Engineering and construction behemoth, Larsen and Toubro continues to reel under selling pressure. On Monday, the stock was down by 6.5 per cent, touching a 52-week low of Rs 721.65. It has lost a whopping 70 per cent in the last month alone.
At Rs 729, the stock trades at a price to estimated earnings of 17 times and 14 times for FY09 and FY10 respectively.
CLSA has an 'underperformer' rating on the stock with a target price of Rs 1,000, stating that the company is facing challenging times of credit crunch and likely slowdown in growth of order inflows.
the best blog to describe indian market and equity
