Ashok Leyland shares rise after truck maker stages record Q3 show; what should investors do?
Ashok Leyland share price NSE: Ashok Leyland shares gained on Tuesday, February 6, after the truck and bus manufacturer reported a record set of quarterly results that easily exceeded Street estimates.
Ashok Leyland share price NSE, Ashok Leyland Q3 results 2024, Ashok Leyland share price target: Ashok Leyland remained on investor's radar on Tuesday after the commercial vehicle maker staged a record financial performance for the October-December period that beat Street estimates on all parameters. The stock of the Chennai-headquartered automaker—which manufactures a range of commercial vehicles such as buses and trucks—gained more than four per cent to Rs 187 and Rs 186.9 apiece on NSE and BSE, respectively, continuing to rise for the third session in a row. The counter closed 0.14 per cent or Rs 0.25 lower at Rs 179.5 on NSE
Ashok Leyland Q3 results
After market hours on Monday, the auto maker reported a 61 per cent year-on-year jump in net profit to Rs 580 crore for the December quarter, driven by robust sales.
Its revenue from operations rose to Rs 9,273 crore for the quarter under review from Rs 9,030 crore a year ago, according to a regulatory filing.
According to Zee Business research, Ashok Leyland's quarterly net profit was estimated at Rs 525 crore and revenue at Rs 9,160 crore.
"The steady progress we are making in sales volume and profitability is backed by products that deliver superior performance and customer value coupled with robust customer engagement across segments," said Dheeraj Hinduja, Executive Chairman, Ashok Leyland.
The present favourable market conditions are expected to hold in the foreseeable future, he added. Read more on Ashok Leyland results
Ashok Leyland shares: Should you buy, sell or hold?
Morgan Stanley maintained an 'overweight' rating on Ashok Leyland after the earnings announcement, with a target of Rs 223 which translates into an upside of 28.1 per cent from the previous close.
Jefferies kept a 'buy' call on the stock with a target price of Rs 210.
Macquarie retained a 'neutral' call on the counter with a target price of Rs 184.
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