Larsen Toubro EBITDA vs. Current Valuation
| LT Stock | 3,716 41.80 1.11% |
EBITDA | First Reported 2010-12-31 | Previous Quarter 277.3 B | Current Value 291.1 B | Quarterly Volatility 86.1 B |
For Larsen Toubro profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Larsen Toubro to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Larsen Toubro Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Larsen Toubro's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Larsen Toubro Limited over time as well as its relative position and ranking within its peers.
Larsen |
Larsen Toubro Limited Current Valuation vs. EBITDA Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Larsen Toubro's current stock value. Our valuation model uses many indicators to compare Larsen Toubro value to that of its competitors to determine the firm's financial worth. Larsen Toubro Limited is currently regarded as number one stock in ebitda category among its peers. It also is considered the number one company in current valuation category among its peers reporting about 21.26 of Current Valuation per EBITDA. At present, Larsen Toubro's EBITDA is projected to increase significantly based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Larsen Toubro's earnings, one of the primary drivers of an investment's value.Larsen Current Valuation vs. EBITDA
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.
Larsen Toubro |
| = | 277.28 B |
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Larsen Toubro |
| = | 5.9 T |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Larsen Current Valuation vs Competition
Larsen Toubro Limited is considered the number one company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Industrials industry is now estimated at about 99.85 Trillion. Larsen Toubro holds roughly 5.9 Trillion in current valuation claiming about 6% of equities under Industrials industry.
Larsen Toubro Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Larsen Toubro, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Larsen Toubro will eventually generate negative long term returns. The profitability progress is the general direction of Larsen Toubro's change in net profit over the period of time. It can combine multiple indicators of Larsen Toubro, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 65.4 B | 68.7 B | |
| Operating Income | 234.2 B | 245.9 B | |
| Income Before Tax | 204.9 B | 215.1 B | |
| Total Other Income Expense Net | -29.3 B | -27.8 B | |
| Net Income | 130.6 B | 86.3 B | |
| Income Tax Expense | 49.5 B | 51.9 B | |
| Net Income From Continuing Ops | 155.5 B | 96.8 B | |
| Net Income Applicable To Common Shares | 13.5 B | 12.8 B | |
| Interest Income | 24.5 B | 13.2 B | |
| Net Interest Income | -35.5 B | -37.2 B | |
| Change To Netincome | 40.7 B | 42.8 B |
Larsen Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Larsen Toubro. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Larsen Toubro position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Larsen Toubro's important profitability drivers and their relationship over time.
Learn to be your own money manager
Our tools can tell you how much better you can do entering a position in Larsen Toubro without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.Did you try this?
Run Price Transformation Now
Price TransformationUse Price Transformation models to analyze the depth of different equity instruments across global markets |
| All Next | Launch Module |
Use Investing Themes to Complement your Larsen Toubro position
In addition to having Larsen Toubro in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Farming Thematic Idea Now
Farming
Companies producing farming products and providing services for farmers. The Farming theme has 37 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Farming Theme or any other thematic opportunities.
| View All Next | Launch |
Other Information on Investing in Larsen Stock
To fully project Larsen Toubro's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Larsen Toubro Limited at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Larsen Toubro's income statement, its balance sheet, and the statement of cash flows.