This comes even as brokerage firm HSBC initiated coverage on two stocks and retained its “buy” recommendations on the remaining three stocks.
HSBC has initiated coverage on Nuvoco with a “buy” rating and a price target of ₹420 per share, indicating an upside of 38.5% from its previous close.
It has also initiated coverage on JK Cement with a “hold” rating and set a target of ₹5,740 apiece, an upside of 9% from its previous closing price.
HSBC has retained its “buy” recommendations on UltraTech Cement
, Dalmia Bharat, and Ambuja Cements as well.
Its target price for UltraTech Cement is ₹13,750, which indicates an upside of 22.7%, while for Dalmia Bharat, it is ₹2,490, indicating an upside of 32.2% from Thursday’s close.
HSBC has set ₹590 per share as the price target for Ambuja Cements, implying an upside potential of 39.9% from its previous closing price.
The brokerage said capacity additions for the cement firms will peak in the financial year 2027. It estimates supply and demand dynamics to turn supportive from financial year 2028.
The brokerage also expects the cement industry to raise cement prices in April and May to fully pass on the higher energy costs.
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Most of the Cement stocks are trading with losses in today’s trading session.
