SBC Slashes Ashok Leyland's Target Price Amid Market Volatility

HSBC has reduced its target price for Ashok Leyland Ltd (ASOK NS) to 250 rupees from 275 rupees, reflecting ongoing market uncertainties. This adjustment comes as the commercial vehicle sector faces challenges, with domestic truck sales dropping nearly 10% in the first half of FY2025. The downgrade follows CLSA's recent price target cut to 188 rupees, citing concerns over a potential down cycle in the commercial vehicle space. Despite these headwinds, Ashok Leyland's shares have shown resilience, with a 19.26% gain over the past year. Investors are advised to monitor the company's performance closely as it navigates through this period of market volatility.

 

Source: Economic Times