Discover the secrets of predicting stock moves with a powerful blend of fundamental analysis and Elliott Wave Theory-based technical insights!
Fundamental Analysis
Technical Analysis
When we talk about giants in
Indian real estate, DLF Limited is a name that commands instant recognition.
With a legacy spanning decades, DLF (Delhi Land & Finance) has evolved from building residential colonies in Delhi in the 1950s to developing some of India's most iconic commercial and luxury residential projects.
But DLF isn't just constructing buildings—it's actively shaping how India
lives, works, and grows. From financial performance to futuristic project
launches, the company is on a trajectory that’s drawing both investor attention
and consumer confidence. Let’s take a look at DLF’s story, recent developments,
and what lies ahead.
FY25 Performance Highlights
A real estate company's
credibility is closely tied to its financial performance, and DLF delivers
strong numbers.
·
Sales Bookings Surge: DLF
clocked total sales bookings worth ₹21,223 crore in FY25, a phenomenal 44% YoY
growth, underlining surging demand for its residential and commercial
properties.
·
Profit Growth: Its
net profit rose 59% to ₹4,357 crore in FY25, reflecting efficient cost control
and healthy margins.
·
Cash Surplus: DLF
reported a net cash surplus of ₹5,302 crore, strengthening its balance sheet
and providing ample room for expansion.
·
Return on Equity (ROE): ROE
stood at 10.2%, a good sign for shareholders as it indicates efficient use of
capital.
·
Customer Receivables: As
of December 2024, DLF's customer receivables stood at ₹30,000 crore,
highlighting a robust pipeline of future cash flows.
High-Profile Project Launches:
Luxury Leads the Way
DLF has aggressively expanded its footprint, particularly in the luxury and ultra-luxury segments. Here’s a look at some standout launches:
Privana Series in Gurugram:
·
Privana North saw
1,164 luxury apartments worth ₹11,000 crore sold within a week.
·
Privana West
achieved ₹5,600 crore in sales, again fully sold out—showcasing DLF's brand
pull among high-end buyers.
Super-Luxury Success:
A landmark project recorded ₹13,744 crore in bookings in just its first year.
DLF Downtown Projects:
·
In Gurugram, 2
million sq. ft. of Grade A+ office space in Block-4 is 97% pre-leased.
·
In Chennai, 1.1
million sq. ft. in Block-3 is 99% pre-leased.
The next phase in Gurugram is
under development with 5.5 million sq. ft. planned.
National Expansion: Mumbai,
Goa, Chennai & Beyond
DLF is no longer focused on NCR—it's spreading its wings strategically across India.
Mumbai: DLF is re-entering the luxury residential market with a project in Andheri West, in partnership with the
Trident Group. With RERA approval already secured, the launch is expected
within weeks, and units are estimated to cost ₹5–7 crore.
Goa: DLF launches The BayView, a luxury villa project in Reis Magos—marking a strong comeback in the
holiday home market.
Chennai & Chandigarh: The
company is also pushing ahead with new launches in Guindy (Chennai) and
Chandigarh Tricity, catering to growing demand in South and North India.
Strategic Partnerships
Powering Growth
DLF’s success isn’t just about
organic expansion. Strategic collaborations are a core part of its growth
playbook:
DLF Cyber City Developers Ltd
(DCCDL):
A joint venture with GIC, Singapore's sovereign wealth fund, DCCDL handles
DLF’s rental assets. The partnership boosts confidence among global investors
and contributes to steady rental income.
Trident Group:
DLF’s
collaboration in Mumbai with Trident is a smart move to reduce execution risks
in new territories.
The Road Ahead
The company plans to launch ₹80,000 crore worth of new residential and commercial properties across Gurugram, Chennai, Goa, and Mumbai over the next 3–4 years.
In FY26 alone, ₹17,000 crore worth of residential projects are scheduled for launch.
DCCDL aims to build 15 million square feet of commercial space over the next seven years, mainly in Gurugram and Chennai.
A company’s financial health
is also reflected in its credit ratings. And DLF continues to earn accolades:
DCCDL has received an ‘AAA/Stable’ rating from CRISIL, indicating the lowest credit risk.
ICRA has upgraded its outlook
for DLF to ‘Positive,’ reinforcing its stability and growth potential.
With a 94% occupancy rate in
its rental portfolio (including 98% in non-SEZ offices and 98% in retail), DLF
has proven that demand for its properties remains exceptionally strong.
With DLF's fundamental picture looking strong and promising, it's time to shift our focus to the charts. In this section, we'll apply Elliott Wave Theory to analyse the stock's price action and explore what the next potential move in its market structure could be.
Technical Analysis
 |
| Figure 1 |
The chart above represents DLF Ltd's monthly candlestick chart. When observed through the lens of Elliott
Wave analysis, a clear structural evolution emerges.
From 2009 to 2020, DLF
experienced a prolonged sideways consolidation, with price movements largely
contained within a broad range. This decade-long phase reflects a classic
corrective structure, often seen as a preparation for the next impulsive move
in Elliott Wave theory.
Beginning around 2020, DLF
broke out of this consolidation and entered a strong impulsive uptrend, marked
by steep rallies and a noticeable increase in bullish momentum. The recent
formation of a large green candle suggests that this momentum is far from over.
It reflects growing investor confidence.
 |
| Figure 2 |
The chart illustrates a
classic Elliott Wave A-B-C corrective structure.
Here’s the breakdown:
·
Wave A (in black): The initial sharp decline
sets the corrective sequence in motion.
·
Wave B (in black): The major upward rally,
which itself subdivides into an internal A-B-C structure (noted in violet).
· Wave C: Projected as the next significant move following the completion of Wave B, anticipated to be on the downside.
 |
| Figure 3 |
Wave C is always an impulsive
wave made up of five sub-waves.
Within the C sub-wave (in
violet), the chart reveals an impulsive five-wave formation (shown in red):
·
Red wave 1: Initial impulsive thrust upward.
·
Red wave 2: Corrective pullback.
·
Red wave 3: Another impulsive (currently developing).
·
Red wave 4 & 5: Will commence after Red
Wave 3.
Microstructure: Blue Sub-Waves
within Red Wave 3
The third red sub-wave further
fractures into five smaller blue sub-waves, exemplifying the fractal nature of
Elliott Wave Theory.
According to current
annotations, blue waves 1 through 4 are visible.
The blue fifth wave—the final
part of the red third wave—has not yet formed.
 |
| Figure 4 |
On completion of correction of
4th sub-wave (in blue), DLF has to unfold into the Blue 5th wave,
which is currently unfolding
·
Green wave (1) and (2) have been completed.
·
Green wave (3) showed a strong upward momentum.
·
The pullback, which recently occurred as Green
wave (4), is corrective in nature
The next move in this sequence
would be Green wave (5), which in turn completes the Blue 5th wave.
The chart projection suggests a temporary halt or resistance around the ₹986
level, marking the top of wave 3 (in red).
Afterwards, a corrective Red
wave 4 is anticipated, potentially retracing back to ₹870, before the final Red
wave 5 rallies toward the ₹1,200+ region, thereby completing the larger wave C
of wave (B) in purple, completing a corrective phase at a higher degree.
Disclaimer: This blog post is
for informational purposes only and does not constitute investment advice.
Readers are advised to do their own research or consult a professional before
making investment decisions.