L&T Finance Ltd
LTF NSE
L&T Finance Ltd
Financial Services F&ONSE: LTF BSE: 533519 Finance
L&T Finance Ltd. is a NBFC, offering a range of financial products and services. [1] Company has filed requisite application for necessary registration as Systemically Important Non- Deposit Accepting Core Investment Company (NBFC-CIC)[2]
AI Verdict: HOLD Confidence: 5%
L&T Finance offers strong profit growth at 32.4% CAGR over 5 years and 73.68% analyst buy ratings, but weak sales growth of 6.05% over 5 years, low ROE of 10.8%, and a P/B of 2.57x suggest limited margin of safety at current valuations. The stock has rallied 51% in the last year, pricing in much of the near-term upside.
Key Fundamentals
MidcapInvestment CompanyFinancial ServicesMarket Cap
₹76,246 Cr
Volatility
Moderate
P/E Ratio
25.08
EBITDA
₹10,957 Cr
Return on Equity
9.85%
Debt to Equity
3.78
Book Value
₹111.69
EPS
₹9.93
52W High
₹329.45
52W Low
₹193.66
Technical Indicators
Key Insights
Strengths
2- Company has delivered good profit growth of 32.4% CAGR over last 5 years
- Company has been maintaining a healthy dividend payout of 25.3%
Weaknesses
5- Stock is trading at 2.65 times its book value
- Company has low interest coverage ratio.
- The company has delivered a poor sales growth of 6.05% over past five years.
- Company has a low return on equity of 10.8% over last 3 years.
- Company might be capitalizing the interest cost
Growth Rate
Revenue Growth
12.40% ↗
Net Income Growth
12.84% ↗
Cash Flow Change
14.46% ↗
ROE
3.20% ↘
ROCE
-4.62% ↘
EBITDA Margin (Avg.)
1.26% ↘
AI Analysis — Bull vs Bear
anthropic claude-opus-4.6 3d agoHOLD
Risk medium
L&T Finance offers strong profit growth at 32.4% CAGR over 5 years and 73.68% analyst buy ratings, but weak sales growth of 6.05% over 5 years, low ROE of 10.8%, and a P/B of 2.57x suggest limited margin of safety at current valuations. The stock has rallied 51% in the last year, pricing in much of the near-term upside.
Bull Case 8
- Compounded profit growth of 32% CAGR over 5 years demonstrates strong earnings momentum and successful business transformation
- 73.68% of analysts (14 out of 19) have a buy rating, reflecting broad institutional confidence in the company's trajectory
- Stock has delivered 33% CAGR over 3 years, significantly outperforming broader market indices
- TTM revenue growth of 12% shows acceleration from the 5-year sales CAGR of 6%, indicating improving business scale
- Healthy dividend payout ratio of 25.3% with a current yield of 0.96%, providing income support for investors
- ROE has improved to 11% in the last year from a 5-year average of 8%, signalling improving capital efficiency
- Market cap of Rs 72,226 crore provides adequate liquidity and index inclusion benefits for institutional investors
- 3-year compounded profit growth of 256% reflects a dramatic turnaround from prior stressed asset cycles
Bear Case 8
- Sales growth of only 6.05% CAGR over 5 years is poor for a financial services company in a growing economy
- P/B ratio of 2.57x is elevated given ROE of just 10.8%, implying the stock is priced for perfection
- Low interest coverage ratio raises concerns about debt servicing ability and balance sheet vulnerability in a rising rate environment
- ROE of 10.8% over 3 years is below the cost of equity for most financial services firms, destroying shareholder value
- Potential capitalisation of interest costs may be inflating reported profitability and book value
- PE ratio of 24.1x is at a premium to many NBFC peers, leaving limited room for re-rating
- Only 51% one-year stock price rally may have front-loaded returns, increasing risk of mean reversion
- 10.53% of analysts (2 out of 19) maintain a sell rating, indicating unresolved concerns among some institutional observers
This is AI-generated analysis, not financial advice. Do your own due diligence.
