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Ashok Leyland Ltd
NSE: ASHOKLEY BSE: 500477
₹166.18
(5.12%)
Sun, 09 Aug 2026, 05:56 am
Market Cap (in Cr)97564.73
PE Ratio28.11
Dividend2.11
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Ashok Leyland Analysis
dividend
Pros
- Dividends per share have increased over the past 10 years.
- Dividends paid are covered by earnings (1.1x coverage).
- Ashok Leyland's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.76%).
Cons
- Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
- Ashok Leyland's dividend is below the markets top 25% of dividend payers in India (3.08%).
health
Pros
- Ashok Leyland is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Ashok Leyland is profitable, therefore cash runway is not a concern.
- Ashok Leyland is profitable, therefore cash runway is not a concern.
- Ashok Leyland's cash and other short term assets cover its long term commitments.
Cons
- Operating cash flow is negative therefore debt is not well covered.
- Debt is not covered by short term assets, assets are 0.9x debt.
- The level of debt compared to net worth has increased over the past 5 years (184.9% vs 195.2% today).
- Interest payments on debt are not well covered by earnings (EBIT is 2.1x annual interest expense, ideally 3x coverage).
- Ashok Leyland's level of debt (195.2%) compared to net worth is high (greater than 40%).
- High level of physical assets or inventory.
management
Pros
- The tenure for the Ashok Leyland board of directors is about average.
- The tenure for the Ashok Leyland management team is about average.
Cons
misc
Pros
Cons
- Ashok Leyland is not covered by any analysts.
- Ashok Leyland has significant price volatility in the past 3 months.
past
Pros
- Ashok Leyland has delivered over 20% year on year earnings growth in the past 5 years.
Cons
- Ashok Leyland's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Ashok Leyland used its assets less efficiently than the IN Machinery industry average last year based on Return on Assets.
- Ashok Leyland's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
- Ashok Leyland has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Ashok Leyland's 1-year earnings growth is negative, it can't be compared to the IN Machinery industry average.
value
Pros
- NSEI:ASHOKLEY is up 7.8% along with the Machinery industry (8.3%) over the past month.
- NSEI:ASHOKLEY is up 7.8% along with the India market (8%) over the past month.
Cons
- Ashok Leyland's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
- Ashok Leyland's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
- Ashok Leyland is overvalued based on assets compared to the IN Machinery industry average.
- Ashok Leyland is overvalued based on earnings compared to the IN Machinery industry average.
- Ashok Leyland is overvalued based on earnings compared to the India market.
- ASHOKLEY underperformed the Machinery industry which returned -23.7% over the past year.
- ASHOKLEY underperformed the Market in India which returned -14.5% over the past year.