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Ashok Leyland Limited

ASHOKLEYAgricultural, Commercial & Construction Vehicles

Fundamental Score

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Ashok Leyland Limited Share Price & Market Analysis

Current Market Price (CMP)
137.42
No change data available
Market Cap
83.52K (Cr)
Industry
Agricultural, Commercial & Construction Vehicles

Profitability Metrics

Excellent

Return on Equity

28.82%
Poor

Return on Capital Employed

14.26%
Poor

Operating Profit Margin (5Y)

9.63%
Good

Dividend Yield

2.20%

Valuation Metrics

Good

Price to Earnings

26.15x

Market Capitalization

83.52K (Cr)

Industry P/E

34.13x

Growth Metrics

Excellent

YoY Quarterly Profit Growth

20.67%
Poor

YoY Quarterly Sales Growth

9.18%
Excellent

Sales Growth (5Y)

14.04%
Excellent

EPS Growth (5Y)

54.19%
Excellent

Profit Growth (5Y)

54.20%

Financial Health

Poor

Debt to Equity

4.08x
Poor

Interest Coverage

2.14x
Poor

Free Cash Flow (5Y)

-13.52K (Cr)

Ownership Structure

Good

Promoter Holding

51.35%
Excellent

FII Holding

24.02%
Good

DII Holding

13.61%
Poor

Pledged Percentage

41.15%
Market-cap Classification
Large-cap
Established & liquid; typically steadier returns.
51.35%
Promoter Holding
83.52K (Cr)
Market Cap

Labels (e.g., "Excellent", "Good") are peer-based vs industry/sector averages — data-only, not advice

Market Data Analysis & Educational Insights

Educational evaluation of ASHOKLEY across key market metrics for learning purposes.

Positive Indicators

8 factors identified

Strong Return on Equity (28.82%)

Observation: Efficient use of shareholders' capital generating superior returns.

Analysis: ROE >15% indicates strong profitability and effective management. This metric suggests the company can generate substantial returns on invested capital.

Attractive Valuation (P/E: 26.15 vs Industry: 34.13)

Observation: Trading at discount to industry peers.

Analysis: P/E below industry average may present value opportunity if fundamentals support the business case.

Robust Profit Growth (20.67%)

Observation: Strong year-over-year profit expansion demonstrates business momentum.

Analysis: Profit growth >20% indicates effective execution and market opportunity capture. This suggests positive business trajectory.

Consistent Growth Track Record (14.04% CAGR)

Observation: Strong 5-year sales compound annual growth rate.

Analysis: Consistent sales CAGR >12% demonstrates sustainable growth model and market opportunity execution over time.

Excellent EPS Growth (54.19% CAGR)

Observation: Outstanding 5-year earnings per share compound growth.

Analysis: EPS CAGR >15% indicates strong wealth creation potential and effective capital allocation over extended periods.

Strong Profit Growth Track Record (54.20% CAGR)

Observation: Consistent 5-year profit compound annual growth rate.

Analysis: Profit CAGR >15% demonstrates scalable business model and effective operational leverage over time.

Balanced Promoter Holding (51.35%)

Observation: Optimal balance between promoter control and public float.

Analysis: Promoter holding in 50-75% range provides management alignment while ensuring adequate liquidity.

Strong Institutional Confidence (FII+DII: 37.63%)

Observation: Significant professional investor participation indicates quality recognition.

Analysis: High institutional holding often signals thorough due diligence and quality business fundamentals.

Risk Factors

6 factors identified

Elevated Debt Levels (D/E: 4.08)

Observation: High leverage increases financial risk and interest burden.

Analysis: High debt-to-equity ratios require monitoring of debt servicing capability and cash flow generation.

Weak Interest Coverage (2.14x)

Observation: Limited ability to service debt obligations from earnings.

Analysis: Low interest coverage raises concerns about financial stability. Monitor cash flow and debt reduction plans.

Negative Free Cash Flow (₹-13517.25 Cr over 5Y)

Observation: Cash outflows exceed inflows, indicating capital intensity or working capital issues.

Analysis: Negative FCF requires analysis of capital expenditure cycle and working capital management efficiency.

High Share Pledging Risk (41.15%)

Observation: Significant promoter share pledging creates potential overhang.

