Ashok Leyland Ltd

ASHOKLEYCommercial Vehicles
180.27+0.00 (+0.00%)
As on 21 Jan 2026, 08:45 amMarket Closed

Fundamental Score

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Ashok Leyland Ltd Share Price Live NSE/BSE

No data
High
0.00
Low
0.00
Volume
0
Change
+0.00%

Profitability Metrics

Excellent

Return on Equity

28.82%
Poor

Return on Capital Employed

14.26%
Excellent

Operating Profit Margin (5Y)

15.08%
Good

Dividend Yield

1.95%

Valuation Metrics

Excellent

Price to Earnings

28.16x

Market Capitalization

94.14K (Cr)

Industry P/E

40.27x

Growth Metrics

Excellent

YoY Quarterly Profit Growth

23.63%
Poor

YoY Quarterly Sales Growth

12.82%
Excellent

Sales Growth (5Y)

17.20%
Excellent

EPS Growth (5Y)

54.19%
Excellent

Profit Growth (5Y)

54.20%

Financial Health

Poor

Debt to Equity

4.33x
Poor

Interest Coverage

2.14x
Poor

Free Cash Flow (5Y)

-13.52K (Cr)

Ownership Structure

Good

Promoter Holding

51.35%
Excellent

FII Holding

24.32%
Good

DII Holding

13.59%
Poor

Pledged Percentage

41.15%
Market-cap Classification
Large-cap
Established & liquid; typically steadier returns.
51.35%
Promoter Holding
94.14K (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

9 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.

Strong Operating Margins (15.08%)

Observation: Healthy 5-year operating margins indicate pricing power and cost control.

Analysis: OPM >15% suggests operational efficiency and competitive advantages. This indicates sustainable profitability potential.

Attractive Valuation (P/E: 28.16 vs Industry: 40.27)

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 (23.63%)

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 (17.20% 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: 37.91%)

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: 4.33)

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.

Financial Statements

Comprehensive financial data for Ashok Leyland Ltd

About ASHOKLEY

Business Overview

Ashok Leyland Limited, together with its subsidiaries, engages in the manufacture and sale of commercial vehicles in India and internationally. It offers buses; haulage and ICV trucks, as well as tractors and tippers; light commercial vehicles goods carriers and passenger, as well as small commercial vehicles goods carriers; and defense vehicles comprising logistics, high mobility, armored, and specialist vehicles. The company also provides power solutions, such as diesel generators, agriculture engines, industrial engines, and marine engines; spare parts; and vehicle and housing financing services. In addition, it trades in commercial vehicles; and offers manpower supply, air chartering, and IT services, as well as manufactures forgings and castings. Further, the company operates retail stores; and LeyKart, an e-commerce store for spare parts. The company was incorporated in 1948 and is headquartered in Chennai, India.

Company Details

Symbol:ASHOKLEY
Industry:Commercial Vehicles
Sector:Commercial Vehicles

Key Leadership

Mr. Dheeraj Gopichand Hinduja
Non-Independent Executive Chairman
Mr. Shenu Agarwal
CEO, MD & Director
Mr. K. M. Balaji
President of Finance & CFO

ASHOKLEY Stock Details & Analysis

Key Financial Metrics

Return on Equity (ROE)28.82%
Return on Capital Employed14.26%
Operating Profit Margin (5Y)15.08%
Debt to Equity Ratio4.33
Interest Coverage Ratio2.14

Growth & Valuation

Sales Growth (5Y)17.20%
Profit Growth (5Y)54.20%
EPS Growth (5Y)54.19%
YoY Quarterly Profit Growth23.63%
YoY Quarterly Sales Growth12.82%

Frequently Asked Questions

What is the current price of Ashok Leyland Ltd (ASHOKLEY)?

As of 21 Jan 2026, 08:45 am IST, Ashok Leyland Ltd (ASHOKLEY) is currently trading at ₹180.27. The stock has a market capitalization of ₹94.14K (Cr).

Is ASHOKLEY share price Overvalued or Undervalued?

ASHOKLEY is currently trading at a P/E ratio of 28.16x, compared to the industry average of 40.27x. Based on this relative valuation, the stock appears to be Undervalued against its sector peers.

What factors affect the Ashok Leyland Ltd share price?

Key factors influencing ASHOKLEY's price include its quarterly earnings growth (Sales Growth: 12.82%), raw material costs, government infrastructure spending, and institutional flows (FII/DII holding).

Is Ashok Leyland Ltd a good stock for long-term investment?

Ashok Leyland Ltd shows a 5-year Profit Growth of 54.20% and an ROE of 28.82%. Long-term investors should consider these fundamentals alongside the debt-to-equity ratio of 4.33 before investing.

How does Ashok Leyland Ltd compare with its industry peers?

Ashok Leyland Ltd competes with major peers in the Commercial Vehicles. Investors should compare ASHOKLEY's P/E of 28.16x and ROE of 28.82% against the industry averages to determine its competitive standing.

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

ASHOKLEY has a P/E ratio of 28.16x compared to the industry average of 40.27x. 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 ₹28 for every ₹1 of annual earnings.

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

ASHOKLEY has a Bull Run fundamental score of 39.3/100, which indicates concerns that require careful analysis. This comprehensive rating is based on 15+ financial parameters including profitability, growth metrics, and valuation ratios.

What sector and industry does ASHOKLEY belong to?

ASHOKLEY operates in the Commercial Vehicles industry. This classification helps understand the competitive landscape and sector-specific trends affecting Ashok Leyland Ltd.

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 Ltd generates profits from shareholders' equity.

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

ASHOKLEY has a debt-to-equity ratio of 4.33, which indicates high leverage that increases financial risk. A ratio below 1.0 generally indicates conservative financing.

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

ASHOKLEY offers a dividend yield of 1.95%, which means you receive ₹1.95 annual dividend for every ₹100 invested.

How has ASHOKLEY grown over the past 5 years?

ASHOKLEY has achieved 5-year growth rates of: Sales Growth 17.20%, Profit Growth 54.20%, and EPS Growth 54.19%.

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. High promoter holding often indicates strong management confidence.

What is ASHOKLEY's market capitalization category?

ASHOKLEY has a market capitalization of ₹94140 crores, placing it in the Large-cap category.

How volatile is ASHOKLEY stock?

ASHOKLEY has a beta of N/A. A beta > 1 suggests the stock is more volatile than the market, while a beta < 1 suggests it is less volatile.

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

ASHOKLEY has a 52-week high of ₹N/A and low of ₹N/A.

What is ASHOKLEY's operating profit margin trend?

ASHOKLEY has a 5-year average Operating Profit Margin (OPM) of 15.08%, indicating the company's operational efficiency.

How is ASHOKLEY's quarterly performance?

Recent quarterly performance shows YoY Sales Growth of 12.82% and YoY Profit Growth of 23.63%.

What is the institutional holding pattern in ASHOKLEY?

ASHOKLEY has FII holding of 24.32% and DII holding of 13.59%. Significant institutional holding often suggests professional confidence in the stock.