l&t finance

NBFCs play a critical role in the nation’s economic development by providing a fillip to transportation, employment generation, infrastructure development, wealth creation, credit delivery even in the remotest corners of the country, and seamless funding for small businesses, start-ups and MSMEs.

They encourage micro entrepreneurship and imbue self-reliance by attending to various financial needs of the unbanked.

That is why the contribution of the NBFC sector to the overall credit in the Indian economy rose to 19% in FY19 from 12.8% in FY14.

L&T Finance

• There is no doubt that these difficult times have slowed us down, but they cannot diminish the sector’s importance in nation-building. The long-term prospects for highly rated and good quality NBFCs remains robust, and once things get back to normal, the segment will continue to catalyse India’s economic growth.

• Company has deployed AI-driven algorithm, which has resulted in better asset quality and repayments, and a considerable improvement in our turnaround time (TAT) to about 45 seconds in some cases.

• The GDP growth for FY20 plummeted to a 4.2%, as against the 6.1% in FY19. The only exception was the rural economy, which emerged as a winner, backed by favourable policy measures, healthy water-reservoir levels, and increased sowing of Rabi crops.

• Most NBFCs continued to face their own set of challenges: liquidity and solvency issues, rising borrowing costs and limited funding access. Therefore, lenders across all genres strongly preferred highrated NBFCs, such as L&T Finance, with sound fundamentals, strong parentage and high credit ratings. Despite the difficult conditions in the economy, your Company remained strong because of its robust business model.

• Company retained its leadership position amongst the principal financiers across its focused businesses in FY20.

• Apart from retaining the market share across businesses, the company also gained some in Two-Wheeler and Farm Equipment segments.

L&T Finance Business

• Rural Finance

• Farm Equipment Finance

• Two-Wheeler Finance

• Loan against Property (LAP)

• Micro Loans

• Housing Finance

• Consumer Loans

• Home Loans

• Infra Finance

• Infra Debt Fund

• Mutual Funds

Technical Analysis

Currently the stock is trading at 5 year low and is expected to give good return for long term investor.

Short term trader can buy this stock in dips for a target of 85.

Support = 59/52

Resistance = 72.70/85