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Last Updated on: 14 April, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 500477 | NSE: ASHOKLEY

Fundamental Analysis of Ashok Leyland Ltd

Basic Stock Data of Ashok Leyland Ltd

Last Updated: April 8, 2024, 4:08 pm

Market Cap 52,164 Cr.
Current Price 178
High / Low192/136
Stock P/E22.2
Book Value 30.2
Dividend Yield2.80 %
ROCE11.4 %
ROE15.0 %
Face Value 1.00

Data Source: screener.in

Competitors of Ashok Leyland Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Tata Motors Ltd 3,68,540 Cr. 1,0071,066/45018.4 1610.20 %5.95 %5.62 % 2.00
SML ISUZU Ltd 2,934 Cr. 2,0282,480/86935.6 1590.00 %9.39 %11.7 % 10.0
Olectra Greentech Ltd 14,988 Cr. 1,8262,222/620166 1060.02 %13.3 %8.11 % 4.00
Atul Auto Ltd 1,408 Cr. 508693/325238 1450.00 %4.43 %0.94 % 5.00
Industry Average96,967.50 Cr1,342.25114.50142.750.06%8.27%6.59%5.25

Ashok Leyland Ltd Quarterly Results

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales5,9548,1424,0885,5626,6609,9278,4709,60010,40013,2039,69111,42911,093
Expenses5,2077,1293,7524,9876,0028,7337,7018,5809,05511,2458,1839,5599,131
Operating Profit7471,0133365766581,1947701,0201,3441,9581,5091,8701,961
OPM %13%12%8%10%10%12%9%11%13%15%16%16%18%
Other Income01631425-34-233532369753-146
Interest468457462479465463467499545582655715783
Depreciation213245211207214234212209220259227227241
Profit before tax66473-324-84-56264963446151,214679927984
Tax %42%20%22%1%-92%40%77%46%43%34%14%39%38%
Net Profit38377-252-84-10815822186351803584569609
EPS in Rs0.051.20-0.93-0.35-0.410.480.020.561.092.561.851.791.91

Last Updated: April 11, 2024, 7:37 am

Ashok Leyland Ltd Quarterly Chart

Ashok Leyland Ltd Profit & Loss

Last Updated: April 2, 2024, 3:20 am

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales11,85915,70821,26022,87129,63633,19721,95119,45426,56542,29245,416
Expenses11,43714,19118,28119,82625,38728,28718,71816,99223,80037,19938,117
Operating Profit4221,5172,9793,0454,2484,9103,2332,4622,7655,0937,298
OPM %4%10%14%13%14%15%15%13%10%12%16%
Other Income613-106-32140619013957207-230169194
Interest8058729251,0491,2271,5021,8021,9011,8692,0942,735
Depreciation530580524573646676750836866900953
Profit before tax-300-421,2091,8292,5652,872739-67-2002,2693,804
Tax %23%-415%41%11%29%24%38%-4%-43%40%
Net Profit-222-2057121,6331,8142,195460-70-2851,3622,565
EPS in Rs-0.620.472.405.586.017.081.15-0.56-1.224.238.11
Dividend Payout %0%96%40%28%40%44%44%-107%-82%62%

Ashok Leyland Ltd Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)7.66%447.32%129.35%11.08%21.00%-79.04%-115.22%-307.14%577.89%
Change in YoY Net Profit Growth (%)0.00%439.66%-317.96%-118.27%9.92%-100.05%-36.17%-191.93%885.04%

Ashok Leyland Ltd Growth

Compounded Sales Growth
10 Years:%
5 Years:7%
3 Years:24%
TTM:18%
Compounded Profit Growth
10 Years:%
5 Years:-7%
3 Years:50%
TTM:218%
Stock Price CAGR
10 Years:22%
5 Years:13%
3 Years:13%
1 Year:28%
Return on Equity
10 Years:%
5 Years:9%
3 Years:5%
Last Year:15%

Ashok Leyland Ltd Balance Sheet

Last Updated: April 2, 2024, 3:20 am

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital266285285285293294294294294294294
Reserves3,7234,2274,9796,1087,1288,4527,4957,5687,0108,2608,584
Borrowings8,5009,07011,05413,16815,79119,16822,41724,07724,14531,16134,392
Other Liabilities5,0356,0115,8067,04810,17111,2127,92410,11912,12514,96514,841
Total Liabilities17,52419,59222,12326,60933,38339,12638,13042,05843,57454,67958,110
Fixed Assets7,5736,5295,8906,5916,5966,6958,0318,4847,8958,1298,148
CWIP29721687244439678574336240268251
Investments1,1651,4991,0311,9334,3831,4929601,0962,6524,8523,170
Other Assets8,49111,34815,11517,84121,96530,26128,56532,14332,78741,43046,541
Total Assets17,52419,59222,12326,60933,38339,12638,13042,05843,57454,67958,110

