L&T Share Price: 11.6% CAGR in 3 Years as the Infrastructure Major Compares With ABB India and Cummins India
- November 12, 2026
- Posted by: Ankit Jaiswal
- Category: Best Stocks
L&T Share Price: 11.6% CAGR in 3 Years as the Infrastructure Major Compares With ABB India and Cummins India
L&T previous close Rs 4,212. 3-year CAGR 11.6%. Up 1.4x since 10 Nov 2023. ROE 15.81%. Market cap Rs 5,78,917 crore.
Quick Answer
The L&T share price closed at Rs 4,212 on 11 November 2026, a compounded annual return of 11.6% over three years. That compares with ABB India at 18.0% and Cummins India at 33.7%. The company has a market cap of Rs 5,78,917 crore and a P/E of 27.71 against an industry P/E of 23.54.
The L&T share price has delivered a steady return over three years, and the company remains the largest name in Indian engineering and construction. Larsen & Toubro, based in Mumbai, builds infrastructure, power plants, factories and defence equipment and also runs IT services and financial services businesses.
This article compares that run with ABB India and Cummins India, two other large capital goods companies. We calculate the three-year CAGR for all three and set the results beside market cap, valuation, return on equity and debt, using prices adjusted for corporate actions.
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How Much Has the L&T Share Price Returned in 3 Years?
The L&T stock closed at Rs 3,033.25 on 10 November 2023 and at Rs 4,212.00 on 11 November 2026. Rs 1 lakh invested three years ago would have grown to about Rs 1.39 lakh, which is a CAGR of 11.6%. This is a price return and leaves out dividends.
CAGR condenses a bumpy three-year ride into one yearly number, which is why it is the fairest way to compare companies of different sizes. A stock such as L&T can look spectacular on a chart and still have earned a modest yearly return, so the compounded figure keeps the comparison honest.
The L&T share price has also followed the pickup in government spending on roads, railways, metros and power projects, which fed the company’s large order book.
L&T vs ABB India and Cummins India: 3-Year CAGR Compared
The table ranks the companies by three-year CAGR. Prices on 10 November 2023 are adjusted for splits and bonuses, and the latest figures are the previous close on 11 November 2026.
| Company | Close on 10 Nov 2023 | Previous close (11 Nov 2026) | Price multiple | 3-year CAGR |
|---|---|---|---|---|
| Cummins India | Rs 1,768.45 | Rs 4,229.80 | 2.4x | 33.7% |
| ABB India | Rs 4,239.30 | Rs 6,963.00 | 1.6x | 18.0% |
| Larsen & Toubro | Rs 3,033.25 | Rs 4,212.00 | 1.4x | 11.6% |
The L&T stock ranks third of the three at 11.6%. The companies ahead are Cummins India (33.7%) and ABB India (18.0%). Cummins India leads the group, followed by ABB India and then L&T. L&T is by far the largest of the three by market cap, so its yearly return came on a very large base of capital, and it trades at the lowest P/E of the three.
Look at the L&T share price alongside the peers as a snapshot of the last three years. It describes what happened, and valuation and earnings will decide what happens next.
Valuation and Quality Compared
| Company | Market cap | P/E | Industry P/E | ROE | Debt to equity |
|---|---|---|---|---|---|
| Larsen & Toubro | Rs 5,78,917 crore | 27.71 | 23.54 | 15.81% | 1.24 |
| ABB India | Rs 1,47,382 crore | 49.33 | 42.59 | 16.50% | 0.02 |
| Cummins India | Rs 1,17,124 crore | 52.01 | 42.97 | 27.13% | 0.00 |
By market cap, Larsen & Toubro is the largest of the group at Rs 5,78,917 crore, which gives it the scale advantage over ABB India, Cummins India. On earnings, L&T shares trade at a P/E of 27.71 against an industry P/E of 23.54, a premium of about 18%, which signals that the market expects faster earnings growth. Peer multiples are ABB India at 49.33 and Cummins India at 52.01.
Return on equity is 15.81% for the L&T stock, which ranks third among the three, and debt to equity stands at 1.24. Trailing EPS is Rs 151.86. Large engineering companies are valued on the quality and size of their order books, so the P/E should be read together with return on equity and the pace at which orders turn into revenue.
