L&T Shares Gain 4% After Strong Q1 Results: Analyst Outlook
L&T Shares surged nearly 4 percent on July 30, 2025, after the company reported strong first-quarter earnings that beat market expectations. The rise came as investors reacted positively to robust growth in profit, revenue, and a solid order book, prompting many analysts to revise their outlook upward.
The stock gained momentum shortly after market opening, trading higher on the NSE and BSE, as confidence around Larsen & Toubro’s (L&T) business outlook strengthened.
What drove this rise in L&T Shares?
L&T’s net profit jumped 30 percent year-on-year, reaching ₹3,617 crore for the quarter ended June 2025. The company’s consolidated revenue grew by 20 percent, supported by strong performance in the infrastructure and engineering divisions.
“L&T’s growth trajectory remains solid with strong execution and a healthy order inflow,” said @PocketfulHQ on X.
The company’s EBITDA margins improved due to operational efficiency, which helped support the positive sentiment across markets. Its order inflows stood at ₹72,000 crore, up 45 percent from last year.
How did analysts react to L&T’s Q1 performance?
Following the Q1 results, brokerages raised their price targets for L&T. CNBC TV18 reported that multiple analysts now see the stock heading towards ₹4,200 to ₹4,400 in the near term. The positive forward guidance from L&T for FY26 was a key factor behind these upgrades.
“This is a textbook earnings beat,” tweeted @callputanalystt.
Why are L&T’s order wins so important?
L&T is known for its leadership in infrastructure, EPC projects, and engineering services, both in India and abroad. In this quarter alone, the company secured large-scale contracts in roads, metros, power transmission, and water systems. These projects not only ensure long-term revenue but also demonstrate the company’s competitive edge.
This surge in orders reflects strong public and private sector demand and aligns well with the government’s push for capital expenditure in sectors like railways, highways, and energy.
Should investors buy L&T Shares now?
So, what are experts advising? Most analysts suggest a ‘Buy’ or ‘Hold’ rating on L&T Shares, citing the company’s healthy balance sheet, steady cash flows, and strong execution pipeline.
According to Moneycontrol, investors with a medium to long-term horizon could benefit from current levels, especially as L&T continues to expand its international footprint and capitalize on India’s infrastructure boom.
“The earnings are just the beginning. Watch L&T’s long-term value unfold,” posted @eswar14200272.
What makes this quarter different for L&T?
While L&T has consistently delivered over the years, this quarter’s performance stood out due to its record-breaking order book, higher-than-expected profit margin, and clear growth roadmap shared during its earnings call. The company also maintained its double-digit revenue guidance for FY26, reinforcing market optimism.
“All engines of growth seem aligned for L&T this year,” noted @CNBCTV18News.
What should you watch for in the coming quarters?
Looking ahead, investors should track how L&T executes its massive project backlog, manages raw material costs, and scales up its digital and green energy projects. The company’s performance in its IT and financial services segments will also be crucial for sustaining growth.
According to Economic Times, L&T’s leadership has reaffirmed its focus on execution excellence and global expansion, which could drive further upside.
Final Thoughts: A Strong Start to FY26
The strong Q1 performance has set a confident tone for L&T Shares this financial year. With healthy earnings, a strong order pipeline, and renewed investor confidence, L&T continues to remain a cornerstone of India’s infrastructure growth story.
For investors seeking stable, long-term growth, this could be a compelling opportunity to keep on their radar.
FAQ’S
L&T Shares rose 4 percent due to better-than-expected earnings, a 30 percent profit jump, and strong order inflows. Analysts responded with upgraded targets.
L&T reported a net profit of ₹3,617 crore, marking a 30 percent year-on-year increase. This exceeded most market estimates.
The company recorded order inflows worth ₹72,000 crore, which is a 45 percent increase compared to the same quarter last year.
Several brokerages raised their target price to between ₹4,200 and ₹4,400. Most maintained a ‘Buy’ or ‘Hold’ rating.
Infrastructure and engineering segments led the growth. The IT and energy units also showed steady performance.
Analysts suggest a positive long-term outlook. Investors with a medium to long-term view may consider it a strong pick.
L&T maintained a double-digit revenue growth guidance for FY26. The company also plans to focus on digital and green projects.
Rising input costs and global uncertainty could impact margins. Execution of large orders will also be closely watched.
Disclaimer
This is for information only, not financial advice. Always do your research.