Macquarie has reiterated its bullish stance on UltraTech Cement, maintaining an ‘Outperform’ rating and raising its target price by 7% to ₹12,705. This reflects an 11% upside potential from its current market price of ₹11,406.95.
The brokerage highlights expectations of a demand recovery and cement price hikes beginning in the second half of calendar year 2024 (2HCY24). These factors are expected to support sector earnings and drive further growth for UltraTech Cement.
Macquarie believes that UltraTech is optimally positioned within the Indian cement industry due to its timely capacity additions and a well-diversified regional mix. Furthermore, the company’s strong focus on sustainable cost savings and operational efficiency provides an edge over its peers.
UltraTech Cement remains Macquarie’s top pick in the Indian cement industry, with the brokerage optimistic about the company’s ability to capitalize on sector recovery trends and maintain its leadership position.
Disclaimer: This is for informational purposes only and not investment advice. Consult a financial advisor before making any investment decisions.