AI News Digest
anthropic claude-opus-4.6 14h ago Positives 1
- ₹2.75 dividend approved at AGM May 29
Shareholders approved a final dividend of ₹2.75 per share and re-appointed Mr. S. N. Subrahmanyam at the 18th AGM on May 29, 2026.
Neutral 4
- ₹1,500 Cr NCD allotment at 8.12% Jun 15
L&T Finance allotted 1,50,000 NCDs worth ₹1,500 crore on June 15, 2026, carrying an 8.12% coupon rate maturing June 29, 2029.
- Investor meets scheduled June 22-24 Jun 17
Company will host investor meetings in Bengaluru (Jun 22) and Mumbai (Jun 24) with no unpublished price sensitive information to be shared.
- Institutional investor conferences Jun 1-4 May 26
L&T Finance scheduled meetings with institutional investors at Axis Capital, BofA Securities, and Citi conferences in Mumbai from June 1-4, 2026.
- CHRO classified as Senior Management May 27
Ms. Shatabdi Basu Gupta, Chief Human Resources Officer, was classified as Senior Management Personnel effective May 27, 2026.
TL;DR: L&T Finance is in a steady operational phase with no visible headwinds in recent news. The ₹2.75 dividend signals confidence in earnings, while active NCD issuance at 8.12% shows continued access to debt markets at reasonable rates. Frequent institutional investor engagement suggests management is proactively maintaining market visibility. The near-term outlook appears stable with no red flags, though the NCD raise warrants monitoring for any shift in borrowing costs.
Quarterly Results
| Mar 2023 | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 3,243 | 3,223 | 3,214 | 3,534 | 3,670 | 3,784 | 4,019 | 4,098 | 4,023 | 4,260 | 4,336 | 4,578 | 4,771 |
| Expenses | 1,309 | 1,270 | 1,331 | 1,375 | 1,619 | 1,482 | 1,575 | 1,676 | 1,581 | 1,640 | 1,662 | 1,800 | 1,890 |
| Financing Profit | 489 | 590 | 557 | 806 | 716 | 950 | 968 | 853 | 842 | 984 | 1,040 | 1,075 | 1,134 |
| Fin. Margin % | 15% | 18% | 17% | 23% | 20% | 25% | 24% | 21% | 21% | 23% | 24% | 23% | 24% |
| Other Income | 202 | 153 | 268 | 47 | 6 | 0 | 5 | 8 | 4 | 0 | 0 | -25 | 0 |
| Interest | 1,445 | 1,364 | 1,325 | 1,353 | 1,335 | 1,351 | 1,476 | 1,569 | 1,600 | 1,636 | 1,634 | 1,703 | 1,747 |
| Depreciation | 29 | 30 | 28 | 29 | 28 | 28 | 33 | 36 | 41 | 41 | 51 | 58 | 60 |
| PBT | 662 | 714 | 797 | 824 | 694 | 922 | 940 | 824 | 806 | 943 | 989 | 992 | 1,074 |
| Tax % | 37% | 26% | 25% | 22% | 20% | 26% | 26% | 24% | 21% | 26% | 26% | 26% | 25% |
| Net Profit | 417 | 531 | 594 | 639 | 553 | 685 | 697 | 626 | 636 | 701 | 735 | 738 | 809 |
| EPS in Rs | 2.02 | 2.14 | 2.4 | 2.57 | 2.23 | 2.75 | 2.79 | 2.51 | 2.55 | 2.81 | 2.94 | 2.95 | 3.22 |
Profit & Loss
| Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 6,456 | 7,440 | 8,532 | 10,215 | 13,365 | 14,104 | 13,353 | 11,930 | 12,775 | 14,252 | 15,924 | 17,914 |
| Expenses | 1,625 | 1,979 | 2,776 | 3,308 | 3,377 | 4,160 | 5,401 | 5,233 | 7,935 | 6,195 | 6,304 | 6,946 |
| Financing Profit | 1,254 | 1,328 | 1,120 | 1,449 | 3,105 | 2,392 | 722 | 932 | -972 | 2,670 | 3,614 | 4,234 |
