A well-known Indian multinational corporation with a significant presence in engineering, construction, technology, manufacturing, and financial services is Larsen & Toubro (L&T). The business is one of India’s top 25 largest by revenue and has a market valuation of about $77 billion.
Investors and analysts have been particularly interested in L&T’s stock price recently. Investors pay great attention to the company’s performance and future prospects because of its impact on the Indian economy and its status as a leading indicator of the infrastructure industry.
The prospective share price objectives for L&T from 2023 to 2030 will be covered in this article. We will examine potential influences on the company’s expansion and profitability, as well as general market trends.
During the last quarter of FY23, PAT and sales both increased by 10% year over year. In Q4FY23, the combined net profit was 3,987 crore while the total revenue for the period was 58,335 crore. The company’s board of directors announced a dividend of 24 per share during a meeting on Wednesday. The PAT and revenue for the three months ending in March 2022 were 3,621 crores and 52,851 crores, respectively.EBITDA, however, increased by 5% to $6,833 crore in Q4 FY23 from $6,517 crore in Q4 FY22. EBITDA margin decreased from 12.3% in Q4FY22 to 11.7% in the quarter under review. Additionally, L&T’s order book increased by 3% year over year during the quarter to reach 76,099 crores, with overseas orders accounting for 36,046 crores or 47% of the total. The firm, which specializes in EPC Projects, Hi-Tech Manufacturing, and Services, has orders totaling 230,528 crores at the group level as of March 31, 2023, representing a robust rise of 19% YoY. The firm got orders during the fiscal year from a variety of industries, including public spaces, hydel & tunnels, irrigation systems, ferrous metals, oil & gas, power transmission & distribution, and defense sectors. In contrast, 38% of the entire amount of orders received throughout the year came from outside, totaling 86,523 crores. As of March 31, 2023, L&T’s order book was 399,526 crore on a combined basis. Overall, the company’s PAT increased significantly in FY23, rising by 21% YoY to Rs. 10,471 crores. The profitability includes exceptional gains of 97 crores attributable to profit on divestiture of the Financial Services segment’s Mutual Fund business, which is partially offset by a one-time charge resulting from the remeasurement of the wholesale loan assets at fair value. Consolidated revenue for the entire fiscal year FY23 increased 17% YoY to 183,341 crores, driven by the IT&TS portfolio’s strong growth and the segment’s successful execution of a sizable order book. 38% of the fiscal year’s 68,787 crores in income came from overseas.
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L&T IN RECENT NEWS
- On Monday, Larsen & Toubro (L&T) said that it has received sizable orders totaling more than Rs 2,500 crore in both local and international markets. It added in a statement that the engineering, procurement, and construction (EPC) branch of the company, Larsen & Toubro Construction, had received sizable contracts to be set up on this basis. The company in Saudi Arabia has obtained two orders to build 380kV overhead electricity transmission lines linking important communities along the Red Sea coast. According to the corporation, another contract is to design, supply, and build a 380kV substation in Saudi Arabia’s central province.
- Subject to shareholder approval, the board of directors recommended a final dividend of 24 per equity share. From its net profit in FY22, the firm distributed a dividend to its stockholders in the amount of 1100%, or 18 per share.
L&T SHARE PRICE TARGET 2023
|L&T SHARE PRICE TARGET 2023||Maximum Price||Minimum Price|
The projected Larsen & Toubro share price targets for 2023 suggest some level of volatility, with potential fluctuations in each month. May is projected to have a dip with a maximum of ₹2240 and a minimum of ₹1635, indicating a significant level of volatility. The share price is expected to rise significantly in July, with a projected maximum of ₹2090 and a minimum of ₹1752, while August and September are expected to show a continued upward trend with a projected maximum of ₹2193 and ₹2213, respectively. October is projected to be similar to August, while November is expected to show another rise, with a maximum of ₹2402 and a minimum of ₹2001. Finally, December is projected to have the highest level of volatility with a maximum of ₹2500 and a minimum of ₹2100.
L&T SHARE PRICE TARGET 2024
|L&T SHARE PRICE TARGET 2024||Maximum Price||Minimum Price|
The share price targets for Larsen & Toubro in 2024 show some fluctuations, with some months demonstrating considerable volatility. January is expected to be the most volatile month with a maximum of ₹4528 and a minimum of ₹1037.03. In February and March, the share price is projected to increase, with a maximum of ₹5087 and ₹5355, respectively. However, April and May are projected to show a downward trend, with a minimum of ₹3745 and ₹3121, respectively. June is projected to be similar to April, while July and August are expected to show a slight uptick with a maximum of ₹4138 and ₹4552, respectively. The share price is projected to rise significantly in October and November, with a maximum of ₹5623 and ₹5904, respectively. December is expected to remain relatively stable, with a maximum of ₹6022 and a minimum of ₹4632.
