Larsen & Toubro Ltd.

SECTOR: Engineering - Construction

812.35
₹ 4.7 (0.58%)
Today's High: 834.9 Today's Low : 805.45
52 Week High: 1606.70 52 Week Low : 661.05
 FinStar
FinStar Indicates the overall health and quality of a stock based on Finology Research.
Ownership Stable
Ownership strength is slightly missing the benchmark.
ValuationExpensive
The stock is at a premium valuation at this point.
EfficiencyOptimal
The company could improve upon its asset employment.
FinancialsVery Stable
The company possesses stable growth history and manageable debt.

 Company Essentials

Market Cap

114033.06715416 Cr.

P/E

17.32

P/B

2.11

Face Value

₹2

Div. Yield

1.30%

Book Value (TTM)

384.5147

Enterprise Value

116625.14715416 Cr.

CASH

7599.49 Cr.

DEBT

10191.57 Cr.

Promoter Holding

0.0%

EPS (TTM)

46.8923

Sales Growth

16.82 %

ROE

13.16 %

ROCE

18.20 %

Profit Growth

23.95 %

No. of Shares

140.3743056 Cr.

Add your own Ratio
* Total debt includes long term borrowing, short term borrowing plus current maturities of long-term borrowing
* Ratios are based on latest Audited Financial Result.

 Price Chart 1w1m3m6m1Yr3Yr5Yr

* Prices are based on daily market changes.

 Valuation Chart 1w1m3m6m1Yr3Yr5Yr

* The chart is based on the standalone earnings of the company.

 Peer Comparison

View Full Peer Comparison
* The Peers list includes companies operating in the same industry and having comparable market cap.

 Sales Growth

1 Year16.82%
3 Year11.25%
5 Year8.98%

 Profit Growth

1 Year23.97%
3 Year10.13%
5 Year3.98%

 ROE

1 Year13.16%
3 Year12.31%
5 Year12.82%

 ROCE

1 Year18.2%
3 Year16.11%
5 Year16.15%

 Debt Equity

0.19

 Price to Cash Flow

50.7

  Interest Cover Ratio

5.78

 CFO/PAT

0.651568707027319

 Share Holding Pattern

 Promoter Pledging %

Date Promoter % Pledge %
Dec 2019 0.0 0.0
Sep 2019 0.0 0.0
Jun 2019 0.0 0.0
Mar 2019 0.0 0.0
Dec 2018 0.0 0.0
* Figures given above are % of equity capital

 Strengths

  • Company’s PEG ratio is 0.726971872365138.
  • The company has an efficient Cash Conversion Cycle of -45.67 days.

 Limitations

  • The company has shown a poor revenue growth of 11.2500245516249% for the Past 3 years.
  • Company has contingent liabilities of 56563.76.

 Quarterly Result (All Figures are in Crores.)

Particulars Dec 2018 Mar 2019 Jun 2019 Sep 2019 Dec 2019
Net Sales 21102.18 30822.41 16498.89 18751.69 19885.26
Other Income 822.77 796.62 462.11 1022.16 695.08
Total Expenditure 19153.21 27361.5 15282.93 17198.64 18414.89
Operating Profit 2771.74 4257.53 1678.07 2575.21 2165.45
Interest 488.56 436.13 481.63 559.05 558.5
Depreciation 230.48 285.85 233.94 249.7 227
Exceptional Items 0 -24.7 626.99 0 0
Profit Before Tax 2052.7 3510.85 1589.49 1766.46 1379.95
Tax 562.23 1133.43 315.77 -10.19 225.27
Profit After Tax 1490.47 2377.42 1273.72 1776.65 1154.68

 Profit & Loss (All Figures are in Crores except Adjusted EPS in Rs.)

Particulars Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019
Net Sales 57017 63177 65724 74463 86988
Other Income 2404 2411 2180 4762 3390
Total Expenditure 50490 57210 59300 69645 78638
Operating Profit 8932 8379 8604 9579 11740
Interest 1579 1686 1525 1698 1928
Depreciation 1008 997 1215 1049 1068
Exceptional Items 357 560 894 431 475
Profit Before Tax 6701 6256 6758 7262 9218
Tax 1645 1256 1304 1875 2540
Net Profit 5056 5000 5454 5387 6678
Adjusted EPS 36 36 39 38 48

 Balance Sheet (All Figures are in Crores.)

