Financial Performance
Revenue Growth: For FY 2023-24, L&T reported a revenue of ₹1,85,000 crore, marking a 15% year-over-year increase.
Profitability: The company achieved an EBITDA of ₹25,000 crore (+18% YoY) and a net profit of ₹12,500 crore (+20% YoY), with an operating margin of 13.5%.
Return on Equity (RoE): L&T's RoE stands at 16.8%, indicating efficient capital utilization.
Valuation Metrics: L&T trades at a P/E ratio of 22x (FY25E), which is below its historical average, suggesting potential for price appreciation.
Trade Setup and Exit Strategy
Current Market Position
Current Market Price: ₹3,440 (as of January 29, 2025)
Target Price: ₹4,100 (19% upside potential)
Trade Setup
Entry Point: If not already invested, consider entering at or below the current market price of ₹3,440, given the potential upside and strong fundamentals.
Stop-Loss: Set a stop-loss at around ₹3,200 to limit downside risk, considering the bear case scenario outlined in the report.
Exit Strategy
Target Exit: Aim to exit at or near the target price of ₹4,100 by the end of February, assuming the stock reaches this level.
Monitoring: Regularly monitor market conditions, company announcements, and sector developments that could impact L&T's stock price.
Adjustments: Be prepared to adjust the exit strategy based on market volatility, macroeconomic factors, or significant news affecting L&T or the broader market.
Revenue Growth: For FY 2023-24, L&T reported a revenue of ₹1,85,000 crore, marking a 15% year-over-year increase.
Profitability: The company achieved an EBITDA of ₹25,000 crore (+18% YoY) and a net profit of ₹12,500 crore (+20% YoY), with an operating margin of 13.5%.
Return on Equity (RoE): L&T's RoE stands at 16.8%, indicating efficient capital utilization.
Valuation Metrics: L&T trades at a P/E ratio of 22x (FY25E), which is below its historical average, suggesting potential for price appreciation.
Trade Setup and Exit Strategy
Current Market Position
Current Market Price: ₹3,440 (as of January 29, 2025)
Target Price: ₹4,100 (19% upside potential)
Trade Setup
Entry Point: If not already invested, consider entering at or below the current market price of ₹3,440, given the potential upside and strong fundamentals.
Stop-Loss: Set a stop-loss at around ₹3,200 to limit downside risk, considering the bear case scenario outlined in the report.
Exit Strategy
Target Exit: Aim to exit at or near the target price of ₹4,100 by the end of February, assuming the stock reaches this level.
Monitoring: Regularly monitor market conditions, company announcements, and sector developments that could impact L&T's stock price.
Adjustments: Be prepared to adjust the exit strategy based on market volatility, macroeconomic factors, or significant news affecting L&T or the broader market.
Thông báo miễn trừ trách nhiệm
Thông tin và ấn phẩm không có nghĩa là và không cấu thành, tài chính, đầu tư, kinh doanh, hoặc các loại lời khuyên hoặc khuyến nghị khác được cung cấp hoặc xác nhận bởi TradingView. Đọc thêm trong Điều khoản sử dụng.
Thông báo miễn trừ trách nhiệm
Thông tin và ấn phẩm không có nghĩa là và không cấu thành, tài chính, đầu tư, kinh doanh, hoặc các loại lời khuyên hoặc khuyến nghị khác được cung cấp hoặc xác nhận bởi TradingView. Đọc thêm trong Điều khoản sử dụng.