Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post

Larsen & Toubro Ltd: Intrinsic Value & Share Price Analysis

Fair Value

₹2,874.89Overvalued by 20.32%vs CMP ₹3,608.00

P/E (29.1) × ROE (16.6%) × BV (₹737.00) × DY (0.94%)

₹1,917.00Overvalued by 46.87%vs CMP ₹3,608.00
MoS: -88.2% (Negative)Confidence: 59/100 (Moderate)Models: 1 Fair, 7 Over
ModelCategoryValueWeightSignal
PE-ROEEarnings₹3,273.9626%Fair (-9.3%)
Graham NumberEarnings₹1,399.9018%Over (-61.2%)
DCFCash Flow₹1,700.5415%Over (-52.9%)
Net Asset ValueAssets₹737.098%Over (-79.6%)
EV/EBITDAEnterprise₹1,821.6610%Over (-49.5%)
Earnings YieldEarnings₹1,181.808%Over (-67.2%)
ROCE CapitalReturns₹1,323.438%Over (-63.3%)
Revenue MultipleRevenue₹1,859.296%Over (-48.5%)
Consensus (8 models)₹1,917.00100%Overvalued
Key Drivers: Wide model spread (₹737–₹3,274) — high uncertainty.

PE-ROE · Graham · EPV · DCF · NAV · EV/EBITDA · DDM · Earnings Yield · ROCE Capital · Revenue Multiple | CoE: 12% · Terminal: 4% · EPS CAGR: 13.9%

*Investments are subject to market risks

Analyst Summary

Larsen & Toubro Ltd operates in the Construction, Contracting & Engineering segment, current market price is ₹3,608.00, market cap is 4,96,259 Cr.. At a glance, stock P/E is 29.1, ROE is 16.6 %, ROCE is 14.5 %, book value is 737, dividend yield is 0.94 %. The latest intrinsic value estimate is ₹1,917.00, around 46.9% below the current price, so expectations may already be running ahead of this modelled fair value. On operating trend, latest reported sales are about ₹255,734 Cr versus the prior period change of 15.7%, while latest net profit is about ₹17,673 Cr with a prior-period change of 13.7%. The 52-week range shown on this page is 4,440/2,965, which helps frame where the current quote sits within its recent trading band. Business context: About the Company - Qualitative AnalysisLarsen & Toubro Ltd. is a Public Limited Listed company incorporated on 07/02/1946 and has its registered office in the State of Maharashtra, India. Company's Corporate Identification Number(CIN) is L…

This summary is generated from the stock page data available for Larsen & Toubro Ltd: Intrinsic Value & Share Price Analysis and is refreshed automatically when the underlying metrics change.

Investment Snapshot

58
Larsen & Toubro Ltd scores 58/100 (Average)
Based on 5 dimensions: health, institutional flow, earnings quality, momentum, and peer comparison
Stock Health57/100 · Moderate
ROCE 14.5% GoodROE 16.6% GoodD/E 1.73 High debtInterest Coverage 0.0x RiskyProfitable 5/5 years Consistent
Smart Money60/100 · Moderate
FII holding up 0.26% (6mo) Slight increase
Earnings Quality60/100 · Moderate
OPM stable around 13% SteadyWorking capital: -33 days (improving) Efficient
Quarterly Momentum68/100 · Strong
Revenue (4Q): +12% YoY GrowingProfit (4Q): +15% YoY Positive
Industry Rank40/100 · Moderate
P/E 29.1 vs industry 19.4 Premium to peersROCE 14.5% vs industry 14.0% Average3Y sales CAGR: 18% Moderate

Weights: Health 30% · Earnings Quality 25% · Momentum 20% · Industry Rank 15% · Smart Money 10%. Scores are computed from reported financials and recalculated daily. Not investment advice.

