Neutral India Cement ; target of Rs 114: Motilal Oswal

Trade

• Watchlist
• Portfolio
• Message
• Set Alert

 

 

Choose Stock Exchange: BSE LIVE NSE LIVE

26 Aug, 2025 12:21

Volume

Todays L/H

More

×

Motilal Oswal 's research report on India Cement

India Cement (ICEM)’s 1QFY21 result was a surprise, led by a sharp rise in realization and lower fixed costs. EBITDA per ton, thus, reached decadal highs of INR1,090/t in 1QFY21 (from decadal lows of INR255/t in 4QFY20), driving 131% QoQ growth in EBITDA. We raise our FY21 EBITDA estimate by 17%, after factoring lower costs, but keep FY22 estimates largely unchanged (as discretionary cost cuts should normalize). Maintain Neutral. Any potential change in ownership and management control is a key monitorable.

Outlook

ICEM trades at 9.3x FY22E EV/EBITDA and USD55/t of capacity. We value it at 9x FY22E EV/EBITDA to arrive at TP of INR114. Maintain Neutral.

For all recommendations report, click here

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Read More