Ashok Leyland Share price: Positive response to the new Bada Dost vehicle; macro indicators supportive for MHCVs
Ashok Leyland estimates revenue/volume/EBITDA CAGR (over FY20-23E) of 15%/10%/39%, driven by a sales up-cycle and margin expansion. Delay in volume recovery, increase in competitive intensity are the key downside risks, while implementation of scrappage policy is an upside risk.
The launch of the Phoenix platform is expected to increase the addressable market in LCV for Ashok Leyland from 35% to 65% in the medium term: Reuters