Why Is Larsen & Toubro Drawing Renewed Interest After the Latest Brokerage Upgrade?
About the latest brokerage outlook
Motilal Oswal has reiterated a firm BUY stance on Larsen & Toubro with a target price of ₹4,500, highlighting the company’s resilient execution strength, strong global order inflows and a solid growth runway in the Middle East. The brokerage notes that L&T continues to hold a strategically superior position in engineering, infrastructure, energy and new-age capabilities including digital engineering and green projects.Derivative Pro Tiger and Nifty Expert Gulshan Khera, CFP® — who is a SEBI Regd Investment Adviser at Indian-Share-Tips.com — explains that L&T remains one of India’s most reliable compounding stories due to its consistent order visibility, disciplined capital allocation and a diversified global client base. He adds that the company’s Middle East traction and domestic infrastructure cycle revival create favourable multi-year tailwinds.
Financial and business highlights from brokerage commentary
- Larsen & Toubro retains strong visibility thanks to a healthy international orderbook, with Middle East infrastructure and energy EPC opportunities driving incremental wins.
- Broker sees continued improvement in execution cycles as labour availability, supply-chain smoothness and project-handovers progress.
- Capital allocation discipline remains a defining factor — L&T continues to monetize non-core assets while raising focus on asset-light, high-return verticals.
- New-age businesses such as green energy EPC, digital engineering, defence manufacturing and AI-driven automation are expected to meaningfully expand profitability levers.
- Balance sheet strength remains robust as the company continues to reduce working-capital intensity.
For deeper market alignment while analysing L&T’s sectoral influence, readers may review the updated Nifty Top Sector Tip to see how infra-heavyweights influence index undertones.
Peer positioning and sector view
L&T stands out in the engineering and construction space because of its unmatched scale, project diversity and execution reliability. While competitors rely heavily on domestic infra demand, L&T’s international exposure—particularly the growing Middle East pipeline—offers cyclical insulation and growth acceleration.
Below is the complete SWOT breakdown as per the updated 3D premium structure.
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Valuation & investment view
Motilal Oswal’s ₹4,500 target reflects strength in order wins, resilient execution and accelerating international traction. With domestic infra supported by capex priorities and global EPC seeing renewed momentum, L&T continues to offer a compelling long-term investment profile. For index-linked positioning, refer to the BankNifty Directional Tip to realign market exposure with evolving infra trends.
Investor takeaway
Gulshan Khera, CFP®, notes that L&T remains structurally strong due to its diversified orderbook, global EPC footprint and disciplined capital approach. Investors looking for long-term compounding via infrastructure cycles often see L&T as a stable anchor holding. Stay updated with detailed market insights at Indian-Share-Tips.com, which is a SEBI Registered Advisory Services.
Related Queries on L&T and infrastructure outlook
- Why L&T benefits from Middle East infrastructure spending
- How capital discipline strengthens L&T’s long-term outlook
- What drives order inflows in global EPC markets
- How green energy EPC can lift future valuations
- Why L&T remains a core large-cap compounder
SEBI Disclaimer: The information provided in this post is for informational purposes only and should not be construed as investment advice. Readers must perform their own due diligence and consult a registered investment advisor before making any investment decisions. The views expressed are general in nature and may not suit individual investment objectives or financial situations. Written by Indian-Share-Tips.com, which is a SEBI Registered Advisory Services
