Goldman Sachs has reiterated its ‘Sell’ rating on ACC, with a revised target price of ₹2,190 (from ₹2,345), indicating a 7% downside from its current levels. The brokerage also maintained its ‘Neutral’ stance on Ambuja Cement, adjusting the target price to ₹535 (from ₹575).
The report highlights that ACC’s profitability in Q3FY25 was lower than expected, with no significant capacity additions or major cost-saving initiatives in place. In contrast, Ambuja Cement is expected to witness significant capacity expansions over the next 12-18 months, supporting its long-term growth trajectory.
Despite the long-term expansion remaining on track for Ambuja Cement, Goldman Sachs believes growth and profitability are already factored into the stock price, keeping its stance neutral. Meanwhile, ACC faces limited growth triggers, leading the brokerage to maintain its negative outlook.
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