Larsen & Toubro (L&T) share price rallied nearly 2% on Monday despite a weakness in the broader Indian stock market. L&T shares gained as much as 1.96% to ₹3,226.90 apiece on the BSE.
Gains in L&T stock price comes after the company announced that it won a large order for its Power Transmission & Distribution business.
“The Power Transmission & Distribution (PT&D) vertical of Larsen & Toubro has won new orders in India and abroad. In India, it has won an order to implement 765kV and 400kV transmission line segments associated with a Renewable Energy Zone in Uttar Pradesh,” Larsen & Toubro said in a regulatory filing on Monday.
Prior to this, the business secured an order for turnkey construction of a 400kV transmission line, meant for evacuation of power from a non-fossil fuel-based powerplant in southern India.
In Saudi Arabia, L&T’s PT&D vertical won an order for a 380kV Gas Insulated Substation (GIS). The scope also includes associated Reactors and installation of hybrid GIS Bays.
In Abu Dhabi, the business has received an order for setting up a new 220/33kV grid station, along with associated jobs, the engineering and construction major said.
“These repeat orders from PT&D’s longstanding customers underscore the vital role played by L&T towards setting up efficient grid infrastructure across geographies, and thereby facilitating faster proliferation of renewable energy generation,” the company statement added.
As per L&T’s project classification, a large order ranges from ₹2,500 crore to ₹5,000 crore.
L&T Stock Price Trend
L&T stock has remained under pressure this year as the shares have fallen 12.5% on a year-to-date (YTD) basis. Over the past six months, L&T share price has declined 13%, while it is down 12% in one year.
However, in the long-term, L&T share price has delivered decent returns to investors. L&T stock price has gained 50% in two years and has given multibagger returns of 171% in the past five years.
At 1:10 PM, L&T shares were trading 1.27% higher at ₹3,205.00 apiece on the BSE.
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