Ashok Leyland Share Price: Scrappage policy announced! MULTIBAGGER stock in the making? Is it a share to buy?

Ashok Leyland Share Price: After announcement of Scrappage Policy by Union Minister Nitian Gadkari, commercial vehicle segment stocks have become highly volatile. The Union Minister announced a 5 per cent incentive for new vehicle buyers, Dalal Street experts are expecting a few more announcements in regard to the Scrappage Policy because the final draft is still in the making. However, if we go by the stock market experts' views, commercial vehicle sector stocks like Ashok Leyland, Tata Motors are expected to benefit from this policy. But, when asked about which stock will be able to maximise the investments, they said that Ashok Leyland share price is low and will appreciate at a faster rate than any other stocks in the auto sector.

Speaking on the Ashok Leyland share price outlook in the long-term perspective Avinash Gorakahkar, Head of Research at Profitmart Securities said, "Ashok Leyland share price today is at around Rs 110 and it's better placed than any other stock. Its debts are low and its business outlook looks sound. Ashok Leyland stock is expected to emerge as the biggest beneficiary of the scrappage policy if we include this with the market turnaround that is expected to last for near one and half to two years."

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Sumeet Bagadia, Executive Director at Choice Broking said, "Ashok Leyland has immediate support at just under Rs 110. Investors can buy Ashok Leyland stocks at around Rs 110 for the target of Rs 135 to Rs 150 in the short-term time horizon."

However, for the long-term time horizon, Avinash Gorakshkar said that Ashok Leyland is expected to go up to Rs 220 and that means one can buy the counter for almost 100 per cent gains. Gorakshkar said that Ashok Leyland is one of the Multibagger Stocks in 2021.