Share Price and Basic Stock Data

Last Updated: April 2, 2026, 3:14 am

Market Cap 4,96,259 Cr.
Current Price 3,608
Intrinsic Value₹1,917.00
High / Low 4,440/2,965
Stock P/E29.1
Book Value 737
Dividend Yield0.94 %
ROCE14.5 %
ROE16.6 %
Face Value 2.00
PEG Ratio2.10

Stock P/E, Current Price, and Intrinsic Value Over Time

View Share Price Target for Larsen & Toubro Ltd

Competitors

Stock Name ⇩Market Cap ⇩Current Price ⇩High / Low ⇩Stock P/E ⇩Book Value ⇩Dividend Yield ⇩ROCE ⇩ROE ⇩Face Value ⇩
Larsen & Toubro Ltd 4,96,259 Cr. 3,608 4,440/2,96529.1 7370.94 %14.5 %16.6 % 2.00
IRB Infrastructure Developers Ltd 26,101 Cr. 21.6 27.2/18.532.7 16.90.69 %7.82 %5.91 % 1.00
Ahluwalia Contracts (India) Ltd 4,550 Cr. 679 1,129/64517.0 2870.09 %18.5 %11.9 % 2.00
Ashoka Buildcon Ltd 3,109 Cr. 111 231/1012.97 1500.00 %39.7 %54.8 % 5.00
Marathon Nextgen Realty Ltd 2,668 Cr. 396 775/36812.5 3260.25 %12.0 %13.2 % 5.00
Industry Average89,147.00 Cr628.2719.35214.440.24%13.97%16.65%5.56

All Competitor Stocks of Larsen & Toubro Ltd

Quarterly Result

MetricDec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025
Sales 46,39058,33547,88251,02455,12867,07955,12061,55564,66874,39263,67967,98471,450
Expenses 39,73649,98141,56643,98447,92958,42648,07453,63856,77064,51655,65559,47062,259
Operating Profit 6,6538,3546,3167,0407,1998,6537,0467,9177,8989,8768,0248,5139,190
OPM % 14%14%13%14%13%13%13%13%12%13%13%13%13%
Other Income 8917411,1461,1338381,1359211,1019681,6101,3571,38497
Interest 2,3832,3342,2992,2722,3442,3452,2922,4392,4862,4192,4882,4702,399
Depreciation 8258548309109211,0219981,0241,0471,0521,0331,0921,072
Profit before tax 4,3365,9074,3324,9914,7726,4224,6775,5555,3338,0145,8606,3365,817
Tax % 29%25%28%23%25%22%26%26%25%23%26%26%34%
Net Profit 3,0584,4593,0963,8463,5935,0133,4454,0993,9746,1564,3184,6783,825
EPS in Rs 18.1728.3717.7423.4521.4431.9820.2624.6924.4339.9726.3028.5423.37

Last Updated: February 5, 2026, 5:41 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: February 16, 2026, 1:09 pm

MetricMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025TTM
Sales 85,05491,929101,122109,312119,683135,220145,452135,979156,521183,341221,113255,734277,504
Expenses 70,96876,24585,63792,69199,572112,354120,899112,519132,207156,175192,355221,399241,901
Operating Profit 14,08615,68415,48616,62020,11122,86624,55323,46024,31427,16628,75834,33535,603
OPM % 17%17%15%15%17%17%17%17%16%15%13%13%13%
Other Income 1,3371,4221,2191,4661,4652,7013,0158,1112,3642,8914,9533,2894,448
Interest 6,4947,2666,8996,8297,7149,33911,02111,7509,2359,4459,5129,9259,775
Depreciation 1,4462,6231,7872,3702,2231,9232,4622,9042,9483,5023,6824,1214,249
Profit before tax 7,4837,2178,0208,88711,63914,30514,08616,91814,49517,10920,51723,57926,027
Tax % 35%31%30%23%27%28%23%24%29%26%24%25%
Net Profit 4,8854,9664,5926,4868,00410,21710,89412,92110,41912,53115,54717,67318,977
EPS in Rs 35.4134.1730.6443.1752.5963.4868.0282.4761.7074.5095.00109.35118.18
Dividend Payout % 27%32%40%22%30%28%26%44%36%32%36%31%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-20242024-2025
YoY Net Profit Growth (%)1.66%-7.53%41.25%23.40%27.65%6.63%18.61%-19.36%20.27%24.07%13.67%
Change in YoY Net Profit Growth (%)0.00%-9.19%48.78%-17.84%4.24%-21.02%11.98%-37.97%39.63%3.80%-10.39%

