DLF (DLF)

FairStock Score: 58/100 — STEADY

Score breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I wear both hats here: Graham for price, Buffett for business. DLF at ₹665 has a market cap of ₹1.65 lakh Cr, but book value is ₹183.71, so P/B is 3.62. Graham Number is ₹263.05, giving a margin of safety of -129.56%; DCF intrinsic value is ₹380.69. I am not being paid to take that risk. P/E 37.03, PEG 8.39 and EV/EBITDA 58.67 confirm the market already expects a lot. The balance sheet is the brightest part: Debt/Equity 0.01, Piotroski F-Score 8/9, and free cash flow ₹1,760 Cr. That tells me DLF is not stretched financially. But ROE 10.10% and ROCE 6.51% are modest for a premium multiple, and Altman Z-Score 2.15 sits in the grey zone. Growth is mixed: 5-year revenue CAGR is only 5.62%, and latest sales growth is -21.38%, yet profit growth is 59.96%. The latest quarter had sales of ₹2,020 Cr and net profit of ₹1,203 Cr, so profitability is strong, but I want to know how durable that is when sales are falling. Promoter holding of 74.08% is a positive alignment signal, and dividend yield of 1.20% is modest. DLF operates in residential and commercial projects, a cyclical business where land, approvals and cycles matter. I see a financially strong but richly valued cyclical, not a bargain. I would wait for a margin of safety or evidence that ROE/ROCE and revenue growth improve.

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Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer