Moneycontrol
Dec 01, 2016 06:25 PM IST IST | Source: Moneycontrol.com

Buy Larsen & Toubro; target of Rs 1690: Motilal Oswal

Motilal Oswal is bullish on Larsen & Toubro has recommended buy rating on the stock with a target price of Rs 1650 in its research report dated November 22, 2016.



Motilal Oswal's research report on Larsen & Toubro


L&T’s 2Q17 consolidated operational performance were in line with our estimates. Revenues at INR 250 b (up 8.2% YoY, estimates of INR 250 b) were in line with our estimates. EBITDA at INR 23 b was in line with our estimate of INR 23.5 b. PAT at INR 10.3 b (up 41% YoY) was meaningfully above our estimate of INR 7.6 b on account of higher other income (+50% YoY) driven by treasury gains.


We maintain Buy with SOTP based price target of INR 1,690/sh (E&C business at 22x FY18E). L&T is the best play on a capex recovery in India with a strong presence across key segments like Metro Rails, Hydrocarbons, Fertilizers, Nuclear Power, Defence, Power BTG, etc.

For all recommendations, click here

Disclaimer:
The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Sections
Follow us on
Available On