DLF gets beaten down

DLF is amongst the leading losers in the realty sector. The stock opened weaker at Rs.149.40 and is currently down over 3% at Rs.146.85. Volumes remain muted just a little over 3 lakh shares.

The stock is down in the red following various news reports on the dismal state of the realty market. With no demand, inventory or unsold stock is piling up and there is reportedly stock worth almost Rs.58,000 crore lying unsold. This alone, assuming no new apartments come up, would take over two years to sell.  Of the Rs 58,000-crore, DLF accounted for almost Rs.20,000 crore, which is the highest it has ever held. Sales are flat and numbers have not been too encouraging for the past few quarters. Looks like Q2 will be another quarter of poor numbers, not just for DLF but for most of the sector.