Analysis: High pledging levels may create selling pressure during market downturns or margin calls.

High Debt-to-Equity Ratio

Observation: Elevated financial risk due to high leverage.

Analysis: High debt levels may strain cash flows and increase financial risk during economic downturns.

Very High Debt Levels

Observation: Excessive leverage may strain cash flows.

Analysis: Debt-to-equity above 2.0 indicates potential financial distress risk.

📊 Educational Market Overview

Disclaimer: The ratings and scores are generated algorithmically from publicly available market data and are provided for educational and informational purposes only. They do not constitute investment advice, recommendation, or solicitation to buy/sell any securities.

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Financial Statements

Comprehensive financial data for Ashok Leyland Limited

About ASHOKLEY

Company Details

Symbol:ASHOKLEY
Industry:Agricultural, Commercial & Construction Vehicles
Sector:Commercial Vehicles

Market Information

Market Cap:83.52K (Cr)
P/E Ratio:26.15
Beta:N/A

Performance

52W High:N/A
52W Low:N/A
Dividend Yield:2.20%

ASHOKLEY Stock Details & Analysis

Key Financial Metrics

Return on Equity (ROE)28.82%
Return on Capital Employed14.26%
Operating Profit Margin (5Y)9.63%
Debt to Equity Ratio4.08
Interest Coverage Ratio2.14

Growth & Valuation

Sales Growth (5Y)14.04%
Profit Growth (5Y)54.20%
EPS Growth (5Y)54.19%
YoY Quarterly Profit Growth20.67%
YoY Quarterly Sales Growth9.18%

Frequently Asked Questions

What is the current price of ASHOKLEY?

ASHOKLEY is currently trading at ₹137.42 with a gain of 0.00% today. The current market price (CMP) represents the last traded price of ASHOKLEY shares on the stock exchange. This price fluctuates throughout trading hours based on supply and demand. You can track real-time price movements, percentage changes, and trading volume in the header section.

What is the P/E ratio of ASHOKLEY and what does it mean?

ASHOKLEY has a P/E ratio of 26.15x compared to the industry average of 34.13x. The Price-to-Earnings (P/E) ratio is calculated by dividing the current share price by earnings per share (EPS). This means investors are paying ₹26 for every ₹1 of annual earnings. This is lower than the industry average, which might indicate undervaluation or slower growth expectations.

How is ASHOKLEY performing according to Bull Run's analysis?

ASHOKLEY has a Bull Run fundamental score of 59.7/100, which indicates moderate strength with some areas for improvement. This comprehensive rating is based on 15+ financial parameters including profitability (ROE: 28.82%), growth metrics, valuation ratios, and financial health indicators. The score updates quarterly with new financial data and helps you quickly assess overall investment quality.

What sector and industry does ASHOKLEY belong to?

ASHOKLEY operates in the Agricultural, Commercial & Construction Vehicles industry. This sector classification helps understand the broader economic trends, regulatory framework, and competitive landscape affecting Ashok Leyland Limited. Companies in this industry typically face similar market dynamics, cyclical patterns, and macroeconomic factors. Understanding the industry context is crucial for peer comparison and assessing how sector-specific trends might impact the stock's performance.

What is Return on Equity (ROE) and why is it important for ASHOKLEY?

ASHOKLEY has an ROE of 28.82%, which indicates excellent management efficiency and profitable operations. Return on Equity measures how efficiently Ashok Leyland Limited generates profits from shareholders' equity. An ROE of 29% means the company generates ₹29 profit for every ₹100 of shareholders' equity. This metric is crucial for assessing management's ability to create value for shareholders.

How is ASHOKLEY's debt-to-equity ratio and what does it indicate?

ASHOKLEY has a debt-to-equity ratio of 4.08, which indicates high leverage that increases financial risk. This means the company has ₹408 of debt for every ₹100 of equity. Higher leverage can amplify returns during good times but increases bankruptcy risk during downturns.

What is ASHOKLEY's dividend yield and is it a good dividend stock?

