Ashok Leyland Share Price: 26.0% CAGR in 3 Years as the Truck Maker Compares With M&M and Eicher Motors
- November 12, 2026
- Posted by: Chaitanya Auti
- Category: Best Stocks
Ashok Leyland Share Price: 26.0% CAGR in 3 Years as the Truck Maker Compares With M&M and Eicher Motors
Ashok Leyland previous close Rs 173.90. 3-year CAGR 26.0%. Up 2.0x since 10 Nov 2023. ROE 24.37%. Market cap Rs 1,01,765 crore.
Quick Answer
The Ashok Leyland share price closed at Rs 173.90 on 11 November 2026, a compounded annual return of 26.0% over three years. That compares with Mahindra & Mahindra at 31.5% and Eicher Motors at 28.9%. The company has a market cap of Rs 1,01,765 crore and a P/E of 27.28 against an industry P/E of 25.73.
The Ashok Leyland share price has delivered a strong return over three years, and the company earns the highest return on equity in its peer group. Ashok Leyland, based in Chennai and part of the Hinduja Group, makes trucks, buses and defence vehicles and is one of the largest commercial vehicle makers in India.
This article compares that run with Mahindra & Mahindra and Eicher Motors. We calculate the three-year CAGR for all three and set the results beside market cap, valuation, return on equity and debt, using prices adjusted for corporate actions.
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How Much Has the Ashok Leyland Share Price Returned in 3 Years?
The Ashok Leyland stock closed at Rs 86.90 on 10 November 2023 and at Rs 173.90 on 11 November 2026. Rs 1 lakh invested three years ago would have grown to about Rs 2.00 lakh, which is a CAGR of 26.0%. This is a price return and leaves out dividends.
CAGR condenses a bumpy three-year ride into one yearly number, which is why it is the fairest way to compare companies of different sizes. A stock such as Ashok Leyland can look spectacular on a chart and still have earned a modest yearly return, so the compounded figure keeps the comparison honest.
The Ashok Leyland share price has also followed the pickup in demand for trucks and buses, supported by infrastructure spending, mining activity and fleet replacement.
Ashok Leyland vs Mahindra & Mahindra and Eicher Motors: 3-Year CAGR Compared
The table ranks the companies by three-year CAGR. Prices on 10 November 2023 are adjusted for splits and bonuses, and the latest figures are the previous close on 11 November 2026.
| Company | Close on 10 Nov 2023 | Previous close (11 Nov 2026) | Price multiple | 3-year CAGR |
|---|---|---|---|---|
| Mahindra & Mahindra | Rs 1,524.10 | Rs 3,465.00 | 2.3x | 31.5% |
| Eicher Motors | Rs 3,540.75 | Rs 7,592.00 | 2.1x | 28.9% |
| Ashok Leyland | Rs 86.90 | Rs 173.90 | 2.0x | 26.0% |
The Ashok Leyland stock ranks third of the three at 26.0%. The companies ahead are Mahindra & Mahindra (31.5%) and Eicher Motors (28.9%). M&M leads the group, followed by Eicher Motors and then Ashok Leyland. Ashok Leyland is the smallest of the three by market cap but earns the highest ROE.
Look at the Ashok Leyland share price alongside the peers as a snapshot of the last three years. It describes what happened, and valuation and earnings will decide what happens next.
Valuation and Quality Compared
| Company | Market cap | P/E | Industry P/E | ROE | Debt to equity |
|---|---|---|---|---|---|
| Mahindra & Mahindra | Rs 4,29,813 crore | 20.04 | 25.73 | 19.80% | 1.57 |
| Eicher Motors | Rs 2,09,186 crore | 36.24 | 25.70 | 21.97% | 0.02 |
| Ashok Leyland | Rs 1,01,765 crore | 27.28 | 25.73 | 24.37% | 4.49 |
By market cap, Mahindra & Mahindra is the largest of the group at Rs 4,29,813 crore, while the Ashok Leyland stock stands at Rs 1,01,765 crore, about 24% of that size. On earnings, Ashok Leyland shares trade at a P/E of 27.28 against an industry P/E of 25.73, a premium of about 6%, which signals that the market expects faster earnings growth. Peer multiples are Mahindra & Mahindra at 20.04 and Eicher Motors at 36.24.
Return on equity is 24.37% for the Ashok Leyland stock, which ranks first among the three, and debt to equity stands at 4.49. Trailing EPS is Rs 6.35. Commercial vehicle makers move with the freight cycle, so the P/E should be read together with return on equity and the debt that sits in the financing arm.
What Is Driving the Ashok Leyland Stock?