| Fin. Margin % | 19% | 18% | 13% | 14% | 23% | 17% | 5% | 8% | -8% | 19% | 23% | 24% |
| Other Income | 16 | 8 | 26 | 49 | -4 | 370 | 836 | 594 | 2,792 | 474 | 16 | -26 |
| Interest | 3,577 | 4,133 | 4,635 | 5,458 | 6,882 | 7,552 | 7,230 | 5,765 | 5,812 | 5,387 | 6,007 | 6,734 |
| Depreciation | 96 | 83 | 67 | 52 | 50 | 82 | 86 | 103 | 111 | 115 | 139 | 210 |
| PBT | 1,175 | 1,253 | 1,079 | 1,446 | 3,052 | 2,680 | 1,472 | 1,423 | 1,709 | 3,029 | 3,491 | 3,998 |
| Tax % | 28% | 32% | 3% | 12% | 27% | 37% | 36% | 26% | 10% | 24% | 24% | 25% |
| Net Profit | 855 | 857 | 1,048 | 1,278 | 2,232 | 1,700 | 949 | 1,049 | 1,536 | 2,317 | 2,643 | 2,983 |
| EPS in Rs | 4.04 | 3.97 | 4.83 | 5.11 | 9.06 | 6.9 | 3.93 | 4.33 | 6.55 | 9.32 | 10.6 | 11.9 |
| Div. Payout % | 16% | 16% | 13% | 16% | 9% | 11% | 0% | 12% | 31% | 27% | 26% | 23% |
Balance Sheet
| Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Equity Capital | 1,720 | 1,753 | 1,756 | 1,996 | 1,999 | 2,005 | 2,469 | 2,474 | 2,480 | 2,489 | 2,495 | 2,504 |
| Reserves | 4,656 | 5,442 | 6,138 | 9,411 | 11,450 | 12,688 | 16,304 | 17,474 | 19,049 | 20,950 | 23,069 | 25,479 |
| Borrowing | 43,454 | 52,829 | 61,024 | 75,248 | 91,507 | 93,934 | 88,592 | 85,237 | 83,105 | 76,603 | 92,372 | 1,10,298 |
| Other Liabilities | 2,912 | 3,775 | 3,593 | 1,117 | 1,094 | 902 | 1,582 | 1,696 | 1,706 | 2,652 | 2,447 | 3,903 |
| Total Liabilities | 52,742 | 63,799 | 72,511 | 87,772 | 1,06,050 | 1,09,529 | 1,08,947 | 1,06,880 | 1,06,339 | 1,02,694 | 1,20,384 | 1,42,184 |
| Fixed Assets | 1,184 | 1,313 | 1,230 | 1,151 | 1,127 | 1,100 | 1,138 | 509 | 553 | 519 | 641 | 1,308 |
| CWIP | 174 | 22 | 28 | 19 | 39 | 62 | 24 | 22 | 5 | 36 | 45 | 62 |
| Investments | 2,649 | 3,563 | 6,012 | 5,301 | 8,641 | 5,979 | 8,872 | 11,917 | 14,366 | 12,385 | 11,876 | 10,564 |
| Other Assets | 48,736 | 58,901 | 65,242 | 81,301 | 96,243 | 1,02,387 | 98,912 | 94,433 | 91,415 | 89,754 | 1,07,822 | 1,30,250 |
| Total Assets | 52,742 | 63,799 | 72,511 | 87,772 | 1,06,050 | 1,09,529 | 1,08,947 | 1,06,880 | 1,06,339 | 1,02,694 | 1,20,384 | 1,42,184 |
Cash Flow
| Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating | -6,474 | -9,213 | -5,779 | -15,640 | -11,643 | 2,162 | 5,464 | 6,078 | 7,490 | 686 | -16,587 | -14,189 |
| Investing | 2 | -675 | -2,118 | 1,549 | -3,587 | 160 | -2,025 | -5,087 | -1,634 | 849 | 472 | 367 |
| Financing | 6,552 | 9,426 | 7,952 | 14,678 | 16,008 | 1,451 | -2,091 | -3,023 | -1,664 | -7,050 | 15,419 | 15,415 |
| Net Cash Flow | 81 | -461 | 55 | 587 | 777 | 3,772 | 1,349 | -2,032 | 4,193 | -5,515 | -697 | 1,593 |
| Free Cash Flow | -6,572 | -9,292 | -5,781 | -15,614 | -11,723 | 2,108 | 5,415 | 6,001 | 7,394 | 568 | -16,777 | -14,427 |
| CFO/OP | -125 | -158 | -91 | -217 | -109 | 30 | 72 | 96 | 178 | 102 | -165 | -120 |
Ratios
| Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE % | 13% | 13% | 14% | 13% | 18% | 12% | 4% | 4% | 0% | 10% | 11% | 11% |