Larsen & Toubro Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2014-2015 to 2024-2025.

Growth

Last Updated: September 5, 2025, 9:35 am

Balance Sheet

Last Updated: December 10, 2025, 3:00 am

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Sep 2025
Equity Capital 185186186187280281281281281281275275275
Reserves 37,52640,72343,99450,03054,62362,09466,44275,58882,12789,04586,08497,381101,108
Borrowings 80,84693,63088,13593,954107,524125,555143,174134,629125,508120,650116,322132,409134,001
Other Liabilities 50,32458,72761,77567,40080,81290,10696,79099,597111,112119,745136,921149,050155,718
Total Liabilities 168,881193,266194,091211,571243,240278,036306,687310,095319,028329,722339,602379,114391,103
Fixed Assets 32,39734,73814,17616,67718,58021,19443,65344,31942,94542,64142,96444,05545,403
CWIP 14,17914,99310,97413,29813,44313,9193,3115001,2503,0663,0452,5893,256
Investments 8,1099,61215,46519,75315,31120,90720,04739,62739,39544,79845,64854,80555,180
Other Assets 114,197133,923153,475161,843195,905222,016239,675225,649235,438239,217247,946277,665287,264
Total Assets 168,881193,266194,091211,571243,240278,036306,687310,095319,028329,722339,602379,114391,103

Reserves and Borrowings Chart

Cash Flow

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Cash from Operating Activity + -7,143-1,365-3,2406,655-10,031-4,7566,69423,07419,16422,77718,2669,161
Cash from Investing Activity + -5,510-4,778-4,627-9,7963,914-11,023-8,408-5,750-3,585-8,0482,179-15,489
Cash from Financing Activity + 13,1367,9037,2532,8969,37015,4406,372-15,274-15,181-11,572-25,4136,557
Net Cash Flow 4831,759-613-2453,254-3384,6582,0493973,156-4,968228
Free Cash Flow -13,821-7,460-7,3633,834-12,046-8,2553,39422,15116,12418,98414,0565,620
CFO/OP -30%10%-0%59%-33%1%44%113%97%103%82%43%

Free Cash Flow

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Free Cash Flow-66.00-78.00-73.00-77.00-87.00-103.00-119.00-111.00-101.00-93.00-88.00-98.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Debtor Days 113119949610199102113108898177
Inventory Days 697651414551445144413230
Days Payable 261288283301349340336401378302255208
Cash Conversion Cycle -78-92-138-164-203-190-190-236-227-172-143-101
Working Capital Days 281244424520252802-16-33
ROCE %12%10%11%11%14%13%12%10%10%12%13%14%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025
FIIs 24.48%25.29%25.72%25.50%24.36%22.85%21.72%20.83%19.80%19.33%19.48%20.06%
DIIs 38.64%38.01%37.16%37.34%38.08%38.89%40.44%41.71%42.71%43.48%43.34%42.99%
Government 0.23%0.23%0.23%0.23%0.23%0.24%0.24%0.24%0.24%0.24%0.24%0.24%
Public 36.65%36.47%36.89%36.93%37.33%38.01%37.60%37.21%37.25%36.95%36.92%36.69%
No. of Shareholders 14,25,06414,23,20214,07,11714,54,62415,64,08517,36,84416,89,15516,75,14617,06,26416,81,49116,71,00616,30,031

