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Fundamentals for L&T Finance Limited
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Fundamentals for L&T Finance Limited
Business Operations:
Sector: Financial ServicesIndustry: Credit Services
L&T Finance Limited, a non-banking financial company, engages in the provision of various financial products and services in India. It offers farmer finance services, that includes farm equipment finance; rural business finance services, such as agri allied, micro finance, and rural group loans; urban finance services, that includes two-wheeler finance, consumer loans, home loans, and loans against property; SME loans; and real estate finance and infrastructure finance services. The company was formerly known as L&T Finance Holdings Limited and changed its name to L&T Finance Limited in March 2024. L&T Finance Limited was incorporated in 1994 and is headquartered in Mumbai, India. L&T Finance Limited operates as a subsidiary of Larsen & Toubro Limited.
Revenue projections:
With LTF's revenues expected to fall below the previous year's, investors are likely to approach the stock with caution. Declining revenues can negatively affect profitability, which makes it harder for the company to maintain investor confidence and perform well in the market.
Financial Ratios:
| currentRatio | 0.000000 |
|---|---|
| forwardPE | 19.210123 |
| debtToEquity | 370.750000 |
| earningsGrowth | 0.176000 |
| revenueGrowth | 0.266000 |
| grossMargins | 0.991500 |
| operatingMargins | 0.446020 |
| trailingEps | 11.200000 |
| forwardEps | 15.499640 |
LTF's Forward PE being in a good range indicates that the stock is valued appropriately based on its earnings. This suggests the stock is not overpriced and leaves room for growth, providing investors with an opportunity for potential appreciation in value.
L&T Finance Limited's high debt-to-equity ratio signals that the company is heavily leveraged. This suggests L&T Finance Limited may be relying more on debt than equity to finance its operations, which could expose the company to greater financial risk in challenging economic conditions.
L&T Finance Limited's positive earnings and revenue growth indicate that the company is expected to continue expanding its business. These trends reflect strong financial health, with increasing profits and sales suggesting sustained growth and success for L&T Finance Limited.
L&T Finance Limited's positive gross and operating margins indicate healthy profitability. These margins reflect the company's ability to generate income efficiently from its operations, signaling strong financial performance and effective cost management.
LTF's forward EPS exceeding its trailing EPS reflects expectations of increased profitability for the current year. This suggests that the company is projected to achieve higher earnings than in the previous financial year, signaling positive growth and improved financial health.
Price projections:
The steady upward revision of L&T Finance Limited's price projections indicates growing confidence in the company's future. Analysts are increasingly optimistic about L&T Finance Limited's potential to deliver strong results and increased market value.
Recommendation changes over time:
Analysts have been favoring L&T Finance Limited with a buy bias recently, signaling a promising investment opportunity. This optimistic outlook may attract more investors, positioning L&T Finance Limited as a desirable option for those seeking to invest their money in a stable, profitable company with strong growth potential.
DISCLAIMER: We provide information and our musings based on events, but nothing on this site can be considered professional advice of any kind.
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