Rating- BUY - All clear to improved industry profitability
时间:2024-06-25 14:29:52 阅读(143)
Ashok Leyland (AL) reported a robust performance in Q2, with a significant increase in Ebitda and recurring PAT by 29-32% q-o-q (2-3x y-o-y), aligning with Jefferies expectations. Volumes witnessed a notable growth of 10% y-o-y (+21% q-o-q), although ASP declined by 2% q-o-q. The Ebitda margin saw a substantial expansion of 120bp q-o-q, reaching 11.2%, primarily driven by operating leverage. The Ebitda/vehicle also reached an all-time high, rising by 9% q-o-q. The net debt showed a considerable reduction of 22% q-o-q to Rs 11bn, despite being higher compared to net cash at the end of FY23. Ashok Leyland anticipates an improvement in industry profitability in 2H, attributed to increased demand and a more favourable commodities environment.
Established in 1948, Ashok Leyland is the second-largest commercial vehicle manufacturer in India, boasting around 30% market share in medium and heavy commercial vehicles (MHCVs). The company has a diversified presence in buses, light commercial vehicles (LCVs), defence, and exports, and operates as part of the Hinduja Group. The price target of Rs 220 is derived from a 5.5x FY25 book value. Key risks to this outlook include a potential downturn in Indian truck demand.
猜你喜欢
- MRF, Bajaj Auto, Britannia, HeroMotoCorp, HUL among 156 stocks to hit 52-week highs today; 14 touch 52-week lows
- SBI raises Rs 10,000 crore via unsecured long-term infra bonds
- Sebi allows mutual funds to float passively managed equity-linked savings schemes
- Adani Enterprises stock jumps 2% after disclosure on US SEC probe; dividend record date nears, AGM next month
- Sebi bars Essel Group’s Subhash Chandra, ZEEL CEO Punit Goenka from holding key roles over funds misappropriation
- Adani Enterprises, HDFC, Britannia Industries, Titan, Coal India, Ashok Leyland stocks in focus on F&O expiry
- Nifty forms bearish candle on daily scale, may slide to 18000 below 18350; buy these two stocks for gains
- MRF, ITC, Dr Reddy’s among 82 NSE stocks to hit 52-week highs; 7 touch 52-week lows
- Sebi notifies insider trading norms for mutual funds