Ashok Leyland Intrinsic Value

ASHOKLEY • Automobiles
Current Stock Price
₹186.12
Primary Intrinsic Value
₹61.92
Market Cap
₹5472 Cr
+34.4% Upside
Median Value
₹250.14
Value Range
₹56 - ₹465
Assessment
Trading Below Calculated Value
Safety Margin
25.6%

ASHOKLEY Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹61.92 ₹49.54 - ₹74.30 -66.7% EPS: ₹5.16, Sector P/E: 12x
Book Value Method asset ₹465.30 ₹418.77 - ₹511.83 +150.0% Book Value/Share: ₹538.95, P/B: 1.0x
Revenue Multiple Method revenue ₹372.24 ₹335.02 - ₹409.46 +100.0% Revenue/Share: ₹1722.59, P/S: 0.8x
EBITDA Multiple Method earnings ₹372.24 ₹335.02 - ₹409.46 +100.0% EBITDA: ₹9944.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹74.45 ₹59.56 - ₹89.34 -60.0% CF Growth: 5.0%, Discount: 15%
PEG Ratio Method growth ₹55.84 ₹50.26 - ₹61.42 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹55.84 ₹50.26 - ₹61.42 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹372.24 ₹335.02 - ₹409.46 +100.0% ROE: 20.7%, P/E Multiple: 16x
Graham Defensive Method conservative ₹250.14 ₹225.13 - ₹275.15 +34.4% EPS: ₹5.16, BVPS: ₹538.95
Method Types: Earnings Asset DCF Growth Dividend Conservative

Want to compare with current market value? Check ASHOKLEY share price latest .

Valuation Comparison Chart

ASHOKLEY Intrinsic Value Analysis

What is the intrinsic value of ASHOKLEY?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Ashok Leyland (ASHOKLEY) is ₹250.14 (median value). With the current market price of ₹186.12, this represents a +34.4% variance from our estimated fair value.

The valuation range spans from ₹55.84 to ₹465.30, indicating ₹55.84 - ₹465.30.

Is ASHOKLEY undervalued or overvalued?

Based on our multi-method analysis, Ashok Leyland (ASHOKLEY) appears to be trading below calculated value by approximately 34.4%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 0.87 Industry Standard: 2.0+ Below 1.5 Measures short-term liquidity capacity
Debt to Equity Ratio 5.16 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 20.7% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 19.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 0.62x Industry Standard: 1.0x+ Above 0.5x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹129 Cr ₹-2,751 Cr Positive Operating Cash Flow 6/10
March 2024 ₹-6,258 Cr ₹-6,258 Cr Negative Cash Flow 3/10
March 2023 ₹-4,499 Cr ₹-5,951 Cr Negative Cash Flow 3/10
March 2022 ₹2,845 Cr ₹1,887 Cr Positive Free Cash Flow 8/10
March 2021 ₹-1,065 Cr ₹-1,552 Cr Negative Cash Flow 3/10