The better-than-expected realizations helped Ashok Leyland comfortably beat revenue and profit estimates. The Ashok Leyland Ltd stock gained 3.64% on BSE on Thursday, after the company surprised the Street by reporting a strong performance for the June quarter (Q1). “Key export markets were down in Q1 but are expected to bounce back in Q2 and beyond,” Vinod K. Dasari, managing director, Ashok Leyland, said in a statement. The strong show fuelled gains in the stock whose valuation, at 19 times earnings estimates for the current fiscal year, is not cheap. Contrarily, Ebitda (earnings before interest, taxes, depreciation and amortization) margins expanded 1.1 percentage points to 11.2%.

Source: Mint July 21, 2016 21:11 UTC