Particulars Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019
Equity and Liabilities
Share Capital 185.91 186.3 186.59 280.27 280.55
Total Reserves 36898.67 41949.01 45826.15 48893.98 52270.17
Borrowings 8508.6 8312.47 7134.28 5495.16 2391.87
Other N/C liabilities 827.44 293.64 277.89 182.16 -289.91
Current liabilities 42026.9 48723.39 48528.31 60354.49 70231.15
Total Liabilities 88447.52 99464.81 101953.22 115206.06 124883.83
Assets
Net Block 7490.43 7268.47 6647.89 6465.55 6800.45
Capital WIP 304.54 253.22 302.53 452.1 580.92
Investments 17672.82 19634.76 20173.51 23469.24 20520.73
Loans & Advances 3825.3 4584.22 4028.24 4796.92 5079.9
Other N/C Assets 327.83 633 701.58 619.86 748.69
Current Assets 58826.6 67091.14 70099.47 79402.39 91153.14
Total Assets 88447.52 99464.81 101953.22 115206.06 124883.83
* Other Non-current Liabilities include Net deferred Liabilities

 Cash Flows (All Figures are in Crores.)

Particulars Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019
Profit Before Tax 6344.06 5695.34 5863.87 7262.38 9218.17
Adjustment 670.15 710.58 1027.8 676.1 -572.32
Working Capital Changes -2171.18 -1489.83 607.49 -3222.16 -3711.9
Tax Paid -1725.05 -1616.23 -1519.47 -1764.32 -2684.73
Operating Cash Flow 3117.98 3299.86 5979.69 2952 2249.22
Investing Cash Flow -1884.08 -1522.25 -46.44 1786.87 1753.33
Financing Cash Flow -1436.56 -2464.33 -6073.16 -3489.36 -4449.25
Net Cash Flow -202.66 -686.72 -139.91 1249.51 -446.7

 Corporate Actions

 Ratings & Research Reports

 Company Presentations

 Larsen & Toubro Stock Price Analysis and Quick Research Report

Is Larsen & Toubro an attractive stock to invest in?

 

Stock investing requires careful analysis of financial data to find out the company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement. This can be time-consuming and cumbersome. An easier way to find out about a company's performance is to look at its financial ratios, which can help to make sense of the overwhelming amount of information that can be found in a company's financial statements.

Here are the few indispensable tools that should be a part of every investor’s research process.

  • PE ratio: - Price to Earnings' ratio, which indicates for every rupee of earnings how much an investor is willing to pay for a share. A general rule of thumb is that shares trading at a low P/E are undervalued (it depends on other factors too). Larsen & Toubro has a PE ratio of 29.0740245518667 which is high and comparatively overvalued .

  • Return on Assets (ROA): - Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. Larsen & Toubro has ROA of 5.5626665495994 % which is a bad sign for future performance. (higher values are always desirable)

  • Current ratio: - The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. Larsen & Toubro has a Current ratio of 1.29790185693955 .

  • Return on equity: - ROE measures the ability of a firm to generate profits from its shareholders investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. Larsen & Toubro has a ROE of 13.1572634539211 % .(higher is better)

  • Debt to equity ratio: - It is a good metric to check out the capital structure along with its performance. Larsen & Toubro has a D/E ratio of 0.194333134835169 which means that the company has low proportion of debt in its capital.

  • Inventory turnover ratio: - Inventory Turnover ratio is an activity ratio and is a tool to evaluate the liquidity of a company's inventory. It measures how many times a company has sold and replaced its inventory during a certain period of time. Larsen & Toubro has an Inventory turnover ratio of 30.4127303779921 which shows that the management is efficient in relation to its Inventory and working capital management.

  • Sales growth: - Larsen & Toubro has reported revenue growth of 16.82 % which is fair in relation to its growth and performance.

  • Operating Margin: - This will tell you about the operational efficiency of the company. The operating margin of Larsen & Toubro for the current financial year is 9.59833935448004 %.

  • Dividend Yield: - It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for Larsen & Toubro is Rs 18 and the yield is 1.30053105017882 %.

 

X