ICICI Securities has maintained a hold rating on Lloyds Metals and Energy with a target price of ₹1740 in its research report dated May 06, 2026. According to the brokerage's analysis, the current valuations fully factor in the iron ore business, with further upside dependent on the upcoming steel mill and Thriveni ramp-up.
*Lloyds Metals & Energy'*s Q4FY26 EBITDA came in line with expectations at ₹25.4 billion, representing an 874% year-on-year growth and 45% quarter-on-quarter increase. As reported by ICICI Securities, this performance was driven by record iron ore sales and improved Thriveni performance. The company successfully commenced commercial production at its 12kt copper cathode plant in March 2026.
With the iron ore business providing a steady cash stream, LMEL is aggressively expanding into steel, copper and MDO operations. According to ICICI Securities, this diversified strategy promises sustained growth with minimal balance sheet stress. The company's expansion into multiple metals and minerals operations positions it for long-term growth across multiple commodity segments.
ICICI Securities' sum-of-the-parts (SoTP) based target price of ₹1,740 applies a 7.5x FY28E EV/EBITDA to the ferrous business and 10.0x to the Thriveni and copper business segments. The brokerage downgraded the stock to hold rating based on current market valuations, suggesting that while the company shows strong operational performance, the stock price already reflects positive fundamentals.
