Business
Ashok Leyland Shares Rally 40% In 6 Months, Hits Fresh High
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Ashok Leyland extended its rally for the fourth straight session on Friday, September 19, with shares climbing another 3%
Ashok Leyland Shares
Commercial vehicle maker Ashok Leyland extended its rally for the fourth straight session on Friday, September 19, with shares climbing another 3% to hit a fresh lifetime high of Rs 142.65 apiece. The stock has now gained 11% so far in September.
The latest surge comes after the company announced earlier this month that it will invest Rs 5,000 crore over the next decade to develop next-generation batteries for automotive and non-automotive applications, including energy storage systems.
The investment is part of Ashok Leyland’s larger ambition to play a key role in building India’s electrification ecosystem. To establish a localised battery supply chain, the company has partnered with China-based CALB Group, one of the world’s leading battery technology companies.
CALB, counted among China’s top five EV battery makers alongside CATL, BYD, Gotion High-Tech, and EVE Energy, has an operational capacity of over 90 GWh. Its client list includes automakers such as XPeng, Changan, Geely, and Guangzhou.
As part of the plan, Ashok Leyland will invest Rs 300–600 crore over the next 2–3 years to set up a lithium battery pack manufacturing facility and a Center of Excellence, aimed at driving innovation in battery materials, recycling, battery management systems, and advanced manufacturing processes.
Production of battery packs is expected to begin by the first half of CY27, initially for captive use. The company plans to later expand capacity to serve external demand from passenger vehicles, two-wheelers, three-wheelers, and non-auto sectors, with a focus on LFP cathode chemistry.
Adding to the optimism, analysts expect the recent GST rate cut on automobiles to support commercial vehicle demand by spurring consumption, boosting freight movement, and triggering replacement demand.
Ashok Leyland share price up 40% in 6 months
In the last six months, Ashok Leyland shares have surged from Rs 101 apiece to around Rs 141.20, delivering gains of 41%. The stock has closed five of the past six months in the green, with April posting the strongest monthly gain at 10.33%.
Brokerages remain bullish after the company posted record numbers in Q1FY25. Ashok Leyland reported its highest-ever Q1 revenue of Rs 8,725 crore, up 1.5% from Rs 8,598 crore a year earlier, along with record quarterly CV volumes of 44,238 units.
Net profit rose 13.4% year-on-year to Rs 594 crore, compared to Rs 525 crore in the same quarter last year, beating analyst expectations.
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More
September 19, 2025, 14:52 IST
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