NEW DELHI: This smallcap cement maker has been seeing delays in capacity expansion due to poor cash generation and slow environmental clearances.
But cement demand in its key markets, especially southern region, has been solid of late, which along with cost control helped the company log a four-fold jump in March quarter profit.
Analysts expect realisations to remain strong for the cement maker in June quarter as well. And this is one of the reasons behind the 73 per cent jump in the stock from a five-year low of Rs 61.90 hit on February 6 this year.
Big Bull Rakesh Jhunjhunwala has been holding a 1.22 per cent stake in this company at least since March quarter of 2016.
Analysts have upped price targets for the stock sharply post strong Q4 numbers, yet most targets suggest only a limited upside potential from here on.
Kotak Institutional Equities has revised the target from Rs 80 to Rs 106, which is where the stock traded on Monday. Motilal Oswal Securities and Antique Stock Broking have set price targets of Rs 119 and 115, respectively, suggesting 7-11 per cent upside potential.
ICICI Securities has upped its price target to Rs 135 from Rs 77 earlier, giving a ‘buy’ recommendation on the stock from ‘add’ earlier. This is 26 per cent above the prevailing price.
Elara Capital seems most bull ..
But cement demand in its key markets, especially southern region, has been solid of late, which along with cost control helped the company log a four-fold jump in March quarter profit.
Analysts expect realisations to remain strong for the cement maker in June quarter as well. And this is one of the reasons behind the 73 per cent jump in the stock from a five-year low of Rs 61.90 hit on February 6 this year.
Big Bull Rakesh Jhunjhunwala has been holding a 1.22 per cent stake in this company at least since March quarter of 2016.
Analysts have upped price targets for the stock sharply post strong Q4 numbers, yet most targets suggest only a limited upside potential from here on.
Kotak Institutional Equities has revised the target from Rs 80 to Rs 106, which is where the stock traded on Monday. Motilal Oswal Securities and Antique Stock Broking have set price targets of Rs 119 and 115, respectively, suggesting 7-11 per cent upside potential.
ICICI Securities has upped its price target to Rs 135 from Rs 77 earlier, giving a ‘buy’ recommendation on the stock from ‘add’ earlier. This is 26 per cent above the prevailing price.
Elara Capital seems most bull ..
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