Shareholding Pattern Chart

No. of Shareholders

Larsen & Toubro Ltd: Intrinsic Value & Share Price Analysis - Shareholder trend analysis

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
ICICI Prudential Large Cap Fund 12,574,023 6.45 4944.4812,443,3522026-02-22 00:37:461.05%
SBI Large Cap Fund 7,400,000 5.31 2909.9N/AN/AN/A
HDFC Balanced Advantage Fund 6,579,083 2.42 2587.09N/AN/AN/A
Kotak Flexicap Fund 5,300,000 3.69 2084.12N/AN/AN/A
SBI Equity Hybrid Fund 5,153,000 2.49 2026.315,198,4182025-12-08 00:51:45-0.87%
Nippon India Large Cap Fund 4,400,529 3.45 1730.42N/AN/AN/A
Axis Large Cap Fund 4,243,229 5.15 1668.564,202,7292026-02-22 00:37:460.96%
ICICI Prudential Balanced Advantage Fund 4,211,774 2.35 1656.24,276,1742026-02-23 00:30:02-1.51%
ICICI Prudential Value Fund 3,805,143 2.48 1496.3N/AN/AN/A
Mirae Asset Large Cap Fund 3,751,665 3.65 1475.273,805,1472026-02-23 01:16:54-1.41%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 25Mar 24Mar 23Mar 22Mar 21
FaceValue 2.002.002.002.002.00
Basic EPS (Rs.) 109.3693.9674.5161.7182.49
Diluted EPS (Rs.) 109.2893.8874.4561.6582.41
Cash EPS (Rs.) 158.58140.05114.7494.22112.57
Book Value[Excl.RevalReserv]/Share (Rs.) 710.12746.01736.87678.79625.97
Book Value[Incl.RevalReserv]/Share (Rs.) 710.12746.01736.87678.79625.97
Revenue From Operations / Share (Rs.) 1859.621608.501304.451113.99968.13
PBDIT / Share (Rs.) 222.22201.15168.50145.79135.66
PBIT / Share (Rs.) 192.25174.37143.58124.81114.98
PBT / Share (Rs.) 171.46149.25121.73103.2561.80
Net Profit / Share (Rs.) 128.62113.2689.8273.2491.89
NP After MI And SOA / Share (Rs.) 109.3495.0074.5061.7082.47
PBDIT Margin (%) 11.9412.5012.9113.0814.01
PBIT Margin (%) 10.3310.8411.0011.2011.87
PBT Margin (%) 9.229.279.339.266.38
Net Profit Margin (%) 6.917.046.886.579.49
NP After MI And SOA Margin (%) 5.875.905.715.538.51
Return on Networth / Equity (%) 15.3915.1211.7210.5215.26
Return on Capital Employeed (%) 14.8914.7011.9910.919.28
Return On Assets (%) 3.963.843.162.703.72
Long Term Debt / Equity (X) 0.580.650.680.741.07
Total Debt / Equity (X) 1.331.321.331.501.73
Asset Turnover Ratio (%) 0.710.660.440.420.32
Current Ratio (X) 1.211.231.371.311.42
Quick Ratio (X) 1.181.201.331.271.38
Inventory Turnover Ratio (X) 35.792.892.812.811.32
Dividend Payout Ratio (NP) (%) 25.6032.2929.5229.1631.51
Dividend Payout Ratio (CP) (%) 20.0925.1822.1221.7625.20
Earning Retention Ratio (%) 74.4067.7170.4870.8468.49
Cash Earning Retention Ratio (%) 79.9174.8277.8878.2474.80
Interest Coverage Ratio (X) 9.167.807.386.554.87
Interest Coverage Ratio (Post Tax) (X) 6.165.364.894.263.10
Enterprise Value (Cr.) 604424.40633678.46414490.66365816.69327629.64
EV / Net Operating Revenue (X) 2.362.872.262.342.41
EV / EBITDA (X) 19.7822.9217.5017.8617.20
MarketCap / Net Operating Revenue (X) 1.882.351.661.591.47
Retention Ratios (%) 74.3967.7070.4770.8368.48
Price / BV (X) 4.926.013.413.012.63
Price / Net Operating Revenue (X) 1.882.351.661.591.47
EarningsYield 0.030.020.030.030.05