L&T SHARE PRICE TARGET 2025
|L&T SHARE PRICE TARGET 2025||Maximum Price||Minimum Price|
Based on the data provided, it appears that Larsen & Toubro (L&T) may experience some volatility in its share price throughout 2025. The maximum share price target for L&T during this period is ₹7305, while the minimum share price target is ₹4239. However, there are several months in which L&T’s share price is expected to rise, including March, June, September, October, November, and December. During these months, the maximum share price targets range from ₹6314 to ₹7305, indicating that the company may be performing well or benefiting from favorable market conditions. On the other hand, there are also months in which L&T’s share price is expected to decline, such as May, where the maximum share price target is ₹5511 and the minimum is ₹4239.
L&T SHARE PRICE TARGET 2026 TO 2030
|L&T SHARE PRICE TARGET BY||Maximum Price||Minimum Price|
Based on the data provided, it appears that Larsen & Toubro’s share price may experience significant fluctuations over the course of 2026 to 2030. In 2026, the maximum share price target for L&T is ₹5113, while the minimum is ₹3579. This suggests that the company may experience some ups and downs during this year. Similarly, in 2027, the maximum share price target is ₹4346 and the minimum is ₹3043, indicating that the share price may continue to be volatile. However, in 2028, there is a notable increase in the maximum share price target, which reaches ₹7824, while the minimum is ₹5477. This suggests that the company may experience significant growth during this year, potentially due to positive market conditions or strong performance.
In 2029, the maximum share price target for L&T is a significant ₹16071, while the minimum is ₹11250. This indicates that the company may be experiencing a period of exceptional growth or success, potentially due to major projects or favorable market conditions. Finally, in 2030, the maximum share price target for L&T is ₹17897, while the minimum is ₹12528. This suggests that the company may be continuing to perform well, although there may be some fluctuations in the share price throughout the year.
FINANCIAL STRENGTH OF LARSEN AND TOUBRO LTD (2018 TO 2022)
|ANNUAL||FY 2022||FY 2021||FY 2020||FY 2019||FY 2018|
|Total Revenue Growth (%)||13.90||-5.69||7.85||13.18||9.43|
|Total Expenses Growth (%)||13.53||-5.37||8.71||12.81||7.55|
|Profit after Tax (PAT)||8,669.33||11,582.93||9,549.03||8,905.13||7,369.86|
|PAT Growth (%)||-25.15||21.30||7.23||20.83||21.99|
|Operating Profit Margin (%)||11.20||11.87||11.15||11.27||10.90|
|Net Profit Margin (%)||5.53||8.51||6.56||6.58||6.15|
|Basic EPS (₹)||61.71||82.49||68.04||63.51||52.62|
Looking at Larsen & Toubro’s financial statements for the past five years, it appears that the company has experienced significant growth, although there have been some fluctuations in key financial metrics. In terms of revenue, L&T saw a maximum of ₹1,58,788.31 crore in FY 2022, compared to a minimum of ₹1,21,095.19 crore in FY 2018, indicating an overall growth trend over the five-year period. Similarly, the company’s profit after tax (PAT) has also experienced growth, with a maximum of ₹11,582.93 crore in FY 2021 and a minimum of ₹7,369.86 crore in FY 2018. However, there have been some fluctuations in PAT growth, with a decrease of 25.15% in FY 2022 compared to the previous year.
In terms of expenses, L&T has seen an overall upward trend, with a maximum of ₹1,44,377.58 crore in FY 2022 and a minimum of ₹1,09,579.03 crore in FY 2018. There has also been a steady increase in both revenue growth and total expenses growth over the five-year period, indicating that the company has been investing in growth and expansion.
Despite the fluctuations in PAT growth, L&T has maintained a relatively stable operating profit margin over the past five years, with a maximum of 11.87% in FY 2021 and a minimum of 10.90% in FY 2018. The company’s net profit margin has been somewhat less stable, with a maximum of 8.51% in FY 2021 and a minimum of 6.15% in FY 2018.
Overall, it appears that L&T has experienced significant growth over the past five years, with increases in both revenue and expenses, as well as in key financial metrics such as PAT and profit margins. However, there have been some fluctuations in these metrics, suggesting that investors should carefully consider the company’s financial performance before making investment decisions.
