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Last Updated : Aug 07, 2020 09:36 AM IST | Source: Moneycontrol.com

DLF share price gains post Q1 result; Citi maintains sell rating

Morgan Stanley has maintained overweight rating with target at Rs 211.

 
 
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Real estate firm DLF share price rose over 1 percent in early trade on August 7 even after the company reported a loss in the quarter ended June 2020.

On August 5, the company reported a consolidated net loss of Rs 70.65 crore against a profit of Rs 414.72 crore in the year-ago period.

The company's revenue from operations fell by percent YoY to Rs 548.63 crore against Rs 1,331.19 crore.

Citi | Rating: Sell | Target: Rs 144

It is expectedly weak but decent cost control by the company. The near-term outlook on pre-sale & cash flows remains muted.

Will monitor COVID-19 impact on residential pre-sales & new leasing in the rental business. The slow pace in reduction of net debt needs to be monitored, reported CNBC-TV18.

Morgan Stanley | Rating: Overweight | Target: Rs 211

The company has changed its business strategy to focus on mid-income housing and will now monetise its projects during the development phase and not wait for completion which should help augment medium-term cash flows and strengthen the business model.

CLSA | Rating: Buy | Target: Rs 190

There was tight control of cash flow while chasing growth. The management expects residential demand to gradually improve.

The execution has improved to 65 percent of its pre-COVID-19 level. The strong rental income, ready inventory and strong balance sheet are the positives for the company, reported CNBC-TV18.

At 09:22, hrs DLF was quoting at Rs 143.05, up Rs 0.35, or 0.25 percent on the BSE.
First Published on Aug 7, 2020 09:36 am
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