Stock market analysts have maintained ‘buy’ rating on DLF stock with an intraday target of Rs 293.

According to them, interested traders can purchase the stock above Rs 279 with a strict stop loss of Rs 270. If the stock market remains positive, the stock pricing becomes more attractive, and reach above Rs 298.

Shares of the company, on Wednesday (Dec 31), closed at Rs 281.90 on the Bombay Stock Exchange (BSE). The total volume of shares traded at the BSE was 5232748. Current EPS & P/E ratio stood at 15.16 and 18.89 respectively. The share price has seen a 52-week high of Rs 1225 and a low of Rs 158 on BSE.

The stock has good potential and it can still exhibit superb surge. It will achieve the target price as the company has robust growth plans and tough operating capabilities.

On Dec 15, DLF, India’s largest realty developer, announced that it will pump in Rs 150 billion by the next three years to build up various residential projects across the country in Rs 1.5 - 4 million range.

The company’s investment plans for reasonable housing matches with declaration by public sector banks to boost up the sector by slashing home-loan interest rates, putting caps of 9.25% for Rs 0.5-2 million and 8.5% for loans of up to Rs 5 million.

DLF Home Developers, the wholly-owned arm of DLF, would build around 40,000 housing units in the mid-income category, sizes of which would vary between 1,000 sq ft and 1,800 sq ft.

DLF has launched mid-income housing projects in Bangalore, Gurgaon, Hyderabad, Indore, Kochi, Kolkata and Pune.

DLF, during Dec 2008, dropped its plans to establish an IT special economic zone (SEZ) in Delhi citing slump in the worldwide financial system.

Instead, the company will utilize around 25 acres for residential projects. Earlier, it received an in-principle approval from the government in order to develop an IT-SEZ, close to Swatantra Bharat Mill. But, now it has applied for a formal withdrawal of the in-principle approval.

Other stocks from the same sector that looks good for short-term as well as long-term trading includes Omaxe, Indiabulls Real and HDIL.