Citi has maintained a ‘Buy’ rating on Ashok Leyland, raising its target price to ₹270 per share, implying a 23% upside potential from the current market price of ₹219.64.
The brokerage noted that the company’s Q3 performance exceeded expectations, driven by strong realisations and healthy margin expansion. Management attributed the improvement in EBITDA margins to a favorable product mix shift and cost reduction initiatives.
Citi remains optimistic about Ashok Leyland’s growth prospects, highlighting that Q4 industry volumes are expected to be higher YoY, while FY26 volume growth is projected to remain positive, supported by macro tailwinds.
With strong operational execution, cost efficiencies, and improving market dynamics, Citi sees continued upside potential for Ashok Leyland’s stock in the near term.
Disclaimer: The above article is for informational purposes only and does not constitute financial advice. Investors are advised to consult their financial advisors before making any investment decisions.
