Is India Cements overvalued or undervalued?

As of November 7, 2022, India Cements is considered a risky investment due to its overvaluation and poor financial ratios, including a PE ratio of -18.44 and an EV to EBITDA of -30.54%, despite a strong one-year stock return of 58.75%.

As of 7 November 2022, India Cements' valuation grade has moved from attractive to risky, indicating a significant deterioration in its financial standing. The company is currently overvalued, as evidenced by its troubling financial ratios, including a PE ratio of -18.44, an EV to EBITDA of -30.54, and a ROCE of -5.54%. These figures suggest that the company is struggling to generate positive returns and is not effectively utilizing its capital.<BR><BR>In comparison to its peers, India Cements stands out negatively; for instance, UltraTech Cement has a PE ratio of 52.27 and an EV to EBITDA of 27.92, while Grasim Industries shows a PE of 43.9 and an EV to EBITDA of 11.89. The stark contrast in these ratios highlights the challenges faced by India Cements within the cement industry. Despite a strong one-year stock return of 58.75% compared to the Sensex's 7.60%, the underlying financial metrics indicate that the stock is not a sound investment at its current price of 340.05.

When is the next results date for India Cements?

No Upcoming Board Meetings

Who are in the management team of India Cements?

As of March 2022, the management team of India Cements includes N Srinivasan (Vice Chairman, MD, CEO & CFO), Rupa Gurunath (WTD & Executive Director), and several independent and non-executive directors, totaling 19 members who oversee the company's governance and operations.

As of March 2022, the management team of India Cements includes the following individuals:<BR><BR>1. N Srinivasan - Vice Chairman, MD, CEO & CFO<BR>2. Rupa Gurunath - WTD & Executive Director<BR>3. Chitra Srinivasan - Non Executive Director<BR>4. Balasubramanian Adityan Sivanthi - Independent Non Executive Director<BR>5. Basavaraju - Independent Non Executive Director<BR>6. Lakshmi Aparna Sreekumar - Independent Non Executive Director<BR>7. K P Nair - Independent Non Executive Director<BR>8. Krishnan Skandan - Independent Non Executive Director<BR>9. V Ranganathan - Non Executive Director<BR>10. Sandhya Rajan - Independent Non Executive Director<BR>11. S Christopher Jebakumar - Non Executive Director<BR>12. T S Raghupathy - Non Executive Director<BR>13. SANJAY SHANTILAL PATEL - Independent Non Executive Director<BR>14. Siddhartha Mohanty - Non Executive Director<BR>15. Y Viswanatha Gowd - Nominee<BR>16. V Manickam - Independent Non Executive Director<BR>17. S Sridharan - Company Secretary & Compliance Officer<BR>18. V M Mohan - Additional Director<BR>19. Krishna Srivastava - Non Executive Director<BR><BR>This diverse team includes various directors with different roles, contributing to the governance and management of the company.

What does India Cements do?

India Cements Ltd is the largest cement producer in South India, incorporated in the 1940s, with a recent market cap of Rs 10,523 Cr and quarterly net sales of 1,197 Cr as of March 2025. The company has a low debt-equity ratio of 0.10 and a negative return on equity of -5.65%.

Overview:<BR>India Cements Ltd is the largest producer of cement in South India, operating in the Cement & Cement Products industry within the mid-cap market segment.<BR><BR>History:<BR>India Cements was incorporated in the early 1940s and has maintained its status as a leading cement producer. The latest quarterly results reported net sales and profit for March 2025.<BR><BR>Financial Snapshot:<BR>- Net Sales: 1,197 Cr (Quarterly Results - Mar 2025)<BR>- Net Profit: 15 Cr (Quarterly Results - Mar 2025)<BR>- Market-cap: Rs 10,523 Cr (Mid Cap)<BR><BR>Key Metrics:<BR>- P/E: N/A<BR>- Industry P/E: 46<BR>- Dividend Yield: 0.00%<BR>- Debt-Equity: 0.10<BR>- Return on Equity: -5.65%<BR>- Price to Book: 1.02<BR><BR>Contact Details:<BR>Address: Dhun Building, 827 Anna Salai Chennai Tamil Nadu : 600002<BR>Tel: 91-044-28521526/28572100/400<BR>Email: investor@indiacements.co.in<BR>Website: http://www.indiacements.co.in

Has India Cements declared dividend?

Yes, India Cements has declared a 10% dividend, amounting to ₹1 per share, with an ex-date of September 20, 2022. Despite this, the dividend yield is 0%, as recent returns have primarily come from price appreciation rather than dividends.

