DMart Q3 Results: Profit Up 18% - Is The Stock Ready For A Rally?

Avenue Supermarts (DMart) has delivered a strong Q3FY26 performance, beating Street estimates across key metrics. Revenue rose 13.3% to ₹18,100 crore, while net profit jumped 18% to ₹855 crore. EBITDA grew 20% to ₹1,463 crore, with margins improving to 8.1% from 7.6% last year. The stock responded positively, rising over 2% on the back of these numbers. However, concerns remain around slowing sales per square foot, intense competition from quick commerce players, and rich valuations. With CLSA maintaining a bullish target of ₹6,185, the big question is whether this rally is sustainable. We decode the earnings, margins, store expansion, and what lies ahead for DMart.