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Ashok Leyland Limited (ASHOKLEY) AI Stock Analysis
Ashok Leyland Limited
(NSE:ASHOKLEY)
The score is primarily driven by improved profitability and margins, but it is meaningfully constrained by high leverage and consistently weak/negative free cash flow. Technically, the setup is also weak with bearish momentum, while valuation is only moderately supported by the dividend given the higher P/E.
Ashok Leyland Limited (ASHOKLEY) vs. iShares MSCI India ETF (INDA)
- Market Cap
- INR 931.53B
- Dividend Yield
- 2.41%
- Average Volume (3M)
- 993.90K
- Price to Earnings (P/E)
- 24.5
- Beta (1Y)
- 1.63
- Revenue Growth
- 16.50%
- EPS Growth
- 8.37%
- Country
- India
- Employees
- 9,891
- Sector
- General
- Sector Strength
- 55
- Industry
- Agricultural - Machinery
Ashok Leyland Limited Business Overview & Revenue Model
Company Description
Ashok Leyland Limited, encompassing its various subsidiaries, stands as a prominent manufacturer and global seller of commercial vehicles, with significant operations in India. The company's extensive product portfolio includes a diverse array of bus...
How the Company Makes Money
Ashok Leyland makes money primarily by selling commercial vehicles to customers such as fleet operators, transporters, government/state transport undertakings, and other institutional buyers. Its core revenue stream comes from vehicle sales (notably...
Ashok Leyland Limited Financial Statement Overview
Summary
Operating performance has improved meaningfully (multi-year revenue growth and stronger margins with net margin ~6% in 2025–2026), but the overall profile is held back by a highly leveraged balance sheet (debt ~4.5x equity in 2026) and weak/volatile cash generation (negative operating cash flow in most years and negative free cash flow in five of six periods).
Income Statement
78PositiveBalance Sheet
48NeutralCash Flow
22Negative| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 574.89B | 560.76B | 483.42B | 455.17B | 414.88B | 261.10B |
| Gross Profit | 228.90B | 222.20B | 185.60B | 161.71B | 125.53B | 84.23B |
| EBITDA | 116.02B | 109.97B | 96.13B | 80.16B | 52.59B | 25.35B |
| Net Income | 34.76B | 34.71B | 31.07B | 24.84B | 12.39B | -3.59B |
Balance Sheet | ||||||
| Total Assets | 0 | 1.01T | 817.15B | 676.60B | 547.46B | 436.01B |
| Cash, Cash Equivalents and Short-Term Investments | 170.06B | 170.79B | 118.61B | 68.62B | 61.47B | 44.78B |
| Total Debt | 0 | 639.36B | 499.62B | 408.02B | 311.61B | 241.45B |
| Total Liabilities | -185.46B | 824.95B | 658.70B | 558.46B | 439.50B | 350.11B |
| Stockholders Equity | 185.46B | 142.42B | 122.32B | 90.05B | 85.52B | 73.04B |
Cash Flow | ||||||
| Free Cash Flow | -64.68B | -78.40B | -15.20B | -73.92B | -54.28B | 23.36B |
| Operating Cash Flow | -51.48B | -48.95B | 1.28B | -62.58B | -44.99B | 28.45B |
| Investing Cash Flow | 4.33B | -70.16B | -57.58B | 11.35B | -29.35B | -19.17B |
| Financing Cash Flow | 28.77B | 116.17B | 69.58B | 84.32B | 72.81B | -3.78B |
Ashok Leyland Limited Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ASHOKLEY, the sentiment is Negative. The current price of 145.00 is below the 20-day moving average (MA) of 146.80, below the 50-day MA of 158.51, and below the 200-day MA of 167.37, indicating a bearish trend. The MACD of -3.80 indicates Negative momentum. The RSI at 39.09 is Neutral, neither overbought nor oversold. The STOCH value of 48.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:ASHOKLEY.
Ashok Leyland Limited Peers Comparison
Overall Rating
IN:ESCORTS69Neutral
IN:EIMCOELECO65.9Neutral
IN:VSTTILLERS59Neutral
IN:INDOFARM53.5Neutral- IN:ASHOKLEY53Neutral
IN:HMT41Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| IN:ESCORTS | 69Neutral | INR 283.48B | 20.50 | ― | 1.98% | 17.98% | -41.45% |
| IN:EIMCOELECO | 66Neutral | INR 12.32B | 29.25 | ― | 0.19% | 25.28% | 2.92% |
| IN:VSTTILLERS | 59Neutral | INR 33.31B | 30.55 | ― | 0.65% | 17.02% | -5.12% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| IN:INDOFARM | 54Neutral | INR 5.55B | 22.26 | ― | ― | 11.14% | -8.73% |
| IN:ASHOKLEY | 53Neutral | INR 851.71B | 24.46 | ― | 2.41% | 16.50% | 8.37% |
| IN:HMT | 41Neutral | INR 78.27B | -13.77 | ― | ― | 8.82% | 6.28% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| IN:ASHOKLEY | Ashok Leyland Limited | 145.00 | 8.47 | 6.21% | |
| IN:EIMCOELECO | Eimco Elecon (India) Ltd. | 2135.85 | 346.83 | 19.39% | |
| IN:ESCORTS | Escorts Kubota Limited | 2577.10 | -1207.04 | -31.90% | |
| IN:HMT | HMT Ltd. | 52.40 | -3.81 | -6.78% | |
| IN:VSTTILLERS | VST Tillers Tractors Limited | 3850.10 | -2203.53 | -36.40% | |
| IN:INDOFARM | Indo Farm Equipment Ltd. | 115.55 | -117.00 | -50.31% |
Ashok Leyland Limited Corporate Events
Ashok Leyland September Sales Jump on Strong Truck and LCV Demand
Ashok Leyland reported strong sales growth for September 2026, with domestic total vehicle volumes rising 29% year-on-year to 22,157 units and cumulative domestic sales up 24% to 105,877 units. The increase was driven mainly by a 44% jump in medium a...
Ashok Leyland to Meet Investors at Anand Rathi G-200 Summit 2026
Ashok Leyland has notified stock exchanges of its participation in the Anand Rathi Annual Flagship Conference G-200 Summit 2026, an investor-focused event scheduled for 21 September 2026 at Taj Santacruz in Mumbai. The company plans to hold multiple...
Ashok Leyland Schedules Investor Meetings at Asia Pacific Conference
Ashok Leyland has announced its participation in the Bank of America 2026 Asia Pacific Conference, scheduled for 22 September 2026 at the Island Shangri-La in Hong Kong. The company will hold physical meetings with various funds and investors during...
Hinduja Leyland Finance Secures Creditor Approval on Key Resolution
Ashok Leyland Limited has informed the stock exchanges that its material subsidiary, Hinduja Leyland Finance Limited, has submitted a scrutinizer’s report to BSE regarding a meeting of its unsecured creditors convened by the National Company La...
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Sep 13, 2026