India Cements Ltd has declared a 10% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 10%<BR>- Amount per share: 1 per share<BR>- Ex-date: 20 Sep 22<BR><BR>Dividend Yield: 0%<BR><BR>Total Returns by Period:<BR>In the last 6 months, the price return was -5.77%, with no dividend return, resulting in a total return of -5.77%.<BR><BR>Over the past year, the price return was 63.98%, with no dividend return, leading to a total return of 63.98%.<BR><BR>In the 2-year period, the price return was 53.77%, with no dividend return, resulting in a total return of 53.77%.<BR><BR>For the 3-year period, the price return was 105.32%, with a dividend return of 0.65%, culminating in a total return of 105.97%.<BR><BR>In the last 4 years, the price return was 79.64%, with a dividend return of 1.04%, resulting in a total return of 80.68%.<BR><BR>Over the past 5 years, the price return was 160.13%, with a dividend return of 2.07%, leading to a total return of 162.2%.<BR><BR>Overall, while India Cements has declared a dividend, the dividend yield remains at 0%, indicating that the dividend payments have not significantly contributed to returns in recent periods. However, the price returns over various periods show strong performance, particularly in the longer term.

Who are the peers of the India Cements?

Peers of India Cements include UltraTech Cement, Grasim Industries, Ambuja Cements, Shree Cement, and others. India Cements has a 1-year return of 58.39%, with management risk rated as good, while J K Cements leads with a 36.66% return.

Peers: The peers of India Cements are UltraTech Cem., Grasim Inds, Ambuja Cements, Shree Cement, J K Cements, Star Cement, Orient Cement, Prism Johnson, Heidelberg Cem., and Sagar Cements.<BR><BR>Quality Snapshot: Excellent management risk is observed at UltraTech Cem., Grasim Inds, Shree Cement, Orient Cement, and Heidelberg Cem., while Good management risk is found at J K Cements, India Cements, and Star Cement. Average management risk is present at Ambuja Cements and Sagar Cements, while Below Average management risk is noted for Prism Johnson. In terms of Growth, Good growth is seen at Grasim Inds, while Average growth is found at UltraTech Cem. and the rest. Below Average growth is observed at Ambuja Cements, Shree Cement, J K Cements, India Cements, Star Cement, Orient Cement, and Sagar Cements. For Capital Structure, Excellent capital structure is noted at Ambuja Cements, Shree Cement, and Heidelberg Cem., while Good capital structure is found at UltraTech Cem. and Orient Cement. Below Average capital structure is present at Grasim Inds, India Cements, Prism Johnson, and Sagar Cements.<BR><BR>Return Snapshot: The peer with the highest 1-year return is J K Cements at 36.66%, while the lowest is Ambuja Cements at -17.65%. India Cements has a 1-year return of 58.39%, which is significantly higher than Ambuja Cements but lower than J K Cements. Additionally, the six-month return is negative for Ambuja Cements, Heidelberg Cem., and Prism Johnson.

Who are the top shareholders of the India Cements?

The top shareholders of India Cements include Ultratech Cement Limited with 81.49%, followed by foreign institutional investors at 4.94%, mutual funds at 0.89%, and individual investors collectively owning 8.14%. The highest public shareholder is Lici Asm Non Par, holding 2.64%.

The top shareholders of India Cements primarily include its promoters, with Ultratech Cement Limited holding the largest share at 81.49%. In addition to the promoters, the company has mutual funds holding 0.89% across 43 schemes and foreign institutional investors (FIIs) holding 4.94% through 98 different FIIs. The highest public shareholder is Lici Asm Non Par, which holds 2.64%. Individual investors collectively own 8.14% of the company.

How big is India Cements?

As of 24th July, India Cements Ltd has a market capitalization of 11,209.00 Cr and reported Net Sales of 4,170.77 Cr, with a Net Profit loss of 335.04 Cr over the latest four quarters. Shareholder's Funds are valued at 10,194.13 Cr, and Total Assets amount to 13,830.22 Cr.

As of 24th July, India Cements Ltd has a market capitalization of 11,209.00 Cr, categorizing it as a Mid Cap company.<BR><BR>In the latest four quarters, India Cements reported Net Sales of 4,170.77 Cr. However, the company experienced a loss of 335.04 Cr in Net Profit during the same period.<BR><BR>The latest reporting period for the balance sheet is March 2025. Shareholder's Funds are valued at 10,194.13 Cr, while Total Assets amount to 13,830.22 Cr.

How has been the historical performance of India Cements?

India Cements has experienced declining financial performance, with net sales dropping from 5,608.14 Cr in March 2023 to 4,132.34 Cr in March 2025, and significant losses in operating profit and profit after tax during the same period. Despite an increase in total assets, the company's financial health remains strained due to rising losses and declining sales.

