L&T Share Price Fall 6.54% To ₹3,998.60 As Middle East Tensions Intensify Despite Major Order Wins

Larsen & Toubro Ltd (NSE: LT) share price declined 6.54% to ₹3,998.60 as of 12:34 pm IST on March 2, 2026, compared with the previous close of ₹4,278.30. The stock was down ₹279.70 in trade, reflecting broad-based selling pressure.

The decline came even as the company disclosed fresh “Major” EPC orders in India and overseas for power transmission infrastructure. Market sentiment, however, appeared to be weighed down by escalating geopolitical tensions in the Middle East following coordinated military strikes by the United States and Israel targeting Iran, which heightened fears of a wider regional conflict.

Why L&T Share Price Moved

According to Larsen & Toubro’s regulatory filing dated February 25, 2026, the company’s Power Transmission & Distribution (PT&D) vertical secured a batch of EPC orders classified as “Major,” indicating a contract value between ₹5,000 crore and ₹10,000 crore as per its internal classification matrix disclosed in the press release titled “L&T Wins Orders (Major) in India and Abroad for Power Transmission Infrastructure.”*

In India, the company won orders for the design, supply and construction of two 220 kV Gas Insulated Substations in the Durgapur–Raniganj–Asansol industrial belt in West Bengal, along with associated transmission line segments. Overseas, PT&D secured turnkey orders in the Middle East for five substations and over 250 km of transmission lines, including a 400 kV underground cable system in one project.

Despite the order inflow, investor focus shifted to macro risks. The intensification of geopolitical tensions in the Middle East, a key execution geography for L&T’s infrastructure business, triggered concerns around project timelines, cost inflation, and payment cycles.

L&T Share Price Snapshot

As of 12:34 pm IST, the stock traded near its low of ₹3,996.00, after opening at ₹4,061.00. The day’s high stood at ₹4,141.40 so far.

L&T’s 52-week high is ₹4,440.00, while the 52-week low is ₹2,965.30. The company’s market capitalisation stood at approximately ₹5.50 lakh crore at current levels, with a reported price-to-earnings ratio of 33.85.

What This Means For Investors

The fresh “Major” order wins reinforce L&T’s continued strength in transmission and grid modernisation projects, both domestically and in overseas markets. The scale of contracts potentially in the ₹5,000–₹10,000 crore range underlines sustained demand for power infrastructure amid rising grid investments.

That said, geopolitical volatility introduces near-term uncertainty. A significant portion of L&T’s international order book is linked to West Asia, making regional stability an important variable for execution visibility. Investors may therefore weigh strong order momentum against macro-driven risk factors.

Broader Market and Sectoral Context

Indian equity markets witnessed heightened volatility amid global risk-off sentiment linked to escalating Middle East tensions. Infrastructure and capital goods counters, particularly those with overseas exposure, saw pressure as crude oil price risks and supply chain disruptions came back into focus.

The development comes at a time when grid expansion and energy transition-linked transmission investments remain a structural theme. However, short-term capital flows appeared sensitive to geopolitical triggers rather than company-specific order announcements.

Conclusion

Larsen & Toubro shares corrected sharply in trade despite the announcement of substantial order wins in India and the Middle East. While the new contracts strengthen the company’s order book in the power transmission segment, broader geopolitical developments drove near-term sentiment.

Execution trends in overseas markets and stability in the Middle East are likely to remain closely watched as investors assess the balance between robust order inflow and macro-driven volatility.

Source:

• https://nsearchives.nseindia.com/corporate/PAM_25022026094304_PressRelease25022026.pdf
• https://www.nseindia.com/get-quote/equity/LT/Larsen-&-Toubro-Limited