ASHOKLEY offers a dividend yield of 2.20%, which means you receive ₹2.20 annual dividend for every ₹100 invested. This provides moderate dividend income along with potential capital appreciation. Dividend yield is calculated as annual dividend per share ÷ current share price × 100. Evaluate dividend consistency over 5+ years and free cash flow coverage for sustainability.

How has ASHOKLEY grown over the past 5 years?

ASHOKLEY has achieved 5-year growth rates of: Sales Growth 14.04%, Profit Growth 54.20%, and EPS Growth 54.19%. These growth metrics show the company's ability to expand its business and improve profitability over time. Sales growth indicates market expansion, profit growth shows operational efficiency, and EPS growth directly impacts share price appreciation potential.

What is the promoter holding in ASHOKLEY and why does it matter?

Promoters hold 51.35% of ASHOKLEY shares, with 41.15% of promoter shares pledged. This high promoter holding indicates strong management confidence and alignment with shareholders. Low pledging indicates financial stability of promoters. Recent change in promoter holding: 0.00%.

How does ASHOKLEY compare with its industry peers?

ASHOKLEY trades at P/E 26.15x vs industry average 34.13x, with ROE of 28.82% and ROCE of 14.26%. The stock appears undervalued relative to peers based on P/E ratio. Peer comparison helps identify whether ASHOKLEY is outperforming its competitive set in profitability, growth, and valuation metrics.

What is ASHOKLEY's market capitalization and what category does it fall into?

ASHOKLEY has a market capitalization of ₹83521 crores, making it a Large-cap stock. Large-cap stocks offer stability and liquidity but typically slower growth. Market cap is calculated as current share price × total outstanding shares, representing the company's total market value.

What are the key financial ratios to consider for ASHOKLEY?

Key ratios for ASHOKLEY: ROE 28.82% (Excellent), ROCE 14.26%, P/E 26.15x, Debt-to-Equity 4.08, Interest Coverage 2.14x. These ratios help assess profitability (ROE, ROCE), valuation (P/E), financial health (D/E, Interest Coverage), and overall investment quality. Compare these with industry medians and historical trends for meaningful analysis.

How volatile is ASHOKLEY stock and what is its beta?

ASHOKLEY has a beta of N/A, which means it is less volatile than the market and offers defensive characteristics. Beta measures price volatility relative to the Nifty 50. Lower beta stocks provide stability during uncertain market conditions. Consider beta alongside your risk tolerance and portfolio diversification strategy.

What is the 52-week high and low for ASHOKLEY?

ASHOKLEY has a 52-week high of ₹N/A and low of ₹N/A. Currently trading at ₹137.42, the stock is within its annual trading range. Trading near highs indicates strong momentum but limited upside potential.

What are the key risks associated with investing in ASHOKLEY?

Key risks for ASHOKLEY include: Market volatility (Beta: N/A), financial leverage (Debt-to-Equity: 4.08), and operational challenges. The stock has a Fundamental Score of 59.7/100, indicating moderate risk requiring careful monitoring. Sector-specific risks in Agricultural, Commercial & Construction Vehicles include regulatory changes, economic cycles, and competitive pressures. Consider your risk tolerance, investment horizon, and portfolio diversification before investing. Past performance doesn't guarantee future results.

What is ASHOKLEY's operating profit margin and how has it trended?

ASHOKLEY has a 5-year average Operating Profit Margin (OPM) of 9.63%, which suggests room for improvement in operational efficiency. Operating Profit Margin shows operational efficiency by measuring operating profit as a percentage of revenue. Monitor margin trends to assess management's ability to control costs and improve efficiency. Compare with industry peers to understand relative performance.

How is ASHOKLEY's quarterly performance in terms of sales and profit growth?

ASHOKLEY's recent quarterly performance shows YoY Sales Growth of 9.18% and YoY Profit Growth of 20.67%. Growth rates indicate the current business trajectory and market demand. Sales growth shows market demand while profit growth reveals operational efficiency and margin management.

What is the FII and DII holding pattern in ASHOKLEY?

ASHOKLEY has FII holding of 24.02% and DII holding of 13.61%, totaling 37.63% institutional ownership. This institutional participation level shows the confidence of professional money managers. Significant FII holding suggests global investor confidence and potential for index inclusion. Monitor quarterly changes in institutional holdings for investment flow trends and sentiment.