L&T shares rise 4% after Q1 earnings. Why Goldman Sachs, other brokerages remain bullish?

Shares of Larsen & Toubro (L&T) rose nearly 4% to Rs 3,967 on the BSE in Wednesday's early trade after the engineering major reported a 14% year-on-year (YoY) rise in net profit to Rs 4,123 crore for the first quarter of FY27, with brokerages retaining their ‘Buy’ calls for the stock.

L&T’s revenue from operations meanwhile rose around 7% YoY to Rs 67,942 crore during the April-June quarter of the ongoing FY27, from Rs 63,679 crore in the corresponding quarter of FY26. International revenue stood at Rs 34,393 crore, accounting for nearly 51% of the company’s overall revenue.

The company said it secured orders worth Rs 1.08 lakh crore during Q1, marking a 14% YoY growth. International orders meanwhile stood at Rs 60,702 crore, contributing 56% to the total order inflow. The company’s consolidated order book rose 5% sequentially to Rs 7.79 lakh crore as on June 30, 2026. International orders comprised 52% of the overall order book.


During the quarter, L&T said that it won significant orders across multiple businesses such as residential and commercial buildings, transportation infrastructure, ferrous metals, offshore wind and the heavy engineering businesses.

Also read | L&T Q1 Results: Net profit rises 14% YoY to Rs 4,123 crore, revenue up 7%

Goldman Sachs on L&T share price

Goldman Sachs highlighted that the company posted a good performance in a tough macro environment, with core order inflows coming in well ahead of expectations, ET Now reported. Operating margins however slipped slightly due to weaker execution as the West Asia conflict weighed on project timelines.

The international brokerage maintained its ‘Buy’ call on the stock.

Nuvama on L&T share price

Despite the West-Asia conflict and its related supply chain disruptions, L&T delivered 2% growth in Q1 core PPM revenue, Nuvama noted. It however retained its 'Hold' call on the stock as it believes the first half FY27 is likely to remain soft on Middle East-related disruptions.

Motilal Oswal on L&T share price

Motilal Oswal said L&T’s consolidated results and core EPC segment outperformed its estimates in the first quarter of FY27. Listing out the positives that it saw in the earnings print, Motilal said the company reported a healthy 14% YoY growth in core E&C order inflows, core E&C revenue growth of 3% YoY and flat margins at 7.6%.

Despite lower ordering from the Middle East region, L&T has diversified its order inflow mix from other geographies such as Europe and has also seen stable inflows from the domestic private sector, the domestic brokerage said, as it marginally revised its estimates to bake in Q1 performance.

Motilal Oswal retained its ‘Buy’ call on the shares of L&T, while increasing its target price to Rs 4,550 apiece from Rs 4,500 apiece. The latest target price implies an upside potential of nearly 19% from the stock’s previous closing price.

JM Financial on L&T share price

JM Financial said L&T’s core EBITDA was 10% ahead of its estimates, led by core margin beat, with core execution in line. Robust order inflows also beat the domestic brokerage’s estimates, led by the ultra-mega order for offshore wind by TenneT. With strong prospects of Rs 15 trillion for 9M FY27 supported by continued momentum in ordering by the Middle East, we view L&T’s FY27 order inflow growth guidance of 10-12% as achievable. While Q1 FY27 execution was adversely impacted by West Asia geopolitical disruptions, we expect normalisation in execution from H2 FY27 onwards. This, coupled with a large order book should support revenue growth of 10-12% in FY27 (in line with the guidance),” it added.

L&T is well placed to deliver over 16% CAGR in EBITDA over FY26-28 supported by strong momentum in Middle East ordering, pick up in execution from the second half of FY27 onwards and stable core margins, JM Financial said as it remained constructive on the stock.

The domestic brokerage maintained its ‘Buy’ call on the stock but reduced its target price to Rs 4,640 apiece from Rs 4,700 apiece. The latest target price implies 21% upside potential.

L&T share price

L&T announced its Q1 earnings in the post market hours of Tuesday. Earlier during the day, the shares closed marginally higher at Rs 3,832 apiece. The stock has fallen more than 8% in a month and 7.5% in 2026 so far.

In the longer term, L&T shares have gained around 10% in a year, 45% in three years and 140% in five years. The company has a market capitalisation of nearly Rs 5.27 lakh crore.

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