NSEI:ASHOKLEY

Stock Analysis Report

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Market Cap

₹347.7b

Last Updated

2021/06/23 12:18 UTC

Data Sources

Company Financials

Executive Summary

Ashok Leyland Limited, together with its subsidiaries, manufactures and sells commercial vehicles in India and internationally. More Details


Snowflake Analysis

Worrying balance sheet not a dividend payer.


Similar Companies

Share Price & News

How has Ashok Leyland's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ASHOKLEY is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: ASHOKLEY's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

-5.4%

ASHOKLEY

-1.5%

IN Machinery

-0.7%

IN Market


1 Year Return

119.9%

ASHOKLEY

77.5%

IN Machinery

58.5%

IN Market

Return vs Industry: ASHOKLEY exceeded the Indian Machinery industry which returned 77.5% over the past year.

Return vs Market: ASHOKLEY exceeded the Indian Market which returned 58.5% over the past year.


Shareholder returns

ASHOKLEYIndustryMarket
7 Day-5.4%-1.5%-0.7%
30 Day-4.7%3.3%5.4%
90 Day8.5%11.3%13.2%
1 Year119.9%119.9%79.9%77.5%60.9%58.5%
3 Year-1.6%-7.9%28.5%23.0%42.8%35.8%
5 Year31.8%20.3%73.7%62.8%96.2%81.4%

Long-Term Price Volatility Vs. Market

How volatile is Ashok Leyland's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Ashok Leyland undervalued compared to its fair value and its price relative to the market?

4.79x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: ASHOKLEY (₹118.45) is trading above our estimate of fair value (₹40.22)

Significantly Below Fair Value: ASHOKLEY is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ASHOKLEY is unprofitable, so we can't compare its PE Ratio to the Indian Machinery industry average.

PE vs Market: ASHOKLEY is unprofitable, so we can't compare its PE Ratio to the Indian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ASHOKLEY's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ASHOKLEY is overvalued based on its PB Ratio (4.8x) compared to the IN Machinery industry average (1.8x).


Future Growth

How is Ashok Leyland forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

18.1%

Forecasted Capital Goods industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Ashok Leyland has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Ashok Leyland performed over the past 5 years?

-32.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ASHOKLEY is currently unprofitable.

Growing Profit Margin: ASHOKLEY is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: ASHOKLEY is unprofitable, and losses have increased over the past 5 years at a rate of 32.6% per year.

Accelerating Growth: Unable to compare ASHOKLEY's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ASHOKLEY is unprofitable, making it difficult to compare its past year earnings growth to the Machinery industry (10.4%).


Return on Equity

High ROE: ASHOKLEY has a negative Return on Equity (-4.62%), as it is currently unprofitable.


Financial Health

How is Ashok Leyland's financial position?


Financial Position Analysis

Short Term Liabilities: ASHOKLEY's short term assets (₹146.2B) do not cover its short term liabilities (₹149.4B).

Long Term Liabilities: ASHOKLEY's short term assets (₹146.2B) exceed its long term liabilities (₹142.5B).


Debt to Equity History and Analysis

Debt Level: ASHOKLEY's debt to equity ratio (289.2%) is considered high.

Reducing Debt: ASHOKLEY's debt to equity ratio has increased from 197.5% to 289.2% over the past 5 years.

Debt Coverage: ASHOKLEY's debt is not well covered by operating cash flow (6.4%).

Interest Coverage: ASHOKLEY is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Dividend

What is Ashok Leyland current dividend yield, its reliability and sustainability?

0.42%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ASHOKLEY's dividend (0.42%) is higher than the bottom 25% of dividend payers in the Indian market (0.37%).

High Dividend: ASHOKLEY's dividend (0.42%) is low compared to the top 25% of dividend payers in the Indian market (1.55%).


Stability and Growth of Payments

Stable Dividend: ASHOKLEY's dividend payments have been volatile in the past 10 years.

Growing Dividend: ASHOKLEY's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: Unable to calculate sustainability of dividends as ASHOKLEY has not reported any payouts.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.6yrs

Average management tenure


CEO

Vipin Sondhi

1.5yrs

Tenure

₹52,070,972

Compensation

Mr. Vipin Sondhi serves as the Chief Executive Officer and Managing Director of JCB India Limited. Mr. Sondhi serves as the Chairman of the Board of Excon. He serves as a Director of JCB India Limited. Mr....


CEO Compensation Analysis

Compensation vs Market: Vipin's total compensation ($USD701.79K) is about average for companies of similar size in the Indian market ($USD618.95K).

Compensation vs Earnings: Insufficient data to compare Vipin's compensation with company performance.


Leadership Team

Experienced Management: ASHOKLEY's management team is considered experienced (4.6 years average tenure).


Board Members

Experienced Board: ASHOKLEY's board of directors are considered experienced (6.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Ashok Leyland Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ashok Leyland Limited
  • Ticker: ASHOKLEY
  • Exchange: NSEI
  • Founded: 1948
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: ₹347.713b
  • Shares outstanding: 2.94b
  • Website: https://www.ashokleyland.com

Number of Employees


Location

  • Ashok Leyland Limited
  • No.1, Sardar Patel Road
  • Guindy
  • Chennai
  • Tamil Nadu
  • 600032
  • India

Listings


Biography

Ashok Leyland Limited, together with its subsidiaries, manufactures and sells commercial vehicles in India and internationally. The company offers city, inter-city, school and college, staff, tourist, stag...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/23 12:18
End of Day Share Price2021/06/23 00:00
Earnings2020/12/31
Annual Earnings2020/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.