L&T Share Price Target 2025: 35% Returns In 12 Months? Jefferies Shares Upside - Buy, Sell Or Hold?

Brokerage firm Jefferies has given a 'BUY' rating to Larsen and Toubro. In its latest report, the brokerage said that the L&T stock may have a potential upside of up to 35 per cent in best case scenario. The firm has also backed its argument with a fundamental analysis on the L&T stock.

Jefferies on L&T stock: Base Case Scenario Performance

According to the brokerage firm the stock may touch a price of ₹4,600. Against Friday's closing price of ₹3,660.95, this could be a potential upside of about 27 per cent.

Here's Jefferies' Analysis To Back The Claim

• L&T's revenue CAGR in FY24-27E is 17%. 
• Hydrocarbon segment and heavy engineering should continue to see improving margin trends.
• Rising share of domestic execution backed by orders picked up in the past two years, providing margin comfort.

Jefferies on L&T stock: Upside Scenario Performance

As per the report the stock price of L&T may touch ₹4,861 apiece in the near future. Against Friday's closing price of ₹3,660.95, this is a potential upside of 35 per cent.

Jefferies' Analysis Is As Follows:

• Early recovery in macro investment cycle should see a sharp pickup in the company's order flow and valuations.
• Middle East (ME) margin contraction factored in does not come through in case of better margin order flow.

Meanwhile, in case of a downside scenario, the L&T stock may touch ₹3,284, which is a downside of about 9 per cent.

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