Cement Stocks Outlook
Cos in north seen up near-term on higher price hikes
This story was originally published at 19:09 IST on 25 April 2025
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MUMBAI – Shares of cement companies in north India are seen rising slightly in the near term as cement prices in the region are higher than other regions, analysts said. However, the valuation of cement companies is still high and it might limit gains next week. "Realisation are currently an important thing to look out in cement companies," Vincent Andrews, research analyst at Geojit Financial Services, said. "Prices have improved sequentially, especially in north, but their sustainability depends on volumes." UltraTech Cement, Ambuja Cements, ACC, and Dalmia Bharat are some of the companies that have strong presence in the north.
Dalmia Bharat's earnings gave hope to analysts that prices have improved in the March quarter. Analysts said net realisations were higher sequentially for the company as weak prices in south India were offset by prices hikes in the eastern region. Analysts have a mixed view on the company. Some expect the company to report volumes lower than the industry, while others are positive as the company is looking to add more capacity.
ACC and Dalmia Bharat reported their earnings this week, and UltraTech Cement and Ambuja Cement are scheduled to report their earnings on Monday and Tuesday, respectively.
Shares of UltraTech Cement are trading at a high valuation, but its strong sales volume may stop investors from selling the stock, Andrews said. The company is likely to report a higher consolidated net profit for the March quarter as volume growth has been strong even though realisations might be lower than the previous year. According to the average of estimates of 14 brokerages, Ultratech is expected to report a consolidated net profit of INR 25.51 billion for the March quarter, up 13% on year and 74% sequentially.
TOP HEADLINES
* Dalmia Bharat Jan-Mar consol sales fall 5% YoY but PAT rises over 38%
* Dalmia Bharat arm files writ petition against INR-1.09-bln tax demand
* Shree Cement commissions 3.40 mtpa clinker grinding unit in Chhattisgarh
Following are the resistance and support levels for the stocks for next week as per calculations by Informist based on their prices on the National Stock Exchange:
| Company | Price | Week-on-week change in % | Resistance | Support |
| ACC LTD | 1938.00 | (-)6.00 | 2126.50 | 1836.70 |
| AMBUJA CEMENTS LTD | 548.70 | (-)3.70 | 585.80 | 525.40 |
| ANDHRA CEMENTS LTD | 56.94 | (-)1.50 | 62.10 | 53.50 |
| GRASIM INDUSTRIES LTD | 2734.80 | (-)0.90 | 2781.30 | 2651.90 |
| J.K. CEMENT LTD | 5245.30 | 3.70 | 5391.70 | 5107.90 |
| JK LAKSHMI CEMENT LTD | 799.25 | (-)1.90 | 835.70 | 768.80 |
| SAGAR CEMENTS LTD | 220.02 | 1.10 | 230.10 | 207.40 |
| SHREE CEMENT LTD | 30540.00 | (-)1.50 | 31530.00 | 29460.00 |
| ULTRATECH CEMENT LTD | 12237.00 | 2.80 | 12577.70 | 11689.70 |
| INDIA CEMENTS LTD | 287.80 | (-)0.20 | 296.90 | 279.30 |
| NIFTY 50 | 24039.35 | 0.80 | 24601.80 | 23566.60 |
| BSE SENSEX | 79212.53 | 0.80 | 80841.20 | 77791.50 |
End
Reported by Anshul Choudhary
Edited by Ashish Shirke
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