Update shared on 13 Nov 2025
Fair value Increased 4.09%Analysts have raised their price target for Larsen & Toubro from ₹4,196.29 to ₹4,367.81. They cite slight improvements in expected profit margins and a marginally higher discount rate as key factors in their updated outlook.
What's in the News
- L&T and General Atomics Aeronautical Systems have formed a strategic partnership to manufacture advanced unmanned aircraft systems in India for the armed forces, supporting the country's Make in India initiative.
- The consortium of L&T, Bharat Electronics Ltd., and Dynarnatic Technologies will collaborate on India's 5th Generation Fighter Aircraft (AMCA) program, which will strengthen the nation’s aerospace manufacturing capabilities.
- L&T signed an MoU with Holtec International to enhance the supply of heat transfer equipment and expand the global deployment of Small Modular Nuclear Reactors.
- L&T secured a critical role in the High Voltage Direct Current (HVDC) offshore wind program with TenneT, advancing large-scale renewable energy integration in Europe.
- The company’s Heavy Engineering division won multiple international and domestic orders, including projects in the United States, Mexico, Brazil, Saudi Arabia, and India. These achievements underscore its technical excellence and global footprint. (Client Announcements)
Valuation Changes
- Fair Value Estimate has increased modestly from ₹4,196.29 to ₹4,367.81.
- Discount Rate has edged up slightly from 15.95% to 16.06%.
- Revenue Growth projection has dipped fractionally from 15.01% to 14.99%.
- Net Profit Margin is expected to rise from 6.79% to 6.96%.
- Future P/E Ratio has climbed from 31.62x to 32.23x.
Disclaimer
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