Answer:<BR>The historical performance of India Cements shows a fluctuating trend in its financial metrics over the years, particularly in net sales, operating profit, and profit after tax.<BR><BR>Breakdown:<BR>India Cements reported net sales of 4,132.34 Cr in March 2025, a decline from 4,997.85 Cr in March 2024 and 5,608.14 Cr in March 2023. The total operating income followed a similar trend, with figures of 4,132.34 Cr in March 2025, down from 4,997.85 Cr in March 2024 and 5,608.14 Cr in March 2023. The company faced significant challenges, reflected in its operating profit (PBDIT), which was -173.71 Cr in March 2025, a stark contrast to 150.30 Cr in March 2024 and 508.66 Cr in March 2022. Profit before tax also showed a negative trend, with -171.35 Cr in March 2025 compared to -267.43 Cr in March 2024 and a profit of 85.47 Cr in March 2022. Consequently, profit after tax was -112.86 Cr in March 2025, worsening from -219.61 Cr in March 2024 and a profit of 65.98 Cr in March 2022. The company's total assets increased to 13,830.22 Cr in March 2025 from 10,700.63 Cr in March 2024, while total liabilities also rose to 13,830.22 Cr in March 2025 from 10,700.63 Cr in March 2024. Cash flow from operating activities showed a positive cash flow of 343 Cr in March 2024, but the overall financial health appears strained with increasing losses and declining sales.

Are India Cements latest results good or bad?

India Cements' latest results show a net profit of ₹8.81 crores for Q2 FY26, a recovery from last year's loss, and a 9.32% revenue increase. However, a significant sequential decline in net profit raises concerns about sustainability, making the overall performance a mixed bag.

India Cements' latest results present a mixed picture. On one hand, the company reported a net profit of ₹8.81 crores for Q2 FY26, a significant turnaround from a net loss of ₹339.55 crores in the same quarter last year. This reflects a year-on-year improvement and indicates that the company is recovering from previous heavy losses. Additionally, revenue increased by 9.32% year-on-year to ₹1,117 crores, suggesting some stability in demand.<BR><BR>However, the results also show a concerning sequential decline in net profit, down 106.71% from the previous quarter, which raises questions about the sustainability of the recovery. The operating margin improved to 7.26% from a deeply negative -15.93% a year ago, but it decreased from 8.12% in the prior quarter, indicating potential challenges in maintaining operational efficiency.<BR><BR>The overall financial performance has been characterized by volatility, making it difficult to ascertain a clear trend. While the improvement in revenue and operating margin is positive, the sharp decline in profitability from the previous quarter is a red flag. Therefore, while there are signs of recovery, the results can be viewed as both good and bad, depending on the perspective taken. Investors may want to monitor the company's ability to sustain these improvements in the coming quarters.

Should I buy, sell or hold India Cements?

Is India Cements technically bullish or bearish?

As of December 4, 2025, the trend is bullish with strong indicators like daily moving averages and monthly MACD and RSI supporting this view, although there is some short-term caution from the weekly MACD and KST.

As of 4 December 2025, the technical trend has changed from mildly bullish to bullish. The current stance is bullish with strong indicators supporting this view. The daily moving averages are bullish, and both the monthly MACD and RSI are bullish as well. Additionally, Bollinger Bands are bullish on both weekly and monthly time frames. However, the weekly MACD and KST are mildly bearish, indicating some short-term caution. Overall, the strength of the bullish trend is reinforced by the positive performance against the Sensex over multiple periods, particularly in the 3-year and 5-year returns.

Why is India Cements falling/rising?

As of 16-Dec, India Cements Ltd's stock price is declining, currently at 407.10, due to underperformance against its sector, reduced investor participation, and weak long-term fundamentals. Concerns include a significant drop in promoter confidence and poor profitability metrics, contributing to the stock's downward trend.

As of 16-Dec, India Cements Ltd's stock price is falling, currently at 407.10, reflecting a decrease of 10.6 points or 2.54%. This decline can be attributed to several factors highlighted in the source data. <BR><BR>Firstly, the stock has underperformed its sector by 1.26% today, indicating weaker performance compared to its peers. Additionally, the stock touched an intraday low of Rs 405, which represents a drop of 3.04%. The falling investor participation is also a concern, as the delivery volume decreased by 0.95% against the 5-day average, suggesting reduced interest from investors.<BR><BR>While the company has shown positive results in the past six months, including a higher profit after tax and strong operating profit to interest ratio, there are significant negative factors impacting investor sentiment. The long-term fundamental strength of the company is weak, evidenced by a staggering -197.55% compound annual growth rate (CAGR) in operating profits over the last five years. Furthermore, the company's ability to service its debt is poor, with an average EBIT to interest ratio of -0.54, and a low return on equity of 0.67% indicates low profitability.<BR><BR>Moreover, the reduction in promoter confidence, with a decrease in their stake by 5.89% over the previous quarter, raises concerns about the future prospects of the business. This combination of underperformance, weak fundamentals, and declining confidence among promoters contributes to the stock's current downward trend.

Which are the latest news on India Cements?