Aim: To establish the diagnostic utility of D2-40 IHC stain in dermatofibroma, by determining its positivity of expression. Study design: It was a Cross-sectional study Setting: The study was conducted in Department of Histopathology, Chughtai Institute of Pathology Duration of study: Six months (1st August 2018 to 31st January 2019) Methods: A total 70 samples were included. The clinical parameters like age and gender were recorded. The histological preparation was performed by classic method for inclusion in paraffin followed by haematoxylin-eosin staining. The immunohistochemical analysis was performed on serial sections using immune-enzymatic soluble complex method. The antibody used was D2-40 polyclonal antibody from DAKO. Diffuse crisp cytoplasmic D2-40 staining was considered positive. Results: The mean age was 32.76±10.65 years and male to female ratio was 1:1.4. There were 70% cases have D2-40 positivity for dermatofibroma and 30% have no D2-40 positivity for dermatofibroma and mean duration of disease was 9.05±6.33 months. There were significant difference (P<0.05) between age and duration of disease with respect to D2-40 positivity for dermatofibroma; Conclusion: D2-40 immunoreactivity is sensitive and is useful in the differential diagnosis of dermatofibroma. Keywords: Dermatofibroma, Haematoxylin, Immunohistochemical, Positivity of D2-40