External broker reports(aggregated public sources), Topline Securities

Topline Securities

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External broker reports(aggregated public sources)

Equity Bottom-Up

Maple Leaf Cement Factory / Equity Bottom-Up

<ul><li>We reiterate our “buy” stance on Maple Leaf Cement (MLCF) with a revised June 2024 Target Price (TP) of Rs50/share, offering potential upside of 69%.</li><li>We believe MLCF to reap the benefits of (i) improved local demand outlook, (ii) timely expansion, (iii) efficient power and energy mix, (iv) Strong pricing power inspite of low utilization and (v) deleveraging.</li><li>Improved local cement demand outlook: Our industry channel checks suggest that local sales in FY24 are expected to perform better than earlier estimates. Initially, we were expecting flattish local sales in FY24; however, based on 2MFY24 sales numbers and industry feedback, we have revised our local sales assumption from flattish to growth of 5% in FY24. Moreover, we have assumed 7% growth in local sales for FY25 and FY26 amid expectation of economic stability in the country.</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>

We reiterate our “buy” stance on Maple Leaf Cement (MLCF) with a revised June 2024 Target Price (TP) of Rs50/share, offering potential upside of 69%.We believe MLCF to reap the benefits of (i) improved local demand outlook, (ii) timely expansion, (iii) efficient power and energy mix, (iv) Strong pricing power inspite of low utilization and (v) deleveraging.Improved local cement demand outlook: Our industry channel checks suggest that local sales in FY24 are expected to perform better than earlier estimates. Initially, we were expecting flattish local sales in FY24; however, based on 2MFY24 sales numbers and industry feedback, we have revised our local sales assumption from flattish to growth of 5% in FY24. Moreover, we have assumed 7% growth in local sales for FY25 and FY26 amid expectation of economic stability in the country.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.

Maple Leaf Cement Factory

Maple Leaf Cement (MLCF): Reiterate Buy!