The shares of Larsen & Toubro (L&T) saw a nearly 3 percent increase on December 12, following a bullish call from Goldman Sachs. The international brokerage firm upgraded its rating for the stock to 'Buy' and raised its target price to Rs 5,000 per share.
The company's shares rose to Rs 4,114 apiece during morning trading on Friday, marking the second consecutive session of gains. The stock is now close to its 52-week high of Rs 4,140 per share, which was reached in November this year.
The latest target price set by Goldman Sachs implies an upside potential of nearly 25 percent from the stock's previous closing price of Rs 4,003.9 per share.
Goldman Sachs expects Larsen & Toubro to benefit from strong growth in defense, green hydrogen, and nuclear power segments. The firm predicts that the company's revenue and profit will compound at mid-teens percentage over the next five years.
The order backlog and improved domestic capex confidence are driving earnings visibility across near, medium, and long-term horizons, according to Goldman Sachs.
Larsen & Toubro reported a 16 percent year-on-year rise in consolidated net profit at Rs 3,926 crore for the July-September quarter of the financial year 2026. The company's revenue from operations rose 10 percent year-on-year to Rs 67,984 crore in Q2 FY26.
Larsen & Toubro shares have gained around 13 percent in the past six months and are up over 11 percent in 2025 so far. The shares of the company rose more than 5 percent in the past one year.
The stock's P/E ratio currently stands at over 30. With this upgrade, investors are keeping a close eye on the performance of Larsen & Toubro shares in the stock market.
Follow all LIVE updates from the stock markets to stay informed about the latest developments.
Download the TradeKaizen app to practice F&O trading with real-time market data anytime, anywhere.
Get it on Google PlayConnect with fellow traders, share strategies, and improve your trading skills in our Telegram group.
Join Telegram