L&T turns volatile after order win

Larsen & Toubro was down 2.54% at Rs 1308.75 amid weak trading sentiment after the firm won a large order from THDC India.

L&T-MHPS Boilers (LMB), a joint venture company of Larsen & Toubro (L&T) and Mitsubishi Hitachi Power Systems (MHPS) of Japan, has secured a large order from THDC India, which is a joint venture of Government of India and Government of Uttar Pradesh. The scope of work for LMB includes design, engineering, manufacture, supply, erection and commissioning of steam generator and associated packages, including site levelling, for THDC's 2x660 MW Khurja super thermal power project in Bulandshahar district, Uttar Pradesh.

The order falls under "large" category which ranges between Rs 2500 crore and Rs 5000 crore as per its classification of contracts. The announcement was made during market hours today, 30 August 2019.

Following the announcement, the stock rose 1.05% at the day's high of Rs 1357 in early trade. However, selling in the broader market put pressure on the L&T stock in morning trade. The stock hit intraday low of Rs 1302.30 in early afternoon trade.

Shares of L&T have fallen 3.60% in three trading sessions to its current market price of Rs 1308.75, from a recent closing high of Rs 1,357.60 on 27 August 2019.

On BSE, 63,000 shares were traded in L&T counter, compared to a 2-week average of 1.84 lakh shares. It hit a 52-week high of Rs 1,606.70 on 28 May 2019 and a 52-week low of Rs 1,183.40 on 23 October 2018.

L&T is a technology, engineering, construction, manufacturing and financial services company.

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