Ashok Leyland makes medium and heavy trucks, buses, light commercial vehicles and defence vehicles, and it sells engines and spare parts. Demand for trucks follows freight movement, road building, mining and fleet replacement, so the business is sensitive to economic activity.
The company also has an electric bus business and a stake in a lending arm that finances vehicle buyers. The consolidated balance sheet includes that lending activity, which is why debt to equity looks high.
Followers of the Ashok Leyland share price usually track monthly truck and bus volumes, margins, the order book for buses and the credit quality of the finance arm.
How the Established Players Stack Up
Mahindra & Mahindra is a Mumbai-based maker of SUVs, tractors and commercial vehicles, with a financial services arm. It compounded at 31.5% a year, on a market cap of Rs 4,29,813 crore and an ROE of 19.80%.
Eicher Motors is the maker of Royal Enfield motorcycles and, through a joint venture with Volvo, trucks and buses. It compounded at 28.9% a year, on a market cap of Rs 2,09,186 crore and an ROE of 21.97%.
What Should Investors Track Next?
Three things are worth watching on the Ashok Leyland share price. First, monthly truck and bus volumes. Second, margins as steel and other input costs move. Third, the credit quality of the finance arm.
At a P/E of 27, the stock trades above the industry P/E of 26, and its ROE of 24.37% is the highest in the group. Debt to equity of 4.49 includes the lending arm, so follow quarterly numbers closely.
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How to Compare Commercial Vehicle Stocks Yourself
You can repeat this exercise for any pair of stocks, including the Ashok Leyland stock against its peers. Note the adjusted closing price on the base date, take the latest close, divide one by the other, raise the result to the power of one third and subtract one. Then place the CAGR next to market cap, P/E against the industry P/E, ROE and debt to equity. Benchmark the result against the Nifty 50 as well, so you know whether the stock beat the broader market.
A stock that scores well on growth but weakly on quality, or the reverse, deserves closer study before it enters a portfolio. When tracking the Ashok Leyland share price, the same four checks give a more complete picture than price alone.
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A Truck Maker With the Highest ROE in Its Peer Group
The Ashok Leyland share price compounded at 26.0% a year over three years, behind M&M at 31.5% and Eicher Motors at 28.9%. Its ROE of 24.37% is the highest of the three, and it is the smallest of the three by market cap.
M&M brings the fastest return and the lowest P/E, while Eicher Motors brings the largest premium on earnings. The choice depends on whether you prefer a commercial vehicle cycle or a diversified mix.
Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
Frequently Asked Questions
What is the Ashok Leyland share price today?
Ans. Ashok Leyland closed at Rs 173.90 on 11 November 2026, according to NSE data. It has a market cap of Rs 1,01,765 crore and a P/E of 27.28. Check live quotes before acting, as prices change every trading day.
What is the 3-year CAGR of the Ashok Leyland stock?
Ans. Ashok Leyland delivered a price CAGR of 26.0% over three years, moving from Rs 86.90 on 10 November 2023 to Rs 173.90 on 11 November 2026. The figure excludes dividends and uses adjusted closing prices.
Is Ashok Leyland better than Eicher Motors?
Ans. Eicher Motors delivered a higher three-year CAGR at 28.9% than Ashok Leyland at 26.0%. Eicher Motors is larger by market cap at Rs 2,09,186 crore against Rs 1,01,765 crore and trades at a higher P/E of 36.24 against 27.28, while Ashok Leyland has a higher ROE at 24.37% against 21.97%. The better choice depends on your view of each business.
What does Ashok Leyland do?
Ans. Ashok Leyland is a Chennai-based Hinduja Group company that makes trucks, buses and defence vehicles and is one of the largest commercial vehicle makers in India.
Is the Ashok Leyland stock debt free?
Ans. The debt to equity ratio of the Ashok Leyland stock is 4.49 and its return on equity is 24.37%. Always check the latest balance sheet for current figures, as debt levels change with expansion plans.
Is Ashok Leyland expensive compared with the industry?
Ans. Ashok Leyland trades at a P/E of 27.28 against an industry P/E of 25.73. A higher multiple reflects expectations of faster growth, which the company must deliver through earnings.
Which commercial vehicle stock gave the highest return in 3 years?
Ans. Among the companies compared here, Mahindra & Mahindra delivered the highest three-year CAGR at 31.5%, followed by Eicher Motors at 28.9%. Past returns do not guarantee future performance.
How do I calculate CAGR for a stock?
Ans. Divide the latest price by the starting price, raise the result to the power of one divided by the number of years, and subtract one. Multiply by 100 for a percentage. Use split and bonus adjusted prices for accurate results.