ACC Faces Evaluation Shift Amid Declining Stock Performance and Institutional Confidence

ACC, a midcap player in the Cement & Cement Products industry, has recently undergone an adjustment in its evaluation. This revision reflects a shift in technical indicators, with the overall trend moving from mildly bearish to bearish.
In terms of performance metrics, ACC's stock has shown a notable decline over the past year, with a return of -26.16%, which contrasts with the BSE500 benchmark. The company's quarterly results for Q1 FY25-26 indicated a flat performance, with a profit after tax of Rs 375.38 crore, representing a significant decrease compared to the previous four-quarter average. Additionally, the debt-to-equity ratio remains low at 0, and the return on equity stands at 12.5, suggesting a valuation that may be attractive relative to its peers.

Despite the challenges, ACC has maintained a high institutional holding at 28.94%, indicating a level of confidence from larger investors. The stock is currently trading at a discount compared to historical valuations, with a price-to-book value of 1.8 and a PEG ratio of 0.9, reflecting its profit growth of 16.5% over the past year.

Discover the Latest Mojo Score and Financial Trend Performance - SignUp in less than 2 Minutes and get FREE Premium Access.