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Shree Cement shares rise 7%, among top Nifty gainers

Shree Cement shares rise 7%, among top Nifty gainers

Tracking Shree Cement stock today: Shree Cement stock gained 7.04 per cent intraday to Rs 23,179 against the previous close of Rs 21,654 on Nifty. On BSE, Shree Cement shares rose 7 per cent to Rs 23,164 against the previous close of Rs 21,649.

Shree Cement share price:  Shree Cement stock has lost 25.16 per cent in a year and fallen 15.1 per cent in 2022. Total 2,946 shares of the firm changed hands amounting to a turnover of Rs 6.67 crore on BSE. Shree Cement share price: Shree Cement stock has lost 25.16 per cent in a year and fallen 15.1 per cent in 2022. Total 2,946 shares of the firm changed hands amounting to a turnover of Rs 6.67 crore on BSE.

Shares of Shree Cement were the top gainers on Nifty today even as broader market indices were trading in the red. Shree Cement stock gained 7.04 per cent intraday to Rs 23,179 against the  previous close of Rs 21,654 on Nifty. On BSE, the stock rose 7 per cent  to Rs 23,164 against the previous close of Rs 21,649. Market cap of the firm rose to Rs 82,346 crore on BSE. The stock has lost 25.16 per cent in a year and fallen 15.1 per cent in 2022. Total 2,946 shares of the firm changed hands amounting to a turnover of Rs 6.67 crore on BSE.

Shares of UltraTech Cement were also among the top Nifty gainers, rising up to 4 per cent on the 50-stock index. UltraTech Cement stock hit an intra day high of Rs 6,755 against the previous close of Rs 6495.50. On BSE, the stock rose 3.91 per cent intra day to Rs 6,754 against the previous close of Rs 6,499.55.

Meanwhile, the Shree Cement stock seems to have overcome the concerns over its Nifty exclusion from September 30. Shares of Shree Cement were the top losers on Nifty on September 2, falling up to 2.66 per cent to Rs 21,011 against the previous close of Rs 21,586.  Later, the stock closed 2.30 per cent lower at Rs 21,088 in the same session.

ALSO READ: Adani Enterprises shares hit all-time high on Nifty inclusion, Shree Cement in the red

On September 1, NSE said Adani Enterprises would be included in Nifty 50 index, replacing Shree Cement, from September 30.

Emkay Global has assigned a buy call on Shree Cement with a target price of Rs 23,550 against the market price of Rs 21,253.9 at that time. Time period given the brokerage is one year when Shree Cements Ltd price can reach defined target.

According to a report by Kotak Equities, the Indian cement sector will recalibrate on multiple fronts in the next three years. "Record low leverage is driving a step-up in capacity additions at 5.5 per cent CAGR over FY2022-26E. We expect demand, too, to see a 7 per cent CAGR in FY2022-26E after a tepid FY2019-22 and keep utilisation stable. Investments in green energy should continue to reduce costs and carbon emissions. Large players should remain acquisitive and aid in sector consolidation."

Watch Video: Shree Cement's Expansion Plans

Mentioning the cement stocks, the brokerage said, "UltraTech Cement and DALMIA are well-placed on multiple fronts in the long term, while expensive valuations appear unjustified for Shree Cement and The Ramco Cements."