Jefferies cuts PT on India's KEI Industries on competition concerns

Ultratech Cement

11/09/2026 10:47

** Jefferies reiterates "Buy" on KEI Industries KEIN.NS and cuts PT to 6,150 rupees from 6,920 rupees
** Brokerage says Ultratech Cement's ULTC.NS foray into wires and cables  has raised investor concerns on Cables and wire maker's future profitability
** Retains FY27-FY30 estimates, expecting any retail-sales weakness to be offset by domestic power-transmission cable demand and exports
** Sees domestic institutional-cable revenue rising to 33% of sales by FY30 from 28% in FY26, while export contribution increases to 17% from 15%
** Cuts valuation multiple to 40x Sept 28E estimated earnings from 45x earlier, citing a more aggressive-than-expected UltraTech launch 
     ** Flags sharp pricing competition in cables as a downside risk 
** YTD, stock up 1.9%
     
     

 (Reporting by Mridula Kumar in Bengaluru)
 ((Mridula.Kumar@thomsonreuters.com;))