Larsen & Toubro Share Price Target 2027: Base and Bull Targets Built on FY26 Earnings
- October 9, 2026
- Posted by: Chaitanya Auti
- Category: Market
Larsen & Toubro share price Rs 3,705.00 (9 October 2026). Base target Rs 4,039, bull Rs 4,895, downside risk Rs 2,895. PE 25.38. 52W range Rs 3,288.10 to Rs 4,440.00.
Quick Answer
The Larsen & Toubro share price target for 2027 is Rs 4,039, about 9.0% above the current price of Rs 3,705.00. The bull case is Rs 4,895, and the downside risk level, which is not a target, is Rs 2,895. The base case assumes earnings per share grow 11.6% a year, the pace seen from FY24 to FY26, with the stock holding its PE of 25.38. These are model-based estimates built from reported financials, not guaranteed outcomes.
Investors weighing a Larsen & Toubro target price for 2027 should start with where the stock sits today. At Rs 3,705.00 on 9 October 2026, it is 16.6% below its 52-week high of Rs 4,440.00 and 12.7% above its 52-week low of Rs 3,288.10. That range spans 35% from low to high, so the entry point matters as much as the Larsen & Toubro price forecast itself.
This article builds the Larsen & Toubro share price target from reported numbers only: five years of annual results, the last five quarters, the latest shareholding pattern and current valuation ratios from company filings and exchange data. Each scenario shows its assumptions, so you can see exactly how the Rs 4,039 base case and the Rs 4,895 bull case were reached, along with a downside risk level of Rs 2,895.
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Larsen & Toubro Stock Analysis: Company Overview and Key Stats
Larsen & Toubro (NSE: LT) has a market capitalisation of Rs 4,98,143 crore. In FY26 it reported revenue of Rs 2,91,635 crore and net profit of Rs 19,159 crore. The table collects the figures the Larsen & Toubro share price target is built on.
| Metric | Value |
|---|---|
| Company | Larsen & Toubro |
| NSE Ticker | LT |
| CMP (9 October 2026) | Rs 3,705.00 |
| 52-Week High | Rs 4,440.00 |
| 52-Week Low | Rs 3,288.10 |
| Market Cap | Rs 4,98,143 crore |
| PE Ratio (TTM) | 25.38 |
| Industry PE | 23.12 |
| Price to Book | 4.56 |
| Return on Equity | 14.72% |
| Debt to Equity | 1.15 |
| EPS (TTM) | Rs 142.63 |
| Dividend Yield | 1.05% |
| 12-Month Base Target | Rs 4,039 |
| Bull Case | Rs 4,895 |
| Downside Risk Level (not a target) | Rs 2,895 |
Why Is Larsen & Toubro Share Price Target Set at Rs 4,039 for 2027?
The base-case Larsen & Toubro stock target of Rs 4,039 applies a PE multiple of 25.38 to a forward EPS estimate of Rs 159.15. That EPS assumes 11.6% yearly growth, the pace from FY24 to FY26, and puts the target 9.0% above the current price. The bull case adds faster earnings growth and a higher multiple, while the downside risk level assumes flat earnings and a lower multiple.
Earnings Growth Behind the Larsen & Toubro Target Price: Five Years of Results
Larsen & Toubro grew revenue from Rs 1,58,788 crore in FY22 to Rs 2,91,635 crore in FY26, a compound annual growth rate of 16.4%. Net profit grew faster, from Rs 10,291 crore to Rs 19,159 crore (16.8% a year), which shows margin gains did part of the work and not just higher sales.
| Financial Year | Revenue (Rs Cr) | Net Profit (Rs Cr) | EPS (Rs) | Dividend per Share (Rs) |
|---|---|---|---|---|
| FY22 | 1,58,788.31 | 10,291.05 | 61.65 | 22.00 |
| FY23 | 1,86,269.87 | 12,624.87 | 74.45 | 24.00 |
| FY24 | 2,25,270.94 | 15,569.72 | 93.88 | 34.00 |
| FY25 | 2,59,859.27 | 17,687.39 | 109.28 | 34.00 |
| FY26 | 2,91,635.04 | 19,159.40 | 116.88 | 38.00 |
FY26 revenue growth was 12.2%, slower than the four-year average of 16.4%, and net profit moved up 8.3%. EPS rose from Rs 93.88 in FY24 to Rs 116.88 in FY26. The FY27 outlook depends on whether that EPS estimate keeps compounding.
Margins and the Latest Quarter
Larsen & Toubro converted 6.6% of FY26 revenue into net profit, against 6.8% in FY25, within a five-year range of 6.5% to 6.9%. EBITDA margin was 13.8% in FY26 versus 14.4% in FY25.