Share Price Targets for L&T by Experts
ICICI Direct price target on L&T
ICICI Direct has a buy call with a target price of Rs 2650 on Larsen & Toubro.
JP Morgan price target on L&T
JP Morgan, a prominent international brokerage, has high hopes for engineering and construction giant Larsen & Toubro (NSE: LT). L&T’s target price has increased by 6% at the brokerage, to Rs 2,480 per share from Rs 2,330 per share.
Jefferies price target on L&T
A renowned engineering business in India, Larsen & Toubro Ltd., has maintained its “buy” recommendation from Jefferies India. From the present market price, the investment bank has increased its target price for the firm by 22% to Rs 2,650.
Emkay price target on L&T
Emkay: Hold | Goal: 2,303 Rupees | Negative: 3%
Emkay reduced the stock’s recommendation from ‘buy’ to ‘hold’ with a price objective of Rs 2,303. Although the business had sizable inflows during the reporting quarter, the brokerage claimed the margins underwhelmed. Strong inflows, but disappointing margins; Hold; Target: Rs2,303; Larsen & Toubro. On account of strong outperformance (LT has outperformed the Nifty by 30% in the previous year), although core margin remains poor, we downgrade LT to HOLD from Buy, with a Mar. 24 target price of Rs. 2,303/share, the report stated.
B&K Securities price target on L&T
Buy | Target: Rs 2,604 | Upside: 10% | B&K Securities The company, which is presently selling at 27X its FY24E EPS, still has a ‘buy’ recommendation from B&K Securities. According to the brokerage, L&T has benefited from a large order book, solid balance sheet, diverse business portfolio, and proven execution capabilities that have served as an economic moat in the present unstable and difficult business climate. “In order to account for the disappointing margin performance in the most recent quarter, we have revised our profits forecast downward by 11%/4.5% for FY24 and FY25E, respectively. We move our goal price ahead to March 2025 to achieve the new target price of Rs 2,604 (formerly Rs 2,353),” it said.
Nuvama price target on L&T
Buy Nuvama | Target: Rs 2,750 | Potential Gain: 16%
With a lowered target price of Rs 2,750 as opposed to the prior Rs 2,700, Nuvama maintains a ‘buy’ rating on the company. The EPS for FY24/25E, which the local brokerage increased by (3)/3%, is the foundation for the future value. It stated in a note that it considers L&T to be a desirable stable compounder with a potential for 12–15% sales growth, which would result in margin expansion/rising inflows.
Nomura price target on L&T
Nomura raises its price target for Larsen & Toubro from INR2,540 to INR2,770 and maintains a buy rating.
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What is the maximum share price target of Larsen And Toubro Ltd in 2026?
The maximum share price target of Larsen and Toubro Ltd in 2026 is Rs. 51.13
What is the maximum share price target of Larsen And Toubro Ltd in 2027?
The maximum share price target of Larsen and Toubro Ltd in 2027 is Rs. 43.46
What is the maximum share price target of Larsen And Toubro Ltd in 2028?
The maximum share price target of Larsen and Toubro Ltd in 2028 is Rs. 78.24
What is the maximum share price target of Larsen And Toubro Ltd in 2029?
The maximum share price target of Larsen and Toubro Ltd in 2029 is Rs. 160.71
What is the maximum share price target of Larsen And Toubro Ltd in 2030?
The maximum share price target of Larsen and Toubro Ltd in 2030 is Rs. 178.97
CONCLUSION: LARSEN AND TOUBRO LTD SHARE PRICE TARGET
Based on the financial statements of Larsen And Toubro Ltd over the last five years, the company has shown a consistent growth trend in terms of revenue and total expenses. The company’s operating profit margin and net profit margin have been stable, indicating that it has been able to maintain profitability despite the economic challenges. However, the company’s PAT has shown some fluctuations, with a decline in FY 2022 compared to FY 2021. While the company’s EPS has been increasing over the years, the decline in PAT in the most recent year is a cause for concern.
Considering these factors, it is important for investors to conduct further research before investing in Larsen And Toubro Ltd shares. While the company has shown growth in revenue and profit in the past, the decline in PAT in the most recent year suggests that the company may face some challenges in the near future. However, if the company can continue to maintain its revenue growth and profitability, it may be a good long-term investment option. Therefore, investors should consider the company’s financial performance and outlook, as well as their own investment goals and risk tolerance, before making a decision on whether to buy Larsen And Toubro Ltd shares.