Ashok Leyland Ltd Reserves and Borrowings Chart

Ashok Leyland Ltd Cash Flow

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity -10495-1,2752701,462-3,745383-1,0652,845-4,499
Cash from Investing Activity -378-124456-1,676-3,1631,897-1,201-973-1,917-2,904
Cash from Financing Activity 4617811,6607381,9052,3981,2391,331-3787,281
Net Cash Flow-20752841-668205549421-707550-122

Ashok Leyland Ltd Free Cash Flow

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow414.00-8.00-9.00-10.00-11.00-15.00-19.00-22.00-22.00-26.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Ashok Leyland Ltd Free Cash Flow Chart

Ashok Leyland Ltd Financial Efficiency Indicators

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days43312520143025574536
Inventory Days69585073425242765344
Days Payable116108718596889016215096
Cash Conversion Cycle-5-1958-39-6-22-30-53-16
Working Capital Days-6-22-5-5-3110161136865
ROCE %8%17%15%17%16%9%5%6%11%

Ashok Leyland Ltd Financial Efficiency Indicators Chart

Ashok Leyland Ltd Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters51.54%51.54%51.54%51.54%51.54%51.54%51.54%51.53%51.53%51.53%51.53%51.53%
FIIs18.08%17.04%16.33%15.05%13.45%15.03%17.59%15.29%14.85%16.59%20.21%20.48%
DIIs16.72%18.15%19.55%20.65%21.94%21.73%19.50%21.16%22.15%20.79%16.51%14.66%
Government0.08%0.08%0.08%0.08%0.08%0.08%0.07%0.07%0.07%0.07%0.07%0.07%
Public13.58%13.20%12.50%12.68%12.99%11.62%11.29%11.94%11.40%11.02%11.66%13.25%
No. of Shareholders10,05,18010,19,24810,36,77311,60,87312,42,00811,20,96410,96,22011,30,37211,18,10710,99,98212,06,48213,39,744

Ashok Leyland Ltd Shareholding Pattern Chart

No. of Ashok Leyland Ltd Shareholders

Ashok Leyland Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)
Canara Robeco Emerging Equities218024002.12399.31
SBI Balanced Advantage Fund182475001.32334.2
Kotak Equity Opportunities Fund - Regular Plan165000001.83302.2
Nippon India Growth Fund125000001.07228.94
Mirae Asset Large Cap Fund118605000.6217.23
Kotak Flexicap Fund - Regular Plan115000000.51210.62
SBI Large & Midcap Fund110000001.17201.47
SBI Contra Fund104410721.01191.23
Franklin India Focused Equity Fund98000001.82179.49
UTI Mid Cap Fund85111021.66155.88

Ashok Leyland Ltd ROCE Trend

Ashok Leyland Ltd EPS Trend

Ashok Leyland Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)4.23-1.22-0.561.157.08
Diluted EPS (Rs.)4.22-1.22-0.561.157.08
Cash EPS (Rs.)7.671.952.614.119.74
Book Value[Excl.RevalReserv]/Share (Rs.)36.7829.2631.1030.3033.45
Book Value[Incl.RevalReserv]/Share (Rs.)36.7829.2631.1030.3033.45
Revenue From Operations / Share (Rs.)141.9389.3866.2774.78113.09
PBDIT / Share (Rs.)17.729.728.8411.3817.16
PBIT / Share (Rs.)14.666.775.998.8314.86
PBT / Share (Rs.)7.69-0.70-0.222.519.74
Net Profit / Share (Rs.)4.60-0.99-0.231.567.44
NP After MI And SOA / Share (Rs.)4.23-1.22-0.561.157.08
PBDIT Margin (%)12.4810.8713.3315.2215.17
PBIT Margin (%)10.327.569.0311.8013.14
PBT Margin (%)5.41-0.78-0.343.358.61
Net Profit Margin (%)3.24-1.11-0.352.086.57
NP After MI And SOA Margin (%)2.97-1.36-0.841.536.26
Return on Networth / Equity (%)14.50-4.90-2.104.3223.76
Return on Capital Employeed (%)13.337.946.8011.1018.32
Return On Assets (%)2.26-0.82-0.390.885.31
Long Term Debt / Equity (X)2.282.091.981.711.49
Total Debt / Equity (X)3.613.282.312.071.73
Asset Turnover Ratio (%)1.090.690.540.621.12
Current Ratio (X)1.080.990.981.031.08
Quick Ratio (X)0.920.860.820.930.87
Inventory Turnover Ratio (X)10.256.966.044.838.53
Dividend Payout Ratio (NP) (%)23.65-49.110.00378.9241.36
Dividend Payout Ratio (CP) (%)13.7134.710.00117.3931.21
Earning Retention Ratio (%)76.35149.110.00-278.9258.64
Cash Earning Retention Ratio (%)86.2965.290.00-17.3968.79
Interest Coverage Ratio (X)2.491.531.361.853.35
Interest Coverage Ratio (Post Tax) (X)1.621.020.921.282.45
Enterprise Value (Cr.)71834.3657544.9250957.3627660.5041246.30
EV / Net Operating Revenue (X)1.722.192.621.261.24
EV / EBITDA (X)13.8020.1819.658.288.19
MarketCap / Net Operating Revenue (X)0.981.311.710.570.80
Retention Ratios (%)76.34149.110.00-278.9258.63
Price / BV (X)4.784.714.241.623.06
Price / Net Operating Revenue (X)0.981.311.710.570.80
EarningsYield0.03-0.010.000.020.07

