Overall Fundamental outlook

Business Operations:

Sector: Industrials
Industry: Engineering & Construction

Larsen & Toubro Limited engages in engineering, construction, and manufacturing operations in India and internationally. The Infrastructure Projects segment is involved in the engineering and construction of building and factories, transportation infrastructure, heavy civil infrastructure, power transmission and distribution, water and effluent treatment, and minerals, and metals. The Energy Projects segment provides front-end design, modular fabrication, procurement, project management, construction, installation, and commissioning services for the oil and gas industry; coal-based and gas-based thermal power plants, including power generation equipment with associated systems and balance-of-plant packages; and engineering, procurement, and construction solutions in green energy space. The Hi-Tech Manufacturing segment designs, manufactures/constructs, supplies, and revamps/retrofits engineered critical equipment and systems for the process plants, nuclear energy, and green hydrogen sectors; marine and land platforms, and related equipment and systems, as well as aerospace products and systems, and precision and electronics products and systems for defense, security, space, and industrial sectors; and electrolysers. The IT & Technology Services segment offers information technology and integrated engineering services, e-commerce/digital platforms and data centres, and semiconductor chip design solutions. The Financial Services segment provides retail and wholesale financing services. The Development Projects segment develops, operates, and maintains infrastructure projects; and engages in toll and fare collection, as well as power generation and development activities. The Others segment manufactures and sells industrial valves and rubber processing machinery; manufactures, markets and services construction equipment and parts; and markets and services mining machinery and parts. Larsen & Toubro Limited was founded in 1938 and is headquartered in Mumbai, India.

Revenue projections:

Revenue projections for LT
Revenue projections for LT

LT's revenue is forecasted to dip below last year's figures, raising concerns for investors who are typically wary of declining financial performance. Such drops can directly affect the company's bottom line, potentially leading to a decrease in overall profitability, making investors more cautious in their decisions.

Financial Ratios:

currentRatio 1.215000
forwardPE 22.602186
debtToEquity 114.735000
earningsGrowth 0.250000
revenueGrowth 0.109000
grossMargins 0.365570
operatingMargins 0.109480
trailingEps 109.200000
forwardEps 104.420000

Larsen & Toubro Limited's current ratio is 1.215, signaling that the company has sufficient cash reserves and current assets to cover its short-term debt obligations. This suggests financial stability, as Larsen & Toubro Limited should not face any issues meeting its short-term liabilities with available resources.
With LT's Forward PE in a favorable range, the stock appears reasonably priced compared to its earnings. This suggests that it's not overpriced and there is room for growth, providing an encouraging opportunity for investors seeking future value increases.
LT's high debt-to-equity ratio points to a heavily leveraged company, with more debt than equity in its capital structure. While this can boost growth, it increases financial vulnerability in times of economic difficulty.
With earnings and revenue growth in positive territory, LT is projected to expand its business. This strong financial performance suggests the company will continue to grow, as increased profitability and sales drive future success.
LT's forward EPS being lower than its trailing EPS suggests that the company's earnings may decline in the current year. This could indicate financial challenges ahead for the company.

Price projections:

Price projections for LT
Price projections for LT

The price of LT has often been situated close to the lower end of projections. This consistent trend may signal difficulties for the company in achieving investor expectations for future performance.

Insider Transactions:

Insider Transactions for LT
Insider Transactions for LT


4 sell transactions of LT were recorded, with market price hovering near 3738.21240234375.LT saw 2 transactions to buy shares, with a market price of 3348.5250244140625.LT has seen more sells than buys at current price levels, which could point to a potential price drop. If this selling trend persists, it may indicate that investors are expecting further declines in the stock's value.

Recommendation changes over time:

Recommendations trend for LT
Recommendations trend for LT


Analysts have maintained a buy bias for LT, which could prompt investors to consider the stock as a viable investment. With this positive outlook, LT is positioned as an attractive option for those looking to park their money in a stable and potentially lucrative company.