What Is Driving the L&T Stock?
L&T wins large contracts in infrastructure, energy, hydrocarbons, defence and buildings, and it earns steady income from its IT and technology services arm. A big order book gives it visibility over several years.
The company also has a financial services business that lends to retail and rural customers. Its balance sheet includes the loans of this arm, which is one reason its debt to equity figure looks higher than that of product-based peers.
Followers of the L&T share price usually track order inflows, the execution pace of large projects, margins and the contribution of services businesses.
How the Established Players Stack Up
ABB India is a Bengaluru-based maker of electrification, motion and automation products for industry and infrastructure. It compounded at 18.0% a year, on a market cap of Rs 1,47,382 crore and an ROE of 16.50%.
Cummins India is a Pune-based maker of diesel and gas engines and generator sets, and a part of the global Cummins group. It compounded at 33.7% a year, on a market cap of Rs 1,17,124 crore and an ROE of 27.13%.
What Should Investors Track Next?
Three things are worth watching on the L&T share price. First, the size and timing of fresh order wins. Second, the pace of execution on large projects. Third, margins as commodity costs move.
At a P/E of 28, the stock trades above the industry P/E of 24, and its ROE is 15.81%. Project timelines can move with government spending, so follow quarterly numbers closely.
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How to Compare Engineering Stocks Yourself
You can repeat this exercise for any pair of stocks, including the L&T stock against its peers. Note the adjusted closing price on the base date, take the latest close, divide one by the other, raise the result to the power of one third and subtract one. Then place the CAGR next to market cap, P/E against the industry P/E, ROE and debt to equity. Benchmark the result against the Nifty 50 as well, so you know whether the stock beat the broader market.
A stock that scores well on growth but weakly on quality, or the reverse, deserves closer study before it enters a portfolio. When tracking the L&T share price, the same four checks give a more complete picture than price alone.
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The Largest Engineering Name With the Lowest P/E in Its Group
The L&T share price compounded at 11.6% a year over three years, behind ABB India at 18.0% and Cummins India at 33.7%. Its market cap is the largest of the three and its P/E of 27.71 is the lowest.
Cummins India brings the fastest return and the highest ROE, while ABB India brings an electrification focus. The choice depends on whether you prefer a diversified order book or a product-led model.
Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
Frequently Asked Questions
What is the L&T share price today?
Ans. Larsen & Toubro closed at Rs 4,212 on 11 November 2026, according to NSE data. It has a market cap of Rs 5,78,917 crore and a P/E of 27.71. Check live quotes before acting, as prices change every trading day.
What is the 3-year CAGR of the L&T stock?
Ans. Larsen & Toubro delivered a price CAGR of 11.6% over three years, moving from Rs 3,033.25 on 10 November 2023 to Rs 4,212.00 on 11 November 2026. The figure excludes dividends and uses adjusted closing prices.
Is L&T better than ABB India?
Ans. ABB India delivered a higher three-year CAGR at 18.0% than L&T at 11.6%. L&T is far larger by market cap at Rs 5,78,917 crore against Rs 1,47,382 crore and trades at a lower P/E of 27.71 against 49.33, while ABB India has a slightly higher ROE at 16.50% against 15.81%. The better choice depends on your view of each business.
What does Larsen & Toubro do?
Ans. Larsen & Toubro is a Mumbai-based engineering and construction company with additional businesses in technology services and financial services.
Is the L&T stock debt free?
Ans. The debt to equity ratio of the L&T stock is 1.24 and its return on equity is 15.81%. Always check the latest balance sheet for current figures, as debt levels change with expansion plans.
Is L&T expensive compared with the industry?
Ans. L&T trades at a P/E of 27.71 against an industry P/E of 23.54. A higher multiple reflects expectations of faster growth, which the company must deliver through earnings.
Which engineering stock gave the highest return in 3 years?
Ans. Among the companies compared here, Cummins India delivered the highest three-year CAGR at 33.7%, followed by ABB India at 18.0%. Past returns do not guarantee future performance.
How do I calculate CAGR for a stock?
Ans. Divide the latest price by the starting price, raise the result to the power of one divided by the number of years, and subtract one. Multiply by 100 for a percentage. Use split and bonus adjusted prices for accurate results.
