Please Share:: 
India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��
L&T bags order worth `1,210cr for substation project in Qatar
Larsen & Toubro’s (L&T) power transmission and distribution division has bagged a major
international EPC order worth `1,210cr from Qatar General Electricity and Water
Corporation. The order involves supply and construction of 13 extra high voltage
substations in Qatar. The estimated construction period is 18–26 months. This is the single
largest order for L&T’s power transmission and distribution operations in GCC countries.
With this order, the outstanding order book of the company stands at ~`1,41,217cr (3.2x
FY2011 revenue), providing good revenue visibility.
At the CMP of `1,798, the stock is trading at 21.8x FY2013E earnings and 3.7x FY2013E
P/BV on a standalone basis. We have used the SOTP methodology to value the company
to capture all its business initiatives and investments/stakes in different businesses.
Ascribing separate values to its parent business on a P/E basis and investments in
subsidiaries on P/E, P/BV and mcap basis, our target price works out to `2,030, which
provides 12.9% upside from current levels. We recommend Accumulate on the stock.
India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��
L&T bags order worth `1,210cr for substation project in Qatar
Larsen & Toubro’s (L&T) power transmission and distribution division has bagged a major
international EPC order worth `1,210cr from Qatar General Electricity and Water
Corporation. The order involves supply and construction of 13 extra high voltage
substations in Qatar. The estimated construction period is 18–26 months. This is the single
largest order for L&T’s power transmission and distribution operations in GCC countries.
With this order, the outstanding order book of the company stands at ~`1,41,217cr (3.2x
FY2011 revenue), providing good revenue visibility.
At the CMP of `1,798, the stock is trading at 21.8x FY2013E earnings and 3.7x FY2013E
P/BV on a standalone basis. We have used the SOTP methodology to value the company
to capture all its business initiatives and investments/stakes in different businesses.
Ascribing separate values to its parent business on a P/E basis and investments in
subsidiaries on P/E, P/BV and mcap basis, our target price works out to `2,030, which
provides 12.9% upside from current levels. We recommend Accumulate on the stock.
No comments:
Post a Comment