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Ashok Leyland extends Tuesday's rally

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Capital Market
Last Updated : Sep 10 2014 | 1:02 PM IST

Ashok Leyland rose 1.97% to Rs 41.50 at 12:44 IST on BSE, with the stock extending Tuesday's rally triggered by the company securing orders for 4,000 buses worth Rs 1500 crore from state transport undertakings.

Meanwhile, the BSE Sensex was down 135.22 points or 0.5% at 27,130.10.

On BSE, so far 20.21 lakh shares were traded in the counter as against average daily volume of 20.75 lakh shares in the past one quarter.

The stock was volatile. The stock rose as much as 2.82% at the day's high of Rs 41.85 so far during the day, which is a record high for the counter. The stock lost as much as 2.34% at the day's low of Rs 39.75 so far during the day. The stock had hit a 52-week low of Rs 13.05 on 10 September 2013.

The stock had outperformed the market over the past one month till 9 September 2014, surging 20.06% compared with the Sensex's 7.64% rise. The scrip had also outperformed the market in past one quarter, advancing 19.01% as against Sensex's 6.59% rise.

The large-cap company has equity capital of Rs 284.59 crore. Face value per share is Re 1.

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Shares of Ashok Leyland have rallied 7.51% in two trading sessions from Rs 38.60 on 8 September 2014, after the company during market hours on Tuesday, 9 September 2014, said it has received orders for 4,000 buses worth Rs 1500 crore from state transport undertakings (STUs). The stock had surged 5.44% to settle at Rs 40.70 on Tuesday, 9 September 2014.

Ashok Leyland said it has received orders for around 4000 buses from STUs. A total of 22 STUs across the country including Calcutta State Transport Corporation (CSTC), Bangalore Metropolitan Transport Corporation (BMTC), Andhra Pradesh State Road Transport Corporation (APSRTC), Jaipur City Transport Services (JCTSL), and Pune Mahanagar Parivahan Mahamandal (PMPML) have placed large orders on the company.

The supply of these buses has started and many of them are already carrying passengers, Ashok Leyland said in a statement.

Ashok Leyland reported a net loss of Rs 47.95 crore in Q1 June 2014, lower than net loss of Rs 141.75 crore in Q1 June 2013. Net sales rose 5.2% to Rs 2434.62 crore in Q1 June 2014 over Q1 June 2013.

Ashok Leyland, the flagship of the Hinduja Group, is the second largest maker of commercial vehicles in India after Tata Motors.

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First Published: Sep 10 2014 | 12:44 PM IST

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