Ashok Leyland Share Price Hits Record High, Gains 40% in Six Months

Ashok Leyland’s stock has been on a remarkable run. On Friday, September 19, the commercial vehicle maker’s shares surged another 3%, touching a new lifetime high of ₹142.65 apiece. This marks the fourth straight session of gains and pushes the company's September rally to an impressive 11% so far.

For investors tracking its journey, the stock has delivered a 41% gain in just six months, rising from ₹101 per share to the current trading level of around ₹141.20.

What's Driving Ashok Leyland's Rally

The momentum in Ashok Leyland shares is not just about market sentiment. It is backed by the company’s strategic shift towards next-generation technology and electrification.

• Earlier this month, the company announced a ₹5,000 crore investment over the next ten years.
  
  
• The investment is focused on developing next-gen batteries for both automotive and non-automotive applications, including energy storage systems.
  
  

This move positions Ashok Leyland as a serious contender in India’s electrification ecosystem.

A Key Partnership with CALB Group

To accelerate its battery plans, Ashok Leyland has partnered with CALB Group, one of China’s top battery technology companies.

• CALB is among the top five EV battery manufacturers in China.
  
  
• The company has an operational capacity of over 90 GWh.
  
  
• Its client list includes leading automakers like XPeng, Changan, Geely, and Guangzhou.
  
  

This partnership aims to localise India’s battery supply chain, giving Ashok Leyland a strong foundation in EV-focused growth.

Upcoming Investments in Battery Manufacturing

Ashok Leyland has lined up significant capital for the near term as well.

• The company plans to invest ₹3,000–6,000 crore over the next 2–3 years.
  
  
• This investment will establish a lithium battery pack manufacturing facility.
  
  
• It will also set up a Center of Excellence dedicated to battery materials, recycling, battery management systems, and advanced manufacturing processes.
  
  

Market Tailwinds Supporting Growth

Beyond company-specific moves, sector-wide factors are also working in Ashok Leyland’s favor. Optimism is building around a possible GST rate cut on automobiles, which could especially boost commercial vehicles.

Industry watchers expect that such a reduction could:

• Unleash replacement demand.
  
  
• Drive consumption across the economy.
  
  
• Increase freight traffic, which will ultimately lift demand for commercial vehicles.
  
  

Strong Financial Performance Adds to Confidence

Ashok Leyland’s operational strength is reflected in its financials as well. The June quarter (Q1FY25) results were record-breaking for the company.

• Revenue: ₹8,725 crore (up 1.5% from ₹8,598 crore in Q1FY25).
  
  
• CV Volumes: 44,238 units, the highest ever in a Q1.
  
  
• Net Profit: ₹594 crore, up 13% year-on-year.
  
  
• EBITDA Margins: Expanded to 11%.
  
  

The numbers underline the company’s ability to scale even in a competitive environment.

Six-Month Stock Journey

The six-month chart tells a clear story:

• April was the best month, delivering a 10.33% gain.
  
  
• In this period, the stock closed in the green for five out of six months.
  
  
• The overall rally has added 41% to investor wealth.
  

Summary

Ashok Leyland’s share price rally is not just about short-term momentum. It reflects:

• Strong six-month performance (41% gain).
  
  
• Record Q1 results in both revenue and volumes.
  
  
• Long-term commitment of ₹5,000 crore to electrification.
  
  
• Strategic partnership with CALB to localise India’s EV battery ecosystem.
  
  

The stock hitting a lifetime high of ₹142.65 underscores the growing confidence around Ashok Leyland’s future direction—both in traditional commercial vehicles and in the transition towards electric mobility.