Risk factor
Modest price volatility
Profitability factor
Good growth
About
L&T Finance Limited, an Indian non-banking financial company (NBFC), provides a comprehensive suite of financial products and services throughout the country. Its business operations are strategically divided into four primary segments: Retail Finance, Wholesale Finance, Defocused Business, and an 'Others' category. The Retail Finance division caters to a diverse clientele, offering services such as farmer finance (including equipment and agri-allied financing), rural business finance (like microfinance and broader rural business loans), urban finance (which covers two-wheeler, consumer, retail housing, and loans against property), financing for Small and Medium Enterprises (SMEs), and the acquisition of retail portfolios. The Wholesale Finance segment, on the other hand, specializes in providing funding for real estate and infrastructure projects. Furthermore, the Defocused Business segment deals with structured corporate loans and services related to debt capital markets. The 'Others' segment mainly encompasses asset management services. Originally incorporated in 1994 and headquartered in Mumbai, India, the company was formerly known as L&T Finance Holdings Limited until it adopted its current name, L&T Finance Limited, in March 2024. It operates as a subsidiary of Larsen & Toubro Limited.
Company Valuation
Based on key historical and expected multiples, the stock is fairly valued relative to its peers. In particular, the stock is overpriced on P/E, undervalued on P/RIBP.
Target Price
The average target price of LTF.NS is 311 and suggests 22.4% upside potential. Usually, this means a BUY recommendation among investment firms, or a recommendation to inc