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L&T Technology Services Limited (LTTS) Fair Value & Analysis

Technology · IN · Market cap ₹336B

LT L&T Technology Services Limited LTTS · NSE
Price₹3,529
Fair Value₹3,377
Upside-4.3%
Quality66/100
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Healthy Growth
Solidly profitable · 11.6% net margin
generates free cash flow
1.90% dividend yield
Mixed vs. peers (6/13)
Moderate moat 64/100
Evidence: High Range ₹2,319 – ₹4,206 Share as image

Fair value as of: Aug 16, 2026

From 26 valuation models · updated 2 days ago

Fair value updated Aug 16, 2026, revised from ₹2,412 to ₹3,377 (+40.0%) since Aug 8, 2026. Share price +3.3% over the past month.

A solid business, currently priced close to our fair value.

What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • A fairly wide model range (₹2,319 to ₹4,206) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹5,652 ₹2,349 Fair Value ₹3,377 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 16, 2026.

How to read this chart

60‑month range ₹2,349 – ₹5,652 · fair‑value band ₹2,319 – ₹4,206 · the ₹3,529 price screens above the ₹3,377 fair value. Dashed = 300-day average. As of Aug 16, 2026.

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Analysis

L&T Technology Services Limited (LTTS) currently trades at ₹3,529, while our model-based Fair Value estimate is ₹3,377, implying the stock looks roughly 4.3% fairly valued today. The Quality Score stands at 66/100 (solid quality), in the Technology sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, L&T Technology Services Limited generated revenue of ₹110B at a net margin of 11.6%. Revenue declined 4.2% year over year. It earns a return on equity of 19.5%. The balance sheet holds a net cash position of ₹10.7B. Fundamentals as of Aug 16, 2026

Our scenario range runs from ₹2,319 (bear case) to ₹4,206 (bull case); at ₹3,529, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 24% below its 52-week high and 19% above its 52-week low, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at 0% fair-value upside, at -4%, LTTS screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income ₹817.21 ₹1,046 ₹3,858 76
Growth DCF ₹2,307 ₹4,365 ₹8,652 72
Gordon GGM ₹537.59 ₹1,174 ₹1,975 70
All 26 models by family
DCF Models
FCF DCF ₹2,431 ₹3,878 ₹8,501 38
Owner Earnings ₹2,414 ₹5,446 ₹12,097 31
5Y Revenue Exit ₹1,833 ₹3,151 ₹5,794 39
5Y EBITDA Exit ₹2,577 ₹4,716 ₹8,749 41
5Y P/E Exit ₹2,629 ₹5,576 ₹9,482 38
10Y Revenue Exit ₹1,942 ₹3,890 ₹5,678 36
10Y EBITDA Exit ₹2,548 ₹5,418 ₹10,909 37
10Y P/E Exit ₹2,586 ₹5,525 ₹10,825 35
Earnings-Based
Graham-Dodd ₹820.09 ₹5,719 ₹8,026 54
Lynch FV ₹1,881 ₹2,687 ₹3,493 50
PEG = 1.0 ₹1,881 ₹2,687 ₹3,493 46
EPV ₹1,235 ₹1,426 ₹1,595 59
Dividend Discount
Gordon GGM ₹537.59 ₹1,174 ₹1,975 70
DDM Multi-Stage ₹537.59 ₹961.41 ₹1,223 61
Multiples
P/E Multiple ₹2,533 ₹3,377 ₹4,221 63
P/S Multiple ₹1,538 ₹2,050 ₹2,563 58
P/B Multiple ₹1,538 ₹2,050 ₹2,563 55
EV/EBIT ₹2,854 ₹3,753 ₹4,652 53
EV/EBITDA ₹2,618 ₹3,439 ₹4,260 54
EV/Revenue ₹1,520 ₹2,104 ₹2,689 43
Asset-Based
NCAV (Graham) ₹305.12 ₹408.86 ₹610.24 50
Growth DCF
Growth DCF ₹2,307 ₹4,365 ₹8,652 72
Rev-Margin DCF ₹1,833 ₹3,513 ₹6,104 67
Economic Profit
Residual Income ₹817.21 ₹1,046 ₹3,858 76
ROIC Compounder ₹1,551 ₹2,271 ₹3,258 67
Growth Earnings
Growth-Adj P/E ₹2,834 ₹4,048 ₹5,263 68

Widest divergence: DCF Models (₹4,716) versus Asset-Based (₹408.86). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) ₹110B
Revenue growth (YoY) -4.2%
Net margin 11.6%
Return on equity 19.5%
Free cash flow ₹13.7B FY2026
P/E ratio 30.5
More key figures
Operating margin 15.2%
EPS (TTM) ₹115.81
Dividend yield 1.9%
EPS growth (YoY) +6.7%
Net cash ₹10.7B FY2026

Figures from reported company fundamentals · as of Aug 16, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 66/100

Of which business quality 65 · Market factors (momentum, volatility) 44

Profitability 61
Margins and returns on capital today
Quality Growth 26
Are margins and returns improving?
Cashflow 62
Earnings quality: real cash, not paper profit
Fin. Strength 89
Balance sheet, leverage, solvency risk
Investment 63
Disciplined investing over empire-building
Low Volatility 76
Calm price path (market factor)
Momentum 34
Price trend over the last 3–12 months (market factor)
52W Momentum 25
Distance to the 52-week high (market factor)
Net Issuance 81
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

L&T Technology Services Limited operates as an engineering research and development services company in India, North America, Europe, and other international markets. The company operates through three segments: Mobility, Sustainability, and Tech.

