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

With LT's revenue forecasted to drop below last year's level, investors are expected to take a cautious stance. Such declines typically affect a company's bottom line, reducing profitability and making investors hesitant to invest heavily in the company until financial performance improves.

Financial Ratios:

currentRatio 0.000000
forwardPE 27.202805
debtToEquity 111.847000
earningsGrowth -0.043000
revenueGrowth 0.111000
grossMargins 0.363830
operatingMargins 0.106820
trailingEps 127.910000
forwardEps 161.034870

LT'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.
Larsen & Toubro Limited's high debt-to-equity ratio indicates a high level of leverage, meaning the company relies significantly on debt for financing. This can increase financial risk, particularly in times of economic instability or reduced profitability.
LT's low growth in both earnings and revenue indicates a likely decrease in profits. This suggests the company may be facing financial challenges, and investors should be cautious about its future performance.
LT's negative gross and operating margins indicate that the company is unprofitable, struggling to cover its production and operational costs. This reflects potential weaknesses in cost management or declining sales performance.
With a forward EPS greater than its trailing EPS, LT is expected to see higher profitability this year. The forecasted increase in earnings reflects optimism about the company's financial growth and potential for improved performance over the prior year.

Price projections:

Price projections for LT
Price projections for LT

Price projections for LT have consistently been revised upward, suggesting that analysts are increasingly optimistic about the company's performance. This trend reflects a positive outlook for LT's future.

Recommendation changes over time:

Recommendations trend for LT
Recommendations trend for LT


Analysts have been favoring LT with a buy bias recently, signaling a promising investment opportunity. This optimistic outlook may attract more investors, positioning LT as a desirable option for those seeking to invest their money in a stable, profitable company with strong growth potential.