L&T Shares Surge Amid US-Iran Deal Hopes, Driven by Strategic Exposure to West Asia Growth
Larsen & Tatrob (L&T) saw significant gains on Friday, rising among the top stock gainers on the Nifty indices. The company's shares rose nearly 4 percent, buoyed by market optimism regarding a potential resolution to the ongoing conflict between the US and Iran. This bullish sentiment was fueled by statements made by President Donald Trump concerning negotiations.The stock witnessed strong buying interest throughout the day. At its peak, L&T reached an intraday high of Rs 4,009.80 on the NSE. However, some profit-booking activity near lunchtime slightly tempered these gains, with the stock trading at Rs 3,931.50 per share (up 1.8 percent) around 11:30 am.
Market Reaction to US-Iran Diplomacy
The positive momentum for L&T was closely tied to comments made by President Donald Trump. The President stated that a deal intended to end the war with Iran was nearing finalization and could be signed during a weekend event in Europe. This statement followed an announcement where Trump had called off military strikes on Iran.Trump previously threatened to take control of Iran's oil industry. Addressing reporters from the Oval Office, he confirmed that Vice President J D Vance was expected to attend the proposed signing ceremony. Furthermore, while speaking at a tele-rally in support of Georgia Lieutenant Governor Burt Jones, Trump stated unequivocally that the US had ended the war with Iran.
L&T's Strategic Focus on West Asia Market
L&T holds significant exposure to the West Asia region. This market is identified as a crucial area for the company across multiple sectors, including energy, infrastructure, renewables, and technology development. The firm has previously highlighted the immense growth potential within this geographical zone.In its December quarter results presentation, L&T noted that the GCC region represents a major focus area for its Projects business. The company cited anticipated strong growth in these markets, driven by substantial investments. These investments include large-scale urban projects, data centres, and AI infrastructure across Saudi Arabia and the UAE.
Global Order Inflow Highlights for L&T
Financial performance metrics show robust international project opportunities for the corporation. International orders stood at Rs 1,91,084 crore during the nine months that ended December 31, 2025. This figure accounts for 55 per cent of the total order inflow recorded by L&T.For the December quarter alone, international orders reached Rs 66,848 crore. These orders contributed 49 per cent to the company's total order inflow during that period. Furthermore, international revenues were reported at Rs 38,775 crore, which constituted 54 per cent of L&T’s overall revenues.
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