Ambuja Cements up after Nomura double upgrades to 'buy' on capacity expansion, higher vols

Ramco Cements

11/07/2024 06:58

** Shares of Ambuja Cements  ABUJ.NS  rise 2.1% to 675.6
rupees    
    ** Nomura double upgrades ABUJ to "buy" from "reduce";
raises PT to 780 rupees, a 56% upside
    ** Says co's aggressive capacity expansion with acquisition
of Penna Cement will imply 14% compound annual growth in
capacity for ABUJ over FY24-26
    ** AMBJ could see highest volume growth vs 6% and 9% growth,
respectively, for industry, rival Ultratech  ULTC.NS  - Nomura 
    ** Adds, entry into newer markets will help ABUJ become
third-largest player in southern India, behind Ultratech and
Ramco Cements  TRCE.NS  
    ** ABUJ among top gainers on Nifty 100  .NIFTY100 , Nifty
infrastructure  .NIFTYINFRA 
        ** ABUJ has a fwd 12-month PE ratio of 33 on NIFTYINFRA
index vs 34 for ULTC 
  


 (Reporting by Ashna Teresa Britto in Bengaluru)
 ((AshnaTeresa.Britto@thomsonreuters.com ; ( +91 8078332441))