In the June 2026 quarter, revenue was Rs 70,318 crore, up 8.1% from the same quarter a year earlier, while net profit of Rs 4,983 crore was up 15.2%. EBITDA came in at Rs 10,526 crore, up 12.2% year on year. The next quarterly result is the first test of whether the earnings assumption holds.
Balance Sheet and Cash Flow
Debt to equity stands at 1.15, and shareholders’ equity grew from Rs 95,374 crore in FY22 to Rs 1,28,530 crore in FY26. Operating cash flow in FY26 was Rs 16,741 crore against capital expenditure of Rs 4,809 crore, leaving free cash flow of Rs 11,932 crore, or 2.4% of the current market capitalisation. In FY25 free cash flow was Rs 4,733 crore.
Valuation Check for the Larsen & Toubro Stock Target: PE, Price to Book and ROE
At a PE of 25.38 against an industry PE of 23.12, Larsen & Toubro trades in line with its industry. Price to book is 4.56 on a book value of Rs 794.32 per share, and return on equity is 14.72%. A PE of 25.38 equals an earnings yield of 3.9%, and the FY26 dividend of Rs 38.00 per share gives a yield of 1.05%.
Shareholding Pattern and Institutional Holding
The latest filing shows no promoter holding in Larsen & Toubro, so ownership rests with institutions and public shareholders. Foreign institutional investors (FII) held 19.13% and domestic institutions (DII) held 43.02%, which puts total institutional holding at 62.15%. FII holding fell from 19.33% in June 2025 to 19.13% in June 2026. Public shareholders own the remaining 37.85%. A meaningful institutional holding adds a layer of research coverage and trading depth.
Larsen & Toubro Share Price Targets for the Short Term and 12 Months
Short Term Larsen & Toubro Stock Target Levels: Technical Setup
At Rs 3,705.00 on 9 October 2026, Larsen & Toubro trades below its 50-day simple moving average of Rs 3,941.01 and below its 200-day exponential moving average of Rs 3,912.93. The 14-day RSI reads 37.3, which is neutral territory, and the MACD line sits below its signal line. The nearest resistance level is Rs 3,912.93 (200-day exponential moving average) and the nearest support is Rs 3,288.10 (52-week low). A sustained move above Rs 3,912.93 would improve the short-term setup, while a close below Rs 3,288.10 would shift attention to the next support.
12 Month Larsen & Toubro Target Price for 2027
The 12-month target for Larsen & Toubro is Rs 4,039: forward EPS of Rs 159.15 at a PE of 25.38. That is 9.0% above Rs 3,705.00. It would still leave the stock 9.0% below its 52-week high of Rs 4,440.00.
How EPS Growth and PE Multiple Change the Larsen & Toubro Target Price
| EPS Growth | PE 20.30 | PE 25.38 | PE 29.19 |
|---|---|---|---|
| 0.0% (EPS Rs 142.63) | Rs 2,895 | Rs 3,620 | Rs 4,163 |
| 11.6% (EPS Rs 159.15) | Rs 3,231 | Rs 4,039 | Rs 4,646 |
| 17.6% (EPS Rs 167.70) | Rs 3,404 | Rs 4,256 | Rs 4,895 |
Each cell multiplies the forward EPS estimate by the PE shown. Reading across a row shows what a de-rating or re-rating does to the Larsen & Toubro price forecast, and reading down a column shows what earnings growth is worth at a fixed multiple.
Bull Case and Downside Risk for Larsen & Toubro Stock Target in 2027
Bull Case Rs 4,895
The bull case Larsen & Toubro price target needs EPS growth of 17.6%, which lifts forward EPS to Rs 167.70, and a PE multiple that rises 15% to 29.19. That gives Rs 4,895, 32.1% above the current price and above the 52-week high of Rs 4,440.00, so the stock would have to set a fresh 52-week high.
Downside Risk Level Rs 2,895
The downside risk level is not a target. It assumes EPS stays flat at Rs 142.63 and the PE falls 20% to 20.30. That gives Rs 2,895, 21.9% below the current price and below the 52-week low of Rs 3,288.10.
| Scenario | EPS Growth | PE Multiple | Price (Rs) | Change vs CMP |
|---|---|---|---|---|
| Bull Case | 17.6% | 29.19 | Rs 4,895 | +32.1% |
| Base Case | 11.6% | 25.38 | Rs 4,039 | +9.0% |
| Downside Risk | 0.0% | 20.30 | Rs 2,895 | -21.9% |
Key Risks to the Larsen & Toubro Target Price for 2027
Growth Slowdown Risk for the Larsen & Toubro Price Target
Revenue in the June 2026 quarter was up 8.1% year on year, and FY26 revenue growth was 12.2%. If growth slows from here, the EPS estimate behind the Larsen & Toubro stock target will need revising.
