P-Sec is bullish on Ashok Leyland and maintained buy rating on stock. The stock trades at 9.3x its FY09P earnings.

P-Sec report on Ashok Leyland:

Ashok Leyland reported Q1FY08 slightly below expectations. Topline grew by 14% yoy account of increase in realization of 2.6 % yoy. EBITDA margins increased by 224bps yoy improved realization and regular volume growth.

Bottomline was below expectation due to higher interest during quarter. The stock trades at 9.3x its FY09P earnings.