Purchase UltraTech Cement; Rs. 10,500 is the Sharekhan objective

 Purchase UltraTech Cement; Rs. 10,500 is the Sharekhan objective

Purchase UltraTech Cement; Rs. 10,500 is the Sharekhan objective

Sharekhan is positive on UltraTech Cement; in its research report dated December 01, 2023, it suggested a buy rating on the company with a target price of Rs 10,500.

Sharekhan's UltraTech Cement study report

The cement assets of Kesoram have been acquired by UltraTech for a very appealing $91 adjusted EV/tonne. Share swapping should be used for the transaction, and there should be no cash exchanged. UltraTech's industry capacity share will rise from 11% to 17% and its capacity mix in the southern area will grow from 15% to 22% with the planned assets. Inorganic expansion to preserve the discipline of industry pricing. It is anticipated that in a little amount of time, the operational profitability of the suggested assets would catch up to UltraTech. assets purchased in FY2026 with the intention of contributing throughout the whole fiscal year.

Prospects

With a revised PT of Rs. 10,500, we continue to hold a buy position in UltraTech, upgrading our value to reflect FY2026E profits in the face of robust demand and falling operating costs.