| Snowflake Score | |
|---|---|
| Valuation | 0/6 |
| Future Growth | 2/6 |
| Past Performance | 3/6 |
| Financial Health | 5/6 |
| Dividends | 4/6 |
500510 Stock Overview
Larsen & Toubro Limited engages in engineering, construction, and manufacturing operations worldwide.
Larsen & Toubro Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | ₹1,954.55 |
| 52 Week High | ₹2,078.20 |
| 52 Week Low | ₹1,306.40 |
| Beta | 0.77 |
| 1 Month Change | 5.11% |
| 3 Month Change | 9.61% |
| 1 Year Change | 43.39% |
| 3 Year Change | 52.04% |
| 5 Year Change | 103.65% |
| Change since IPO | 4,529.20% |
Recent News & Updates
Shareholder Returns
| 500510 | IN Construction | IN Market | |
|---|---|---|---|
| 7D | -4.4% | -4.2% | -3.4% |
| 1Y | 43.4% | 43.4% | 32.6% |
Return vs Industry: 500510 matched the Indian Construction industry which returned 43.4% over the past year.
Return vs Market: 500510 exceeded the Indian Market which returned 32.6% over the past year.
Price Volatility
| 500510 volatility | |
|---|---|
| 500510 Average Weekly Movement | 3.3% |
| Construction Industry Average Movement | 6.9% |
| Market Average Movement | 6.8% |
| 10% most volatile stocks in IN Market | 9.9% |
| 10% least volatile stocks in IN Market | 4.0% |
Stable Share Price: 500510 is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: 500510's weekly volatility (3%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1938 | 40,253 | SNS Subrahmanyan | https://www.larsentoubro.com |
Larsen & Toubro Limited engages in engineering, construction, and manufacturing operations worldwide. The Infrastructure segment engineers and constructs building and factories, transportation infrastructure, heavy civil infrastructure, power transmission and distribution, water and effluent treatment, and metallurgical and material handling systems. The Power segment offers turnkey solutions for coal-based and gas-based thermal power plants, including power generation equipment with associated systems and balance-of-plant packages.
Larsen & Toubro Fundamentals Summary
| 500510 fundamental statistics | |
|---|---|
| Market Cap | ₹2.75t |
| Earnings (TTM) | ₹50.16b |
| Revenue (TTM) | ₹1.51t |
54.7x
P/E Ratio1.8x
P/S RatioIs 500510 overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| 500510 income statement (TTM) | |
|---|---|
| Revenue | ₹1.51t |
| Cost of Revenue | ₹879.88b |
| Gross Profit | ₹563.36b |
| Expenses | ₹513.20b |
| Earnings | ₹50.16b |
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
Jan 28, 2022
| Earnings per share (EPS) | 35.70 |
| Gross Margin | 37.31% |
| Net Profit Margin | 3.32% |
| Debt/Equity Ratio | 140.2% |
How did 500510 perform over the long term?
See historical performance and comparisonDividends
0.9%
Current Dividend Yield50%
Payout RatioValuation
Is Larsen & Toubro undervalued compared to its fair value and its price relative to the market?
54.75x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 500510 (₹1954.55) is trading above our estimate of fair value (₹1138.64)
Significantly Below Fair Value: 500510 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 500510 is poor value based on its PE Ratio (54.7x) compared to the Indian Construction industry average (19.1x).
PE vs Market: 500510 is poor value based on its PE Ratio (54.7x) compared to the Indian market (23x).
Price to Earnings Growth Ratio
PEG Ratio: 500510 is poor value based on its PEG Ratio (2.7x)
Price to Book Ratio
PB vs Industry: 500510 is overvalued based on its PB Ratio (3.6x) compared to the IN Construction industry average (1.3x).
Future Growth
How is Larsen & Toubro forecast to perform in the next 1 to 3 years based on estimates from 33 analysts?
20.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 500510's forecast earnings growth (20.4% per year) is above the savings rate (6.7%).
