Cement Sector
JEFFERIES ON BUILDING MATERIALS : 17.01.2022
* Jefferies shares its view on building materials, continues to hold ACC & Ambuja Cements as top picks from the sector
* Expect Growth To Accelerate To 7% Over FY22-24
* Cement Capacity Addition Will Likely Trail Incremental Demand
* Input Prices, However, Pose A Risk To Margins In The Near Term
• ACC & Ambuja Remain Top Picks
CLSA ON CEMENT : 06.01.2022
* CLSA sees CY22 as a year of resilient demand and stable profitability for the cement sector. Ultratech & ACC are seen favourably & are CLSA'S preferred picks
* See CY22 As A Year Of Resilient Demand And Stable Profitability For The Sector
* While Rural Was The Key Demand Driver In Past, Urban Hsg & Infra
CS ON CEMENT : 05.01.2022
* Strong Positive Outlook In Face Of Muted Upcoming Earnings Season
* Reiterate Outperform On UltraTech With Target At Rs 9,250/Sh
• Reiterate Outperform On Ambuja Cement With Target At Rs 450/Sh CNDC
• Maintain Outperform on Ultratech, Target at Rs 8,542/share
*Maintain Outperform on ACC, Target at Rs 2,514/share
*Headline ROES mask underlying health
JPMORGAN ON CEMENT : 30.06.2021
* JPMorgan downgrades Indian cement stocks, says time for a breather in a strong demand cycle
* Cost Inflation, Sharply Higher Stock Prices Call For A Breather In A Strong Demand
* Price Rises Could Offset Large Cost Increase But Don't See Large Margin Expansion
* Downgrade Shree Cement To Underweight From Neutral
* Downgrade UltraTech To Neutral From Overweight
* Remain Overweight On ACC & Grasim Given Volume Growth & Improve Cap Allocation
CEMENT SECTOR : 30.06.2021
* JPMorgan View Downgrades Shree Cement to Underweight From Neutral
* Downgrades Ultratech To Neutral From Overweight Target for Shree Cement At Rs 23,300/Share ₂ Target For Ultratech At Rs 6890/Share
* Cost Inflation, Sharply Higher Stock Prices Call For A Breather
* Breather In A Strong Demand Cycle
• Remain Overweight On GRASIM, Given The Volume Growth In VSF
CLSA ON CEMENT : 28.06.2021
• Dalmia Bharat, Buy, Target raised to Rs 2,225
• Ultratech, Outperform, Target raised to Rs 7,735
• Ramco Cement, Outperform, Target raised to Rs 1,140
• Shree Cement, Underperform, Target raised to Rs 28,850
* Ambuja Cement, Underperform, Target raised to Rs 350
* ACC, Upgrade to Outperform, Target raised to Rs 2,190
CLSA ON CEMENT : 28.06.2021
* CLSA is positive on Cement sector but sees limited room for re-rating with sector valuations above 5-year median
* A Rise In Cement Prices Is Likely To Support Margin
* See Limited Room For Re-rating With Sector Valuations Above 5-year Median
* Dalmia & UltraTech Remain Our Preferred Picks
* Upgrade ACC To Outperform From Underperform, Target At 2,190/Sh
CLSA ON CEMENT : 28.06.2021
• Outlook improving, valuations fair
* Medium-term thesis intact, valuations offer limited room for rerating
* Profitability outlook improved post price increases
• FY21 a strong year despite Covid-19 challenges
• Valuations offer limited room for re-rating
* Risk-reward fairly balanced
CREDIT SUISSE ON CEMENT : 08.06.2021
* Profitability Can Improve As Pet Coke Declines With Other Commodities
* CS expects profitability for cement sector to improve as pet coke declines with other commodities
* Stay Outperform On UltraTech/Ambuja On Sectoral Merits, Valuations
* +ve On UltraTech/Ambuja On Volume Growth, Capacity Addition & B/s Mgmt
