L&T shares rally 3%, rise 11% in 2025: Here’s what analysts at Goldman Sachs expect for the engineering giant

Analysts at Goldman Sachs expect L&T’s Total Addressable Market (TAM) to rise to ₹3.4 lakh crore by financial year 2035, compared with the current estimate of ₹1.4 lakh crore for FY26.

The global investment bank also highlighted L&T’s strong order backlog and improving confidence in a domestic capex recovery across several sectors. It further expects the company’s revenue to compound at a low double-digit rate and its profit after tax to grow in the mid-teens over the next five years.

Recently, L&T had said it expects the next phase of growth to be driven not only by scaling operations but also by embracing digitisation, sustainability, and climate resilience.

L&T share price

Following the report, shares of L&T were trading higher, becoming one of the top gainers on the NIFTY50 index. At 10:47 AM, L&T shares were trading at ₹4,061.40 apiece on the National Stock Exchange, gaining 1.44%.

Over a month’s time, L&T shares have gained 3%, while the stock has zoomed 13% in 6 months. Since the beginning of 2025, L&T shares have rallied 11%.

Shares of the firm had hit a 52-week high of ₹4,140 on November 27, 2025, and a 52-week low of ₹2,965.30 on April 7, 2025.

The company has a total market capitalisation of ₹5.60 lakh crore, according to data on the NSE.

Recent developments

This week, the infrastructure major had announced the transfer of its realty business to its arm, L&T Realty Properties Ltd. The development marks the beginning of a phased consolidation of all real estate assets and undertakings of L&T.

The approval on the same was given by the board through a slump sale via a scheme of arrangement. However, it is subject to requisite regulatory approvals.

The engineering and construction major had recently said it has rebranded its data centre business as Larsen & Toubro-Vyoma, a name inspired by the Sanskrit word for 'sky'.

L&T Q2 earnings

Larsen and Toubro had reported a 15.6% increase in its consolidated net profit at ₹3,926 crore for the quarter ending September 30 of the financial year 2025-26. The infrastructure major had seen a profit of ₹3,395 crore in the same quarter of the previous fiscal year.

L&T’s revenue from operations for the quarter under review was at ₹67,984 crore, marking a growth of 10.4% from ₹61,555 crore reported in the fourth quarter of FY25.

For Q2 FY26, the company’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) jumped 7% year-on-year (YoY) to ₹6,807 crore as against ₹6,362 crore in Q4 FY24. Its margin was almost flat at 10.1% in contrast to 10.3%.

The company had secured orders worth ₹210,237 crore, registering YoY growth of 39% for the half-year ended September 30, 2025.

The consolidated order book of the Group as of September 30, 2025, was at ₹667,047 crore, a growth of 15% over March 2025. International orders comprise 49% of the order book.