Earnings vs Market: 500510's earnings (20.4% per year) are forecast to grow slower than the Indian market (21.3% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: 500510's revenue (12.6% per year) is forecast to grow slower than the Indian market (12.9% per year).
High Growth Revenue: 500510's revenue (12.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 500510's Return on Equity is forecast to be low in 3 years time (16.4%).
Past Performance
How has Larsen & Toubro performed over the past 5 years?
-3.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 500510 has a large one-off loss of ₹47.3B impacting its September 30 2021 financial results.
Growing Profit Margin: 500510's current net profit margins (3.3%) are higher than last year (2.1%).
Past Earnings Growth Analysis
Earnings Trend: 500510's earnings have declined by 3.8% per year over the past 5 years.
Accelerating Growth: 500510's earnings growth over the past year (73.2%) exceeds its 5-year average (-3.8% per year).
Earnings vs Industry: 500510 earnings growth over the past year (73.2%) exceeded the Construction industry 21.8%.
Return on Equity
High ROE: 500510's Return on Equity (7.4%) is considered low.
Financial Health
How is Larsen & Toubro's financial position?
Financial Position Analysis
Short Term Liabilities: 500510's short term assets (₹1,910.6B) exceed its short term liabilities (₹1,375.1B).
Long Term Liabilities: 500510's short term assets (₹1,910.6B) exceed its long term liabilities (₹763.0B).
Debt to Equity History and Analysis
Debt Level: 500510's net debt to equity ratio (89.2%) is considered high.
Reducing Debt: 500510's debt to equity ratio has reduced from 183.7% to 140.2% over the past 5 years.
Debt Coverage: 500510's debt is well covered by operating cash flow (22.9%).
Interest Coverage: 500510's interest payments on its debt are well covered by EBIT (5.7x coverage).
Balance Sheet
Dividend
What is Larsen & Toubro current dividend yield, its reliability and sustainability?
0.92%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 500510's dividend (0.92%) is higher than the bottom 25% of dividend payers in the Indian market (0.3%).
High Dividend: 500510's dividend (0.92%) is low compared to the top 25% of dividend payers in the Indian market (1.34%).
Stability and Growth of Payments
Stable Dividend: 500510's dividend payments have been volatile in the past 10 years.
Growing Dividend: 500510's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (50.4%), 500510's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 500510's dividends in 3 years are forecast to be well covered by earnings (24.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.5yrs
Average management tenure
CEO
SNS Subrahmanyan (61 yo)
4.5yrs
Tenure
₹285,000,000
Compensation
Mr. Sekharipuram Narayanan Subrahmanyan, also known as SNS, has been Chief Executive Officer and Managing Director of Larsen & Toubro Limited since July 1, 2017. Mr. Subrahmanyan serves as Chief Executive...
CEO Compensation Analysis
Compensation vs Market: SNS's total compensation ($USD3.83M) is above average for companies of similar size in the Indian market ($USD1.20M).
Compensation vs Earnings: SNS's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: 500510's management team is considered experienced (4.5 years average tenure).
Board Members
Experienced Board: 500510's board of directors are considered experienced (6.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: 500510 insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Larsen & Toubro Limited's employee growth, exchange listings and data sources
Key Information
- Name: Larsen & Toubro Limited
- Ticker: 500510
- Exchange: BSE
- Founded: 1938
- Industry: Construction and Engineering
- Sector: Capital Goods
- Implied Market Cap: ₹2.746t
- Shares outstanding: 1.40b
- Website: https://www.larsentoubro.com
Number of Employees
Location
- Larsen & Toubro Limited
- L&T House
- Norottarm Morarjee Marg
- Mumbai
- Maharashtra
- 400001
- India
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/23 12:01 |
| End of Day Share Price | 2022/01/21 00:00 |
| Earnings | 2021/09/30 |
| Annual Earnings | 2021/03/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.