L&T Share Price: Brokerages turn bullish on infra major! Jefferies sees 19% upside, Citi, and CLSA also raise targets after strong Q2
L&T Share Price: Infrastructure giant Larsen & Toubro (L&T) reported a solid performance for the September quarter (Q2 FY26), driven by higher revenues and record order inflows, prompting several global brokerages to raise their target prices on the stock.
L&T’s consolidated net profit jumped 15.6 per cent year-on-year (YoY) to Rs 3,926.09 crore for the quarter ended September 2025, compared to Rs 3,395.29 crore in the same period last year.
The company’s consolidated revenue from operations grew 10 per cent YoY to Rs 67,983.53 crore, up from Rs 61,554.58 crore.
The company announced that it secured orders worth Rs 2,10,237 crore during the first half of FY26, marking a 39 per cent YoY increase.
Notably, international orders contributed 59 per cent, amounting to Rs 1,24,236 crore, underscoring L&T’s expanding global footprint.
Analysts highlighted that order inflows rose 54 per cent YoY in Q2FY26, driven by large-scale projects across infrastructure, energy, and private capex in India.
The company’s order book remains strong with a 31 per cent YoY growth, supporting a positive medium-term outlook.
Margin Expansion and Outlook
L&T’s core margins expanded by 20 basis points YoY, supported by execution efficiencies and favourable claim settlements.
Despite minor softness in hydrocarbon margins, analysts noted that execution momentum is likely to improve in the second half (H2) due to a strong project pipeline and seasonal tailwinds.
Citi noted that L&T’s core order inflows beat expectations (+54 per cent YoY vs +40 per cent est.), and the company is well placed (L1 position) in orders worth US$4.5 billion in the Middle East.
The brokerage expects the next 5-year strategy announcement post Q4FY26 and resolution of the Hyderabad Metro issue by FY26-end to further boost sentiment.
Brokerage Views: Strong Order Book Keeps Sentiment Positive
Global brokerages maintained a largely positive view on L&T, citing strong execution, a healthy order pipeline, and continued momentum in infrastructure and high-tech segments.
Jefferies remains the most bullish, keeping a buy rating with a target of Rs 4,715, implying a 19 per cent upside from the current price of Rs 3,958.
Citi also has a buy call with a Rs 4,500 target (14 per cent upside), while CLSA and JP Morgan see 9 per cent and 7 per cent gains, respectively.
Morgan Stanley and Bernstein expect modest upside of 2–3 per cent, whereas Goldman Sachs is the only cautious voice, maintaining a neutral stance with a Rs 3,730 target, indicating a 6 per cent downside.
The Road Ahead
L&T’s near-term growth is expected to be supported by a robust order pipeline (up 29 per cent YoY) and sustained government and private capex momentum. While monsoon-related disruptions affected Q2 execution, analysts believe the second half will see a pickup.