L&T share price rises after strong Q2 results; brokerages raise target price on stock
Larsen & Toubro (L&T) share price gained over a percent on Wednesday after the company reported healthy financial performance for the quarter ended September 2023. L&T shares rose as much as 1.85% to ₹2,983.05 apiece on the BSE.
The construction and engineering major L&T reported a net profit of ₹3,223 crore in Q2FY24, registering a growth of 45% year-on-year (YoY). The company's revenue from operations in the second quarter of the current fiscal rose 19% YoY to ₹51,024 crore, driven by improved execution of large orderbook.
Analysts maintained their positive view on L&T shares with certain brokerages raising their target price on the stock. Read here: L&T Q2 Results Highlights: Net profit rises 45% to ₹3,222 crore, order book up 72% YoY Centrum Broking said L&T reported yet another strong set of numbers with stellar 19%/45% YoY growth in revenue and PAT driven by better execution in P&M (projects and manufacturing) segment and profit from sale of commercial property in the Hyderabad Metro project.
“Given the strong orderbook of ₹4.5 trillion, robust prospect pipeline of ₹10 trillion, controlled NWC environment and improving development business dynamics, we have upgraded our rating on the company to Buy from Add," Centrum Broking said. It tweaked PAT estimates for FY24 and FY25 upwards by 4.8% and 4.7% respectively.
The brokerage also raised the target price on the stock to ₹3,465 per share from ₹2,892 earlier. (Exciting news! Mint is now on WhatsApp Channels Subscribe today by clicking the link and stay updated with the latest financial insights! Click here!) L&T well-placed to benefit in long run Brokerage firm Prabhudas Lilladher believes L&T is well-placed to benefit in the long run with strong tender prospects,
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