HomeNewsBusinessStocksShree Cement jumps 6% to 52-week high as Q3 net doubles, keeps brokerages upbeat
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Shree Cement jumps 6% to 52-week high as Q3 net doubles, keeps brokerages upbeat

The anticipation of increased spending by the central government in preparation for the 2024 general elections is projected to provide an additional impetus to cement demand in FY24, said Choice Broking.

February 01, 2024 / 10:00 IST
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Shree Cement stock has rallied 25 percent in the last one year, outperforming benchmark Nifty 50.
Shree Cement stock has rallied 25 percent in the last one year, outperforming benchmark Nifty 50.

Shares of Shree Cement jumped over 6 percent to hit a fresh 52-week high of Rs 30,344.95 on the NSE on February 1, a day after the company reported robust earnings for the quarter ended December 2023.

Its consolidated net profit jumped two-fold to Rs 701.85 crore, and revenue from operations grew 21.5 percent on-year to Rs 5,223.18 crore during the quarter under review.

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Analysts remain bullish on the stock, given its capex plans and strong growth delivery. Shree Cement's ambitious capex plan will help deliver sustained volume growth and allow it to maintain cost leadership in the cement industry, said Nuvama Institutional Equities.

The company is the most efficient cement player, given its cost-competitiveness (both operating and capex), historic high RoE versus peers and strong balance sheet with net cash position, the brokerage noted.