ScoreWhy is Ashok Leyland Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at 3.41 times
- High Debt Company with a Debt to Equity ratio (avg) at 3.41 times
2
Healthy long term growth as Net Sales has grown by an annual rate of 26.85% and Operating profit at 46.89%
3
The company has declared Positive results for the last 4 consecutive quarters
- DEBTORS TURNOVER RATIO(HY) Highest at 14.90 times
- NET SALES(Q) At Rs 14,830.24 cr has Grown at 23.63%
- PBT LESS OI(Q) At Rs 1,344.34 cr has Grown at 26.24%
4
With ROCE of 15.3, it has a Fair valuation with a 2.5 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 62.76%, its profits have risen by 31.6% ; the PEG ratio of the company is 0.9
5
40.93% of Promoter Shares are Pledged
- In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices
6
Market Beating performance in long term as well as near term
- Along with generating 62.76% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Ashok Leyland should be less than 10%
- Overall Portfolio exposure to Automobiles should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Ashok Leyland for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Ashok Leyland
62.76%
2.11
29.69%
Sensex
-2.38%
-0.19
12.70%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
26.85%
EBIT Growth (5y)
46.89%
EBIT to Interest (avg)
1.83
Debt to EBITDA (avg)
6.78
Net Debt to Equity (avg)
3.57
Sales to Capital Employed (avg)
0.86
Tax Ratio
25.85%
Dividend Payout Ratio
59.07%
Pledged Shares
40.93%
Institutional Holding
38.21%
ROCE (avg)
11.78%
ROE (avg)
16.25%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
27
Industry P/E
29
Price to Book Value
7.88
EV to EBIT
15.56
EV to EBITDA
13.83
EV to Capital Employed
2.50
EV to Sales
2.68
PEG Ratio
0.86
Dividend Yield
1.85%
ROCE (Latest)
15.28%
ROE (Latest)
26.79%
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TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Bullish
OBV
No Trend
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
DEBTORS TURNOVER RATIO(HY)
Highest at 14.90 times
NET SALES(Q)
At Rs 14,830.24 cr has Grown at 23.63%
PBT LESS OI(Q)
At Rs 1,344.34 cr has Grown at 26.24%
PAT(Q)
At Rs 1,047.21 cr has Grown at 37.8%
-1What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Ashok Leyland
Debtors Turnover Ratio- Half Yearly
Highest at 14.90 times and Grown
each half year in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio
Net Sales - Quarterly
Highest at Rs 14,830.24 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 14,830.24 cr has Grown at 23.63%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 1,344.34 cr has Grown at 26.24%
Year on Year (YoY)MOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 1,047.21 cr has Grown at 37.8%
Year on Year (YoY)MOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Here's what is not working for Ashok Leyland
Non Operating Income - Quarterly
Highest at Rs 180.41 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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