Liquidity and Size Risk
Larsen & Toubro has a market capitalisation of Rs 4,98,143 crore. Institutional holding is 62.15%, and the latest filing shows no promoter holding. A company of this size trades with deep liquidity, so entry and exit are rarely a problem, and the larger risk is paying too much for slow earnings growth.
Valuation and Margin Risk
Net margin was 6.6% in FY26, so a small slip in costs moves profit noticeably. At a PE of 25.38 versus an industry PE of 23.12, a de-rating toward the downside-risk PE of 20.30 would cut the price even if earnings hold.
Market and Technical Risk
The stock trades 16.6% below its 52-week high, with an RSI of 37.3 and a MACD reading below its signal line. Broader market weakness can override company fundamentals in the short term.
How to Invest in Larsen & Toubro
Start with the live price and volume. Any Larsen & Toubro share price target is only as current as the data behind it, and the data here is as of 9 October 2026, so refresh the Rs 3,705.00 price before acting on any level.
Next, review the fundamentals yourself. The Univest Screener lets you check Larsen & Toubro’s PE, ROE, debt and shareholding in one place.
Check Larsen & Toubro fundamentals on the Univest Screener
Then compare the three Larsen & Toubro target price scenarios with your own view. If you expect EPS growth below 11.6%, the base case is too optimistic for you; if you expect more, the bull case deserves weight.
Decide your position size and exit levels before you buy. The support and resistance levels above can serve as reference points, but they are not recommendations.
Finally, place the order through a SEBI-registered broker or the Univest app, and review the position after each quarterly result. Consult a SEBI-registered advisor if you are unsure.
Download the Univest iOS App or Univest Android App to track Larsen & Toubro live price and get daily stock recommendations.
Conclusion
The Larsen & Toubro share price target for 2027 is Rs 4,039 in the base case, with Rs 4,895 as the bull case. The support for that view is arithmetic you can check: EPS grew 11.6% a year over FY24 to FY26, and the stock trades at a PE of 25.38. The risks are equally concrete, including a stock that sits 16.6% below its 52-week high and a downside scenario that cuts the price 22% if earnings stall. Use these numbers as a framework, check them against the latest filings, and size any position to your own risk appetite.
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).
FAQs on Larsen & Toubro Share Price Target 2027
What is the Larsen & Toubro share price target for 2027?
Ans. The base-case Larsen & Toubro share price target for 2027 is Rs 4,039, with Rs 4,895 as the bull case. The downside risk level, which is not a target, is Rs 2,895. These are model estimates from reported earnings and the current PE, not guaranteed outcomes.
What is the Larsen & Toubro share price today?
Ans. As of 9 October 2026, 3:29 PM IST, Larsen & Toubro trades at Rs 3,705.00, up 2.20% on the day. The 52-week range is Rs 3,288.10 to Rs 4,440.00.
Is Larsen & Toubro a buy or sell at the current price?
Ans. The data is mixed rather than one-sided: EPS has grown 11.6% a year over FY24 to FY26, but the stock is 16.6% below its 52-week high. Whether Larsen & Toubro fits your portfolio depends on your time horizon and risk appetite, so consult a SEBI-registered advisor before investing. This article is not investment advice.
What are the bull case target and downside risk level for Larsen & Toubro shares?
Ans. The bull case target is Rs 4,895, which assumes 17.6% EPS growth and a PE of 29.19. The downside risk level is Rs 2,895, which assumes flat EPS and a PE of 20.30. It marks a risk, not a target.
What are the main risks to the Larsen & Toubro price target?
Ans. The main risks are slower revenue growth, a small market capitalisation of Rs 4,98,143 crore, a PE de-rating and short-term weakness in the broader market. Each is covered in the risk section above.
What is the PE ratio of Larsen & Toubro and how does it compare with the industry?
Ans. The PE ratio of Larsen & Toubro is 25.38 against an industry PE of 23.12. Price to book is 4.56 and return on equity is 14.72%. The base case in the Larsen & Toubro price target holds this PE constant.
Who owns Larsen & Toubro, and what is the promoter holding?
Ans. The latest filing shows no promoter holding in Larsen & Toubro. FII held 19.13%, DII held 43.02% and the public held 37.85%.
What were Larsen & Toubro’s latest quarterly results?
Ans. In the June 2026 quarter, Larsen & Toubro reported revenue of Rs 70,318 crore (up 8.1% year on year) and net profit of Rs 4,983 crore (up 15.2%).