Ashok Leyland Ltd Profitability Ratios (%)

Ashok Leyland Ltd Liquidity Ratios

Ashok Leyland Ltd Liquidity Ratios (%)

Ashok Leyland Ltd Interest Coverage Ratios (%)

Ashok Leyland Ltd Valuation Ratios

Fair Value of Ashok Leyland Ltd Stock

Fair Value: 103.38

The stock is overvalued by 41.92% compared to the current price ₹178

Calculation basis:

  • Fair value = (P/E Ratio * (Return on Equity / 100) * Book Value) * (1 + Dividend Yield / 100)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

*Investments are subject to market risks

Strength and Weakness of Ashok Leyland Ltd Stock

StrengthWeakness
  1. The stock has a low average Working Capital Days of 20.30, which is a positive sign.
  2. The stock has a low average Cash Conversion Cycle of -17.70, which is a positive sign.
  3. The company has shown consistent growth in sales (25.82 cr) and profit (12.82 cr) over the years.
  1. The stock has a low average ROCE of 10.40%, which may not be favorable.
  2. The company has higher borrowings (19,358.45) compared to reserves (6,684.91), which may suggest financial risk.

Should I Buy Ashok Leyland Ltd Share Now?

  • Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Ashok Leyland Ltd:
    1. Net Profit Margin: 3.24%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: 13.33% (Industry Average ROCE: 8.27%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. ROE%: 14.50% (Industry Average ROE: 6.59%)
      • ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
    4. Interest Coverage Ratio (Post Tax): 1.62
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    5. Quick Ratio: 0.92
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    6. ✓ Stock P/E: 22.2 (Industry average Stock P/E: 116.48)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    7. Total Debt / Equity: 3.61
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
    Stock Rating: ★★★︎☆☆

About the Company - Ashok Leyland Ltd

Ashok Leyland Ltd. is a Public Limited Listed company incorporated on 07/09/1948 and has its registered office in the State of Tamil Nadu, India. Company’s Corporate Identification Number(CIN) is L34101TN1948PLC000105 and registration number is 000105. Currently Company is involved in the business activities of Manufacture of commercial vehicles such as vans, lorries, over-the-road tractors for semi-trailers etc.. Company’s Total Operating Revenue is Rs. 21688.29 Cr. and Equity Capital is Rs. 293.55 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Auto - LCVs/HCVsNo.1, Sardar Patel Road, Guindy, Chennai (Madras) Tamil Nadu 600032secretarial@ashokleyland.com
http://www.ashokleyland.com
Management
NamePosition Held
Mr. Dheeraj G HindujaExecutive Chairman
Mr. Gopal MahadevanWholeTime Director & CFO
Mr. Shom Ashok HindujaDirector
Dr. Andreas H BiagoschDirector
Mr. Jean BrunolDirector
Mr. Sanjay K AsherDirector
Mr. Manisha GirotraDirector
Mr. Shenu AgarwalManaging Director & CEO
Mr. Jose Maria AlapontDirector
Mr. Saugata GuptaDirector
Dr. C Bhaktavatsala RaoDirector

Ashok Leyland Ltd. Share Price Update

Share PriceValue
Today₹178.35
Previous Day₹178.40

FAQ

What is the latest fair value of Ashok Leyland Ltd?

The latest fair value of Ashok Leyland Ltd is 103.38.

What is the Market Cap of Ashok Leyland Ltd?

The Market Cap of Ashok Leyland Ltd is 52,164 Cr..

What is the current Stock Price of Ashok Leyland Ltd as on 13 April 2024?

The current stock price of Ashok Leyland Ltd as on 13 April 2024 is 178.

What is the High / Low of Ashok Leyland Ltd stocks in FY 2024?

In FY 2024, the High / Low of Ashok Leyland Ltd stocks is ₹192/136.

What is the Stock P/E of Ashok Leyland Ltd?

The Stock P/E of Ashok Leyland Ltd is 22.2.

What is the Book Value of Ashok Leyland Ltd?

The Book Value of Ashok Leyland Ltd is 30.2.

What is the Dividend Yield of Ashok Leyland Ltd?

The Dividend Yield of Ashok Leyland Ltd is 2.80 %.

What is the ROCE of Ashok Leyland Ltd?

The ROCE of Ashok Leyland Ltd is 11.4 %.

What is the ROE of Ashok Leyland Ltd?

The ROE of Ashok Leyland Ltd is 15.0 %.

What is the Face Value of Ashok Leyland Ltd?

The Face Value of Ashok Leyland Ltd is 1.00.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Ashok Leyland Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE