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In a market spooked by geopolitical tensions between India and Pakistan, Larsen & Toubro (L&T) gave investors something to cheer about. The stock jumped over 3 per cent today, hitting Rs 3,421 intraday. That's its best move in over a month, and it comes just a day after the company posted a solid set of Q4 numbers and announced a juicy Rs 34-per-share final dividend.
The broader market, meanwhile, was deep in the red, with both Sensex and Nifty dragging lower amid the flare-up along the India-Pakistan border.
A quick look at what L&T does
L&T is India's engineering and construction behemoth. It builds everything from metros and bridges to defence systems and IT services. The company operates across infrastructure, energy, hydrocarbon, and financial services, with global footprints that are only expanding.
L&T Q4 FY25 results: Solid all around
Here's what stood out in the company's fourth-quarter performance:
| Metric | Q4 FY25 | YoY change |
|---|---|---|
| Net profit | Rs 5,497 crore | +25 per cent |
| Revenue | Rs 74,392 crore | +11 per cent |
| EBITDA | Rs 8,203 crore | +13 per cent |
| Order inflow | Rs 89,613 crore | +24 per cent |
| Final dividend | Rs 34/share | -- |
A key highlight? 70 per cent of the fresh orders came from international markets, signalling L&T's growing global clout. The total order book now stands at a mammoth Rs 5.79 lakh crore.
Why the stock's reacting now
Sure, the results were out Thursday—but Friday's rally likely reflects a combo of positive triggers hitting all at once:
-
The dividend
: At Rs 34 per share, this is a sizeable payout, especially for long-term holders.
-
Strong order book
: The market loves visibility, and Rs 5.79 lakh crore in future projects gives plenty.
-
Global wins
: A large chunk of the order inflow coming from abroad signals L&T is hedging its India risk smartly.
- Valuation comfort : After correcting from its December highs of Rs 3,963, the stock now looks more reasonably priced.
Should you buy?
L&T's fundamentals look robust. But there are concerns too, especially around execution risk, geopolitical uncertainty, and rising input costs. Plus, the company's Value Research Online ratings hint at some cracks:
-
Quality
: 3/10
-
Growth
: 7/10
-
Valuation
: 4/10
-
Momentum:
3/10
- Overall rating : ★★☆☆☆
L&T delivered what investors wanted—earnings growth, a strong order pipeline, and a generous dividend. The market rewarded it, even on a risk-off day. For now, L&T is holding its ground. The question is whether it can build on this base, or if macro cracks will catch up.
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Disclaimer: This story was created with the assistance of artificial intelligence and is intended for informational purposes only. Please take it with a pinch of salt and do your own research or consult a financial advisor before making investment decisions.
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