Ashok Leyland receives orders for vehicles from Government of Zimbabwe - Angel Broking

Ashok Leyland has bagged a contract from the Ministry of Tourism & Hospitality Industry, Government of Zimbabwe for supply of 670 vehicles. The order is being valued around US$50mn and is expected to be executed in FY2015. The company's export volumes have remained broadly flat in FY2014 due to weakness in major export markets like Sri Lanka, Bangladesh and Middle East.

We expect the exports performance to improve going ahead led by revival in demand in the key markets and also due to entering into newer countries. On the domestic front though, the demand outlook for commercial vehicle sales is expected to remain weak due to slowdown in economic activity. We maintain our Neutral rating on the stock.

Shares of ASHOK LEYLAND LTD. was last trading in BSE at Rs.23.3 as compared to the previous close of Rs. 23.5. The total number of shares traded during the day was 2243558 in over 4669 trades.

The stock hit an intraday high of Rs. 24.1 and intraday low of 23.05. The net turnover during the day was Rs. 52955637.

Source : Equity Bulls

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