1.69 per cent lower at ₹658 apiece, meanwhile, Nifty 50 was trading 0.72 per cent down at 24,596.10. Intraday, the stock fell 3.14 per cent to hit a low of ₹647.50.

 

 

Nomura noted that “overall, the quarter was a miss from a P&L perspective as high-margin projects would be recognised from 2QFY28F only; and from a pre-sales perspective as there was no launch in the quarter. We expect launch momentum to significantly improve into the year.”

 

The brokerage further added that from the company’s unsold (but launched) inventory, the company has ₹167 billion worth of inventory, with a gross margin of ₹120 billion (72 per cent gross margin, largely due to the Dahlias project) pending recognition. This implies that DLF could recognise a blended gross margin of ₹390 billion (53 per cent gross margin) when it recognises sales from its entire launched inventory over the next 4-5 years. The brokerage maintained a ‘Buy’ call for the stock with a target price of ₹740, an upside of nearly 11 per cent from the previous close of the stock price.

 

DLF stock movement

DLF’s stock has underperformed the broader market across multiple timeframes. Over the past week, the stock has fallen 0.82 per cent, compared with a 3.34 per cent rise in the Nifty Next 50. In the last one month, it has declined 2.71 per cent, against the index’s 3.08 per cent gain.

 

Over longer periods, the stock has fallen 4.89 per cent so far in 2026, while the Nifty Next 50 has gained 6.92 per cent. Over the past one year, DLF has fallen 17 per cent versus 11.3 per cent gain for the index. Its three-year and five-year returns stand at 34 per cent and 87 per cent, respectively, compared with 66 per cent and 87 per cent gain for the Nifty Next 50.

   

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