Landing Profits With Ashok Leyland: Spectacular Returns Of 1,51,400%

Published by Trinkerr Academy on

If you had invested ₹1 lakh in Ashok Leyland in November 2000, you could have had ₹15.15 crores in profits today! This multibagger gave its investors 1,51,400% returns in 20 years. Here’s a quick look at the company.

🚜 Stock Name: Ashok Leyland Ltd.

⭐ About The Company
Ashok Leyland was founded on September 7, 1948, and is headquartered in Chennai. A flagship company of the Hinduja Group, Ashok Leyland is one of the market leaders in the automobile industry. The company is the brainchild of Raghunandan Saran, and it was formerly known as Ashok Motors before its change in 1955. It is an integrated company that provides commercial vehicles as well as power solutions and vehicular components.

📊 Market Leader
A leading manufacturer and supplier of commercial Vehicles, Ashok Leyland has established itself in the Indian automobile market with a market share of more than 32%. It has factories in strategic locations like Maharashtra and Hosur. Its clients include companies in the construction and agricultural sector. Internationally, the company exports 4000 units a year to key SAARC countries like Sri Lanka, Bangladesh and Nepal and multiple countries in the Middle East. The company assembles buses in Ras Al Khaimah, UAE.

🪖 Defence Sector
The company is the largest supplier of military vehicles for the Indian Army. Its manufacturing unit in Jabalpur produces over 60,000 stallion vehicles.

♻️ Green Energy
With green mobility as its objective for the future, Ashok Leyland plans to establish a separate plant to manufacture electric vehicles. The company already has a ₹1500 crore investment from its UK counterpart, Switch Mobility.

🪙 Bonus Issue
🦾 2000 | ₹100,000 invested at ₹2.20 = 45,454 shares
🦾 2004 | Stock split in 1:10 ratio: 4,54,540 shares
🦾 2011 | Bonus issue in 1:1 ratio: 9,09,080 shares

💰Stock Value
💵 On November 9, 2000, the company’s shares were trading at ₹2.20, while they were priced at ₹149 as of November 9, 2022.

💵 The value of ₹1,00,000 invested back in November 2000 would be ₹13,54,52,920 in profits and ₹1,60,58,898 in dividends. Total of which amounts to ₹15,15,18,818 as of November 9, 2022.


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