L&T’s shares jumped about 1% on Friday, reaching a 52‑week high of ₹4,164.20 after the company announced a big new order from Steel Authority of India (SAIL).
What the SAIL order includes
L&T’s Minerals & Metals division landed a “major” contract worth between ₹5,000 cr and ₹10,000 cr. The work covers engineering, procurement and installation for several key units at SAIL’s IISCO plant in West Bengal, which is being expanded from 2.5 million tonnes to 6.5 million tonnes of crude steel per year.
- Coke Oven Battery
- By‑Product Plant
- Basic Oxygen Furnace (BOF)
- Specialised material‑handling equipment (stacker reclaimers, wagon tipplers, etc.)
Why the order matters for L&T
The new contract adds to L&T’s strong order pipeline. In the last four days the company secured three orders totaling ₹15,000 cr, and its total order book stood at ₹667,000 cr as of the September quarter. A robust order book gives the company clearer revenue visibility and shows strong demand for its services.
Share price reaction
Even though the broader market was weak, L&T’s stock stayed in the green, gaining over 3% in the past month and 15.49% in the last six months. Over the longer term the stock has risen more than 220% in five years and has delivered a staggering 22,699% return since its 1999 listing.
Technical outlook
Analysts note that L&T has completed a strong weekly continuation pattern. A breakout above the 4,100 level, backed by good volume, suggests solid institutional buying. The moving‑average cluster (10, 20 and 50‑day EMAs) now sits just below the price, acting as a launchpad for further gains. As long as the stock holds above the breakout zone, the next target could be the 4,900‑5,000 range. Any pull‑back toward the EMAs is expected to find buying interest.
Takeaway for investors
The SAIL contract not only deepens L&T’s relationship with a key steel player but also reinforces its reputation for handling large, technology‑intensive projects. Combined with a healthy order book and positive price action, the stock presents a potential upside for investors who are comfortable with the construction and infrastructure sector.
Remember, this is perspective, not a prediction. Do your own research and consider speaking with a certified financial adviser before making any investment decisions.