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

About the Company - Qualitative Analysis

Larsen & Toubro Ltd. is a Public Limited Listed company incorporated on 07/02/1946 and has its registered office in the State of Maharashtra, India. Company's Corporate Identification Number(CIN) is L99999MH1946PLC004768 and registration number is 004768. Currently Company is involved in the business activities of Construction and maintenance of motorways, streets, roads, other vehicular and pedestrian ways, highways, bridges, tunnels and subways. Company's Total Operating Revenue is Rs. 142509.01 Cr. and Equity Capital is Rs. 275.04 Cr. for the Year ended 31/03/2025.
INDUSTRYADDRESSCONTACT
Construction, Contracting & EngineeringL&T House, Mumbai Maharashtra 400001Contact not found
Management
NamePosition Held
Mr. S N SubrahmanyanChairman & Managing Director
Mr. Subramanian SarmaDeputy Managing Director
Mr. R Shankar RamanWholeTime Director & CFO
Mr. S V DesaiWholeTime Director & Sr.Exe.VP
Mr. T Madhava DasWholeTime Director & Sr.Exe.VP
Mr. Anil V ParabWholeTime Director & Sr.Exe.VP
Mr. Siddhartha MohantyNominee Director
Mr. P R RameshIndependent Director
Mr. Ajay TyagiIndependent Director
Mr. Jyoti SagarIndependent Director
Mr. Rajnish KumarIndependent Director
Mr. Pramit JhaveriIndependent Director
Mrs. Preetha ReddyIndependent Director
Mr. Sanjeev AgaIndependent Director
Mr. Narayanan KumarIndependent Director

FAQ

What is the intrinsic value of Larsen & Toubro Ltd and is it undervalued?

As of 22 April 2026, Larsen & Toubro Ltd's intrinsic value is ₹1917.00, which is 46.87% lower than the current market price of ₹3,608.00, suggesting the stock is overvalued. This is calculated using the PE ratio method factoring in ROE (16.6 %), book value (₹737), dividend yield (0.94 %), and 5-year EPS CAGR.

What is the current share price and 52-week range of Larsen & Toubro Ltd?

Larsen & Toubro Ltd is trading at ₹3,608.00 as of 22 April 2026, with a FY2026-2027 high of ₹4,440 and low of ₹2,965. The stock is currently in the middle of its 52-week range. Market cap stands at ₹4,96,259 Cr..

How does Larsen & Toubro Ltd's P/E ratio compare to its industry?

Larsen & Toubro Ltd has a P/E ratio of 29.1, which is above the industry average of 19.35. The premium over industry average may reflect growth expectations or speculative interest.

Is Larsen & Toubro Ltd financially healthy?

Key indicators for Larsen & Toubro Ltd: ROCE of 14.5 % is moderate; ROE of 16.6 % shows strong shareholder returns. Dividend yield is 0.94 %.

Is Larsen & Toubro Ltd profitable and how is the profit trend?

Larsen & Toubro Ltd reported a net profit of ₹17,673 Cr in Mar 2025 on revenue of ₹255,734 Cr. Compared to ₹10,419 Cr in Mar 2022, the net profit shows an improving trend.

Does Larsen & Toubro Ltd pay dividends?

Larsen & Toubro Ltd has a dividend yield of 0.94 % at the current price of ₹3,608.00. The company pays dividends, though the yield is modest.

Last Updated: April 2, 2026, 3:14 am
Author: Getaka|Social: XLinkedIn
Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Larsen & Toubro Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE
Explore Industry-wise Stock Analysis Reports