L&T: Order execution, new initiatives key to long-term growth, say analysts

Long-awaited growth pick-up along with muted orders may weigh on Larsen and Toubro's stock in the near-term

The shares of Larsen and Toubro (L&T) bounced back 3 per cent from the day's low to hit an intra-day high of Rs 1,915 per share as investors looked past the muted December quarter (Q3FY22) result of the engineering and construction major and eyed long-term growth prospects.

"Operational performance was marginally below estimates impacted by lower than estimated margins in Core business. Sales at around Rs 39,600 crore (up 11 per cent YoY) was broadly in-line with expectation. Core segment (ex-services) revenue stood at Rs 27,200 crore (below our estimate of Rs 27,900 crore) whereas service segment revenue at Rs