Documents
1
Business Responsibility and Sustainability Reporting (BRSR)
4 May - L&T Finance submitted FY26 BRSR with ESG targets, performance, governance, and compliance disclosures. 4 May - L&T Finance submitted FY26 BRSR with ESG targets, performance, governance, and compliance disclosures.
2
Announcement under Regulation 30 (LODR)-Newspaper Publication
4 May - Newspaper publication regarding the Annual General Meeting of the Company 4 May - Newspaper publication regarding the Annual General Meeting of the Company
3
Business Responsibility and Sustainability Reporting (BRSR)
4 May - L&T Finance submitted FY26 BRSR with ESG targets, performance, governance, and compliance disclosures. 4 May - L&T Finance submitted FY26 BRSR with ESG targets, performance, governance, and compliance disclosures.
4
Announcement under Regulation 30 (LODR)-Newspaper Publication
4 May - Newspaper publication regarding the Annual General Meeting of the Company 4 May - Newspaper publication regarding the Annual General Meeting of the Company
Frequently Asked Questions about L&T Finance Ltd
What does L&T Finance Ltd do?
L&T Finance Ltd. is a NBFC, offering a range of financial products and services. [1]
Company has filed requisite application for necessary registration as Systemically Important Non- Deposit Accepting Core Investment Company (NBFC-CIC)[2]
Where is L&T Finance Ltd (LTF) listed?
L&T Finance Ltd is listed on the Indian stock exchanges. It is listed on NSE: LTF and BSE: 533519. You can view its live share price, financials, and ratios on Tapetide.
Which sector does L&T Finance Ltd belong to?
L&T Finance Ltd operates in the Financial Services sector within the Finance industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of L&T Finance Ltd?
L&T Finance Ltd has a market capitalisation of approximately ₹76246.03 Cr. Based on this, it is classified as a Large Cap stock.
What is the PE ratio of L&T Finance Ltd?
The Price-to-Earnings (PE) ratio of L&T Finance Ltd is 25.08. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of L&T Finance Ltd?
Over the past 52 weeks, L&T Finance Ltd has traded between a low of ₹193.66 and a high of ₹329.45. This range helps investors understand the stock's price volatility and recent trading levels.
Does L&T Finance Ltd pay dividends?
Yes, L&T Finance Ltd has a dividend yield of 0.93%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of L&T Finance Ltd?
L&T Finance Ltd has a Return on Equity (ROE) of 9.85%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research L&T Finance Ltd on Tapetide?
On Tapetide, you can view L&T Finance Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.
Company Information
L&T Finance Ltd. is a NBFC, offering a range of financial products and services. [1] Company has filed requisite application for necessary registration as Systemically Important Non- Deposit Accepting Core Investment Company (NBFC-CIC)[2]