Ashok Leyland Share price: Target price revised to Rs 137; Positive read from Tata Motors strong CV performance II DAM Capital maintains outperform rating
Tata Motors CV business witnessed strong 8% EBITDA margin (up 280bps yoy/480bps qoq) during Q3 FY21, despite volumes still lower by 4% yoy (up 61% qoq). The performance was primarily driven by sharp reduction in discounts under BS-VI regime, supported by aggressive cost-reduction initiatives (refer our report, All-round strong performance and outlook).
Tata Motors strong CV performance, supported by a positive outlook, presents a robust read across for Ashok Leyland. DAM Capital reiterate their positive view on Ashok Leyland as a pure play on the CV uptrend: Reuters