Shares of Ambuja Cements Ltd gained over 2% today, trading at ₹548.05, following a positive outlook for the cement sector from Macquarie. The brokerage anticipates demand recovery and pricing improvements from the second half of CY24, which could lead to significant margin expansion across the industry.
Key Insights from Macquarie’s Analysis:
- Demand Recovery & Pricing: Expected demand rebound and potential price hikes in H2CY24 to support margin growth.
- Industry Consolidation: Capacity consolidation and cost optimization strategies are likely to strengthen medium-term earnings for leading players.
- EBITDA Adjustments: FY26 EBITDA estimates for major cement firms reduced by 5-14% to reflect ongoing pricing pressures.
Stock Rating: Ambuja Cements: Outperform; Target Price ₹618.
Ambuja Cements Share Price history
| Day | Open | Close | Change % |
|---|---|---|---|
|
Mon, Jan 20 2025
|
₹538.75
|
₹535.35
|
-0.17%
|
|
Fri, Jan 17 2025
|
₹542.00
|
₹536.25
|
-0.72%
|
|
Thu, Jan 16 2025
|
₹534.00
|
₹540.15
|
|
|
Wed, Jan 15 2025
|
₹518.00
|
₹519.30
|
|
|
Tue, Jan 14 2025
|
₹494.10
|
₹515.35
|
|
|
Mon, Jan 13 2025
|
₹504.00
|
₹493.20
|
-3.53%
|
|
Fri, Jan 10 2025
|
₹522.10
|
₹511.25
|
-2.67%
|
|
Thu, Jan 9 2025
|
₹539.00
|
₹525.25
|
-2.38%
|
Macquarie’s optimism centers around steady capacity utilization, cost efficiencies, and recovery in demand trends. Investors are advised to monitor pricing and demand patterns as critical growth indicators for the sector.
Disclaimer: This information is for informational purposes only and does not constitute financial advice. Please consult a financial advisor before making investment decisions.
