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Larsen & Toubro Limited is an engineering & construction business based in India. L&T shares (LT) are listed on the NSE and all prices are listed in Indian Rupee. L&T employs 49,921 staff and has a trailing 12-month revenue of around INR1.8 trillion.
The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
| Latest market close | INR2,206.65 |
|---|---|
| 52-week range | INR1,437.94 - INR2,297.65 |
| 50-day moving average | INR2,165.26 |
| 200-day moving average | INR1,957.15 |
| Wall St. target price | INR2,396.15 |
| PE ratio | 30.8003 |
| Dividend yield | INR0 (1%) |
| Earnings per share (TTM) | INR71.29 |
Historical closes compared with the close of INR2206.65 from 2023-03-23
| 1 week (2023-03-16) | 1.52% |
|---|---|
| 1 month (2023-02-24) | 3.40% |
| 3 months (2022-12-23) | 6.98% |
| 6 months (2022-09-23) | 18.84% |
| 1 year (2022-03-24) | 24.56% |
|---|---|
| 2 years (2021-03-24) | 61.17% |
| 3 years (2020-03-24) | 211.72% |
| 5 years (2018-03-23) | 74.04% |
Valuing L&T stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of L&T's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
| Revenue TTM | INR1,805.2 billion |
|---|---|
| Operating margin TTM | 10.93% |
| Gross profit TTM | INR584.5 billion |
| Return on assets TTM | 3.81% |
| Return on equity TTM | 12.66% |
| Profit margin | 5.6% |
| Book value | INR582.29 |
| Market capitalisation | INR3.1 trillion |
TTM: trailing 12 months
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like L&T.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
Total ESG risk: 39.16
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and L&T's overall score of 39.16 (as at 01/01/2019) is pretty weak – landing it in it in the 75th percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like L&T is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
Environmental score: 9.29/100
L&T's environmental score of 9.29 puts it squarely in the 9th percentile of companies rated in the same sector. This could suggest that L&T is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.
Social score: 22.21/100
L&T's social score of 22.21 puts it squarely in the 9th percentile of companies rated in the same sector. This could suggest that L&T is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.
Governance score: 20.17/100
L&T's governance score puts it squarely in the 9th percentile of companies rated in the same sector. That could suggest that L&T is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.
Controversy score: 2/5
ESG scores also evaluate any incidences of controversy that a company has been involved in. L&T scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that L&T has, for the most part, managed to keep its nose clean.
Dividend payout ratio: 32.99% of net profits
Recently L&T has paid out, on average, around 32.99% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 1% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), L&T shareholders could enjoy a 1% return on their shares, in the form of dividend payments. In L&T's case, that would currently equate to about INR0 per share.
While L&T's payout ratio might seem fairly standard, it's worth remembering that L&T may be investing much of the rest of its net profits in future growth.
The latest dividend was paid out to all shareholders who bought their shares by 21 July 2022 (the "ex-dividend date").
L&T's shares were split on a 3:2 basis on 13 July 2017. So if you had owned 2 shares the day before before the split, the next day you'd have owned 3 shares. This wouldn't directly have changed the overall worth of your L&T shares – just the quantity. However, indirectly, the new 33.3% lower share price could have impacted the market appetite for L&T shares which in turn could have impacted L&T's share price.
Over the last 12 months, L&T's shares have ranged in value from as little as INR1437.9354 up to INR2297.65. A popular way to gauge a stock's volatility is its "beta".
Beta is a measure of a share's volatility in relation to the market. The market (NSE average) beta is 1, while L&T's is 0.5701. This would suggest that L&T's shares are less volatile than average (for this exchange).
Larsen & Toubro Limited engages in engineering, construction, and manufacturing operations worldwide. The Infrastructure segment engineers and constructs building and factories, transportation infrastructure, heavy civil infrastructure, power transmission and distribution, water and effluent treatment, and metallurgical and material handling systems. The Hydrocarbon segment provides engineering, procurement, and construction solutions for the oil and gas industry. The Power segment offers turnkey solutions for coal-based and gas-based thermal power plants, including power generation equipment with associated systems and balance-of-plant packages. The Heavy Engineering segment manufactures and supplies custom designed, engineered critical equipment and systems to the fertilizer, refinery, petrochemical, chemical, oil and gas, and thermal and nuclear power industries. The Defence Engineering segment designs, develops, produces, and supports equipment, systems, and platforms for the defense and aerospace sectors. This segment also designs, constructs, and repairs/refits defense vessels.
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