Ashok Leyland Ltd. share price target

Ashok Leyland Ltd (ALL) is the flagship company of the Hinduja Group, and one of the largest commercial vehicle manufacturers in India. ALL is engaged in the manufacturing of commercial vehicles and related components. ALL's products include buses, trucks, engines, defense and special vehicles. Ashok Leyland offers a range of products fro..

Ashok Leyland Ltd. (ASHLEY) reported ~57.5% YoY jump in net sales in 3QFY18 to INR 71132 mn due to 41.2%/44.6% growth in M&HCV; and SCV volume. EBITDA has grown by 101.9% to INR 7882 mn, while EBITDAM improved by 244 bps despite increase in RM cost. PAT for the quarter stood at INR 4497 mn (Up 178% YoY). We expect ASHLEY to register M&HCV; Volume/Revenue/PAT growth of 10.6%/ 18%/19.8%. At CMP of INR 127, the stock is trading at EV/EBITDA of 11.5x. We have valued standalone business at 12x FY19 EBITDA and...

Ashok Leyland (AL) is the second largest commercial vehicle (CV) manufacturer in India. It has a strong presence in the M&HCV; (Heavy Commercial Vehicle) segment with a market share of ~34.0% as on FY17. Q3FY18 revenue grew by 20%YoY largely led by 42%YoY volume growth from M&HCV; & 45%YoY LCV segment. PAT grew by 80%YoY. EBITDA margin expanded 80bps due to cost control initiatives. We believe AL to witness numerous tailwinds like Government's road & infra spending, strategy of defense & electric vehicles....

Q3 EBITDA beat our/consensus estimates by 10% due to better-than-expected realization and operating leverage benefits. EBITDA margin came in at 11.1% (+100 bps YoY & QoQ), which is commendable given high discounting in the industry.

Ashok Leyland (AL) reported 3QFY17 results, which were above our and consensus expectations in all the parameters. Net Revenue were above our and consensus estimates due to better product mix, higher realization in export market and recent prices hikes (Nov17/Jan18). Volumes increased during the quarter due to Prebuying (implementation of blowers), increasing restrictions on overloading, fresh tenders in the car carrier and petroleum sectors as well as coal and cement movement triggered by key infrastructure projects. Demand was supported by from FMCG companies and mining activities from eastern states. Net Revenue grew by +58% yoy to Rs71.1bn, above our and consensus estimates...

ICICI Securities Ltd | Retail Equity Research Ashok Leyland's Q3FY18 results came in line with our estimates. Revenues came in at | 7113 crore, up 60,5% YoY, 17.6% QoQ, marginally below our estimate of | 7137 crore Total volumes rose 42% YoY, 14% QoQ to 46653 units with M&HCV; units growing 41% YoY to 35727 units and LCV volumes growing 45% to 10926 units. ASP of ~15.3 lakh was in line with our estimate EBITDA margins were at 11.1% (up 83 bps YoY, 97 bps QoQ) vs. our...

Ashok Leyland (ALL) reported strong Q3FY18 numbers. Sales grew 60.5% YoY to Rs71.1bn, led by volume growth of 42% YoY and average selling price increase of 11%YoY. EBITDA margins expanded by ~ 100bpsYoY to 13.1% mainly driven by price hikes, operating leverage benefits and turnaround of LCV business, offsetting impact ofhigher raw material prices and elevated discounting.

the operating level, other income fell qoq, while depreciation expenses grew 13% yoy. Due to reduction in tax sops in Pantnagar with application of CGST, the tax rate moved up to 31.7%. Net profits surged by 80% yoy on adjusted basis at 4.5 bn....

Ashok Leyland's (AL) Q2 FY18 margin at 10.1% was better than estimated. However, adjusted for lower benefits from tax free Pantnagar plant, EBITDA margin would have been 10.7%.

Ashok Leyland's Q2FY18 results were below our estimates. Revenues came in at | 6047 crore, up 30.8% YoY, 42.7% QoQ below our estimate of | 6112 crore. Total volumes increased 23% YoY, 44% QoQ to 40967 units. The revenue miss was on account of lower than estimated ASPs (fell 1% QoQ against our expectation of 5% rise) EBITDA margins came in at 10.1% (down 149 bps YoY, up 290 QoQ) against our estimate of 10.5%. The miss on margins is attributable to 1) heavy discounting (no price hike in Q2FY18), 2) Q2FY17 had a...