External broker reports(aggregated public sources), Nirmal Bang

Nirmal Bang

External broker reports(aggregated public sources)

A Relationship Beyond Broking

Nirmal Bang, one of the leading stock broking companies in India, caters to retail and institutional clients by offering them a range of financial products and services, including equities, derivatives, commodities, currency derivatives, mutual funds, IPOs, insurance, depository services and PMS.

Nirmal Bang is drawn from a diversity of professional backgrounds, and blend of experience, skill and dedication is shared with its clients. Nirmal Bang emphasizes adequate, thorough research local and world-wide developments, balancing these with the astute discovery of intrinsic values, synergies and growth. The aim is simply to help the investors to maximize their returns.

Thematic (Sector/Industry)

<div><div><div><div><ul><li>Weak seasonal demand and decline in prices against the backdrop of high input costs would mean muted realizations</li><li>The trend in cement pricing has been discouraging so far.</li><li>The news regarding CCI’s investigation on cement companies might be a factor for subdued pricing.</li></ul></div></div></div></div><p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>

Weak seasonal demand and decline in prices against the backdrop of high input costs would mean muted realizationsThe trend in cement pricing has been discouraging so far.The news regarding CCI’s investigation on cement companies might be a factor for subdued pricing.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Cement Sector - Elevated Energy Costs to Weigh on Margins

<div><div><div><div><ul><li>Summary of change in recommendation of our coverage universe: We have cut targets prices for our covered companies by 10-30% on account of reduced earnings expectations as well as lower target multiples.</li></ul><div><div><div><div><ul><li>Near term earnings outlook weak and positive triggers missing: We expect earnings to remain weak for the cement sector for the next two quarters on account of elevated costs and weak realizations amid a seasonally weak demand period.</li></ul><div><div><div><div><ul><li>Reversal in coal and crude prices can offer some solace: We believe that high competitive intensity will subside once the inflationary pressures recede and hence reversal of higher coal and crude prices is important.</li></ul></div></div></div></div></div></div></div></div></div></div></div></div><p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>

Summary of change in recommendation of our coverage universe: We have cut targets prices for our covered companies by 10-30% on account of reduced earnings expectations as well as lower target multiples.Near term earnings outlook weak and positive triggers missing: We expect earnings to remain weak for the cement sector for the next two quarters on account of elevated costs and weak realizations amid a seasonally weak demand period.Reversal in coal and crude prices can offer some solace: We believe that high competitive intensity will subside once the inflationary pressures recede and hence reversal of higher coal and crude prices is important.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Cement Sector - Headwinds Galore; Turning 'neutral' on the Sector

<div><div><div><div><ul><li>Deal contours in brief: Holcim, through an offshore entity, owns 63.11% stake in Ambuja, which in turn owns 50.05% stake in ACC.</li></ul><div><div><div><div><ul><li>Why is Holcim selling its assets in India?: Holcim group had earlier announced its “Strategy 2025”, wherein it had outlined its focus on increasing its share of revenue from the ‘solutions &amp; products’ business.</li></ul><div><div><div><div><ul><li>How Adani pipped other bidders: Given the strong brands, pan-India network and large capacities, ACC- Ambuja assets were sought by multiple stakeholders.</li></ul></div></div></div></div></div></div></div></div></div></div></div></div><p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>

Deal contours in brief: Holcim, through an offshore entity, owns 63.11% stake in Ambuja, which in turn owns 50.05% stake in ACC.Why is Holcim selling its assets in India?: Holcim group had earlier announced its “Strategy 2025”, wherein it had outlined its focus on increasing its share of revenue from the ‘solutions &amp; products’ business.How Adani pipped other bidders: Given the strong brands, pan-India network and large capacities, ACC- Ambuja assets were sought by multiple stakeholders.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Cement Sector - Landmark Deal – New Chapter Unfolds in Cement Industry