Full company description

L&T Technology Services Limited operates as an engineering research and development services company in India, North America, Europe, and other international markets. The company operates through three segments: Mobility, Sustainability, and Tech. It provides digital engineering and consulting services such as artificial intelligence, cybersecurity, industry 4.0 consulting, product consulting, sustainability engineering, 5G, and smart solutions. It provides engineering services which include computer-aided engineering, computational fluid dynamics, CAx automation, DevOps, engineering and manufacturing analytics, lab services, product testing and validation, VLSI design, voice solutions, user experience, sustenance and maintenance, embedded systems, and cloud and software engineering. In addition, the company offers manufacturing engineering services, including operations support, supply chain solutions, digital factory and simulation, manufacturing automation, new product development, PLM on cloud, plant design, materials management, and sourcing and procurement services. Further, it delivers plant engineering services such as CAPEX project services, plant management, operational support, regulatory compliance, and procurement solutions. L&T Technology Services Limited serves industries including automotive, aerospace, rail transportation, commercial, recreational and off-highway vehicles, industrial products, process manufacturing, hi-tech, medical technology, public infrastructure, smart cities, and software platforms. Additionally, the company has strategic collaboration with Thyssenkrupp Steering and ASSAI Software Services. The company was formerly known as L&T Integrated Engineering Services Limited and changed its name to L&T Technology Services Limited in September 2012. The company was incorporated in 2012 and is headquartered in Vadodara, India. L&T Technology Services Limited operates as a subsidiary of Larsen & Toubro Limited.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

L&T Technology Services Limited reported revenue of ₹110B in FY2026 versus ₹65.7B in FY2022, a compound +13.7%/yr. Reported net income was ₹12.8B in FY2026, compounding +7.5%/yr from FY2022.

Growth Quality 100/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2026)
₹110B
Latest YoY
+3.1%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+7.6%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+15.1%
Avg. growth/yr (12Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+45.1%
Revenue +13.7%/yr
FY22 ₹65.7B
FY23 ₹88.2B
FY24 ₹96.5B
FY25 ₹107B
FY26 ₹110B
Net income +7.5%/yr
FY22 ₹9.6B
FY23 ₹12.1B
FY24 ₹13.0B
FY25 ₹12.7B
FY26 ₹12.8B
Character of growth · EPS growth decomposed (2015-2026) +13.9 % p.a.
Revenue per share +14.5 pp

of which total revenue +15.0 pp · buybacks/dilution −0.4 pp

EBIT margin −1.3 pp
Tax rate −0.6 pp
Residual (interest, one-offs) +1.3 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "L&T Technology Services Limited Fair Value". https://www.fairvalue-calculator.com/stock/LTTS

Peer Group

Information Technology Services · 490 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 66 · Top 25%
Fair Value upside −4% · Below median
Return on equity (TTM) 20% · Top 25%
Return on assets 10% · Top 25%
Net margin (TTM) 12% · Top 25%
Operating margin (TTM) 15% · Top 25%
Revenue growth -4% · Bottom 25%
Dividend yield (TTM) 1.9% · Below median

Valuation Multiples vs Information Technology Services median · lower = cheaper

P/E (TTM) 30.5× · Pricier than median
P/B 5.19× · Pricier than 75% of peers
P/S (TTM) 3.06× · Pricier than 75% of peers
P/FCF 0.3× · Cheaper than 75% of peers
EV/EBITDA 18.2× · Pricier than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 28 · sector 33
FUTURE 0 · sector 30
PAST 78 · sector 35
HEALTH 0 · sector 97
DIVIDEND 38 · sector 40

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Information Technology Services stocks, each showing price versus our Fair Value estimate (as of Aug 16, 2026).

Stock Price Fair Value vs Fair Value
International Business Machines Corporation IBM $235.98 $175.76 -26%
Accenture plc ACNN 2,460 MXN 300.07 MXN -88%
Tata Consultancy Services Limited TCS ₹2,350 ₹3,473 +48%
Infosys Limited INFY ₹1,176 ₹1,998 +70%
HCL Technologies Limited HCLTECH ₹1,365 ₹1,722 +26%
Wipro Limited WIPRO ₹183.94 ₹314.26 +71%
Tech Mahindra Limited TECHM ₹1,625 ₹1,521 -6%
Samsung SDS Co 018260 235,500 KRW 235,321 KRW -0%
Persistent Systems Limited PERSISTENT ₹5,474 ₹3,259 -40%
Hyundai Autoever Corporation 307950 433,000 KRW 186,323 KRW -57%

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Frequently asked questions

Is L&T Technology Services Limited (LTTS) overvalued or undervalued?
As of Aug 16, 2026, our model estimates a fair value of ₹3,377 versus a price of ₹3,529, about −4% (fairly valued).
What is the fair value of LTTS?
Our model-based fair value for L&T Technology Services Limited is ₹3,377 (as of Aug 16, 2026), built from audited fundamentals. The current price is ₹3,529.
What is the quality score of LTTS?
L&T Technology Services Limited has a Quality Score of 66/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of L&T Technology Services Limited (LTTS)?
L&T Technology Services Limited reported trailing-twelve-month revenue of about ₹110B (latest available figure, as of Aug 16, 2026).
What is the net profit margin of LTTS?
The net profit margin of L&T Technology Services Limited is about 11.6%, meaning it keeps roughly 11.6% of revenue as net income. Based on the latest reported figures.
Does L&T Technology Services Limited pay a dividend?
L&T Technology Services Limited currently shows a dividend yield of about 1.90% relative to its recent price (as of Aug 16, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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