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Larsen & Toubro Ltd
BSE:500510

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Larsen & Toubro Ltd
BSE:500510
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Price: 4 037.05 INR -0.34% Market Closed
Market Cap: ₹5.5T

P/OCF

44.3
Current
34%
More Expensive
vs 3-y average of 33

Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.

P/OCF
44.3
=
Market Cap
₹5.9T
/
Operating Cash Flow
₹127.1B

Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.

P/OCF
44.3
=
Market Cap
₹5.9T
/
Operating Cash Flow
₹127.1B

Valuation Scenarios

Larsen & Toubro Ltd is trading above its 3-year average

If P/OCF returns to its 3-Year Average (33), the stock would be worth ₹3 008.63 (25% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-66%
Maximum Upside
No Upside Scenarios
Average Downside
50%
Scenario P/OCF Value Implied Price Upside/Downside
Current Multiple 44.3 ₹4 037.05
0%
3-Year Average 33 ₹3 008.63
-25%
5-Year Average 18.3 ₹1 663.51
-59%
Industry Average 14.9 ₹1 361.84
-66%
Country Average 23 ₹2 091.46
-48%

Forward P/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward P/OCF

Peer Comparison

All Multiples
P/OCF
P/E
All Countries
Close
Market Cap P/OCF P/E
IN
Larsen & Toubro Ltd
BSE:500510
5.6T INR 44.3 34.6
JP
Sumitomo Densetsu Co Ltd
TSE:1949
35.2T JPY 30.9 19.9
US
Quanta Services Inc
NYSE:PWR
94.4B USD 42.3 91.8
FR
Vinci SA
PAR:DG
70.1B EUR 6 14.3
US
Comfort Systems USA Inc
NYSE:FIX
60.5B USD 36.6 49.7
IN
Larsen and Toubro Ltd
F:LTO
48.7B EUR 41 32.1
ES
Ferrovial SA
MAD:FER
41.6B EUR 21.4 46.2
NL
Ferrovial SE
AEX:FER
41.1B EUR 21.4 46.2
DE
Hochtief AG
XETRA:HOT
33.8B EUR 16.6 37.4
US
EMCOR Group Inc
NYSE:EME
38.5B USD 28.7 29.3
ES
ACS Actividades de Construccion y Servicios SA
MAD:ACS
31B EUR 10.2 32.8

Market Distribution

Higher than 74% of companies in India
Percentile
74rd
Based on 2 204 companies
74rd percentile
43.6
Low
0.5 — 14
Typical Range
14 — 39.7
High
39.7 —
Distribution Statistics
India
Min 0.5
30th Percentile 14
Median 23
70th Percentile 39.7
Max 28 676

Larsen & Toubro Ltd
Glance View

In the vibrant tapestry of India's industrial landscape, Larsen & Toubro Ltd. (L&T) has woven itself as a cornerstone, bearing witness to and actively participating in the nation’s growth. Founded by two Danish engineers in 1938, the company initially focused on engineering and construction. Over the decades, it has evolved into one of the largest and most respected conglomerates in India, spanning across diverse sectors. Headquartered in Mumbai, L&T operates with a strategic blend of innovation and resourcefulness, driven by its pillars of Engineering, Construction, Manufacturing, and Technology. The company manages to fuse traditional values with cutting-edge practices, nurturing major infrastructure projects that include roads, bridges, metros, and airports, thereby shaping the physical backdrop of India’s future. L&T's prowess is accentuated through its integrated business model, combining domain expertise with a vast geographical reach that extends well beyond India’s borders, into the Middle East and beyond. The company's financial health is fortified by its multi-disciplinary operations: construction and project execution drive a substantial revenue stream, while its foray into high-margin sectors such as technology services and financial services further bolster profitability. With a commitment to sustainability and innovation, L&T leverages its extensive R&D capabilities to stay ahead of the curve in a competitive market. The company’s manufacturing division, particularly in heavy engineering, supplies equipment for critical sectors like defense, nuclear power, and aerospace, thus making significant contributions to national capabilities and self-reliance. Thus, L&T stands not just as a business entity, but as a monumental force that underscores and accelerates the progress of an ambitious nation.

LT Intrinsic Value
3 968.39 INR
Overvaluation 2%
Intrinsic Value
Price ₹4 037.05
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