L&T Technology Services Intrinsic Value

LTTS • Information Technology
Current Stock Price
₹3121.70
Primary Intrinsic Value
₹1488.96
Market Cap
₹6556 Cr
-7.0% Downside
Median Value
₹2903.81
Value Range
₹937 - ₹6243
Assessment
Trading Near Calculated Value
Safety Margin
-7.5%

LTTS Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹1488.96 ₹1191.17 - ₹1786.75 -52.3% EPS: ₹124.08, Sector P/E: 12x
Book Value Method asset ₹2903.81 ₹2613.43 - ₹3194.19 -7.0% Book Value/Share: ₹2903.81, P/B: 1.0x
Revenue Multiple Method revenue ₹4640.00 ₹4176.00 - ₹5104.00 +48.6% Revenue/Share: ₹5800.00, P/S: 0.8x
EBITDA Multiple Method earnings ₹6243.40 ₹5619.06 - ₹6867.74 +100.0% EBITDA: ₹2224.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹5974.32 ₹4779.46 - ₹7169.18 +91.4% CF Growth: 2.7%, Discount: 15%
PEG Ratio Method growth ₹936.51 ₹842.86 - ₹1030.16 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹1022.42 ₹920.18 - ₹1124.66 -67.2% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹6243.40 ₹5619.06 - ₹6867.74 +100.0% ROE: 21.6%, P/E Multiple: 16x
Graham Defensive Method conservative ₹2847.25 ₹2562.53 - ₹3131.98 -8.8% EPS: ₹124.08, BVPS: ₹2903.81
Method Types: Earnings Asset DCF Growth Dividend Conservative

Valuation Comparison Chart

LTTS Intrinsic Value Analysis

What is the intrinsic value of LTTS?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of L&T Technology Services (LTTS) is ₹2903.81 (median value). With the current market price of ₹3121.70, this represents a -7.0% variance from our estimated fair value.

The valuation range spans from ₹936.51 to ₹6243.40, indicating ₹936.51 - ₹6243.40.

Is LTTS undervalued or overvalued?

Based on our multi-method analysis, L&T Technology Services (LTTS) appears to be trading near calculated value by approximately 7.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 11.63 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 21.6% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 16.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 1.26x Industry Standard: 1.0x+ Above 1.0x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹1,481 Cr ₹1,227 Cr Positive Free Cash Flow 8/10
March 2024 ₹1,493 Cr ₹1,377 Cr Positive Free Cash Flow 8/10
March 2023 ₹1,313 Cr ₹1,024 Cr Positive Free Cash Flow 8/10
March 2022 ₹1,006 Cr ₹782 Cr Positive Free Cash Flow 8/10
March 2021 ₹1,333 Cr ₹831 Cr Positive Free Cash Flow 8/10