Equity Bottom-Up

<div><div><div><div><ul><li>1QCY22 result highlights: For 1QCY22, volume increased by 3.5% YoY to 7.5mn mt (including clinker) whereas realization/mt increased by 0.5% QoQ to Rs5,241 (lower than our estimate).</li></ul><div><div><ul><li>Capex plans reiterated: The company is on track to commission 1.5mn mt grinding unit at Ropar (Punjab) in CY23.</li></ul><div><div><div><div><ul><li>Volume from new capex likely to kick in: The 3mn mt clinker plant at Marwar Mundwa (Rajasthan) was commissioned in Sept’21 and the 1.8mn mt grinding unit is likely to be commissioned very soon at the same location.</li></ul></div></div></div></div></div></div></div></div></div></div><p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>

1QCY22 result highlights: For 1QCY22, volume increased by 3.5% YoY to 7.5mn mt (including clinker) whereas realization/mt increased by 0.5% QoQ to Rs5,241 (lower than our estimate).Capex plans reiterated: The company is on track to commission 1.5mn mt grinding unit at Ropar (Punjab) in CY23.Volume from new capex likely to kick in: The 3mn mt clinker plant at Marwar Mundwa (Rajasthan) was commissioned in Sept’21 and the 1.8mn mt grinding unit is likely to be commissioned very soon at the same location.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Ambuja Cements Ltd - Lower Costs Drive Sharp EBITDA Beat

External broker reports(aggregated public sources), Axis Direct

Axis Direct

Axis Direct is the flagship brand under Axis Securities Limited, a subsidiary of Axis Bank in India. 

Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

<ul>
<li>ACL reported encouraging Volume/Revenue growth of 3%/8% YoY but witnessed notable EBITDA/APAT de-growth of 19%/25% respectively YoY in Q1CY22</li>
<li>We maintain our BUY rating on the stock with a revised TP of Rs 4,350/share (which includes Rs 275/share for the company’s stake in PMAG) as we value the stock at 17x its FY24E EPS</li>
<li>TP implies an upside potential of 13.5% from the CMP.</li>
</ul>
<p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>


ACL reported encouraging Volume/Revenue growth of 3%/8% YoY but witnessed notable EBITDA/APAT de-growth of 19%/25% respectively YoY in Q1CY22
We maintain our BUY rating on the stock with a revised TP of Rs 4,350/share (which includes Rs 275/share for the company’s stake in PMAG) as we value the stock at 17x its FY24E EPS
TP implies an upside potential of 13.5% from the CMP.

Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Ambuja Cements: Inline Result; Capacity Expansion on Track

India

Ambuja Cements Limited manufactures cement in India. The Company owns specially designed ships and terminals for bulk transportation of its products. Ambuja Cement sells most of its products domestically, but also has a subsidiary that markets the Group's items in Sri Lanka.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Ambuja Cements (ACEM IN)

Cement Sector - Elevated Energy Costs to Weigh on Margins

1QFY23 earnings for the cement sector will be muted as we expect margin pressure to continue in the near term due to higher operating costs,...

Nirmal Bang

Cement Sector - Headwinds Galore; Turning 'neutral' on the Sector

We are turning ‘neutral’ on the cement sector as we believe that there are multiple headwinds, which will inhibit earnings growth and in turn lead...

Nirmal Bang

Cement Sector - Landmark Deal – New Chapter Unfolds in Cement Industry

Adani group has sealed the deal to acquire Ambuja and ACC from Holcim in one of the biggest M&A deals in the Indian cement industry.

Nirmal Bang

Ambuja Cements Ltd - Lower Costs Drive Sharp EBITDA Beat

Ambuja Cement (ACEM) reported extremely good set of results for 1QCY22, with EBITDA of Rs7.9bn, 22% ahead of our estimate, largely driven by lower...

Nirmal Bang

Ambuja Cements: Inline Result; Capacity Expansion on Track

We maintain our BUY rating on the stock with a revised TP of Rs 4,350/share (which includes Rs 275/share for the company’s stake in PMAG) as we...

Axis Direct

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)