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Cement stocks up after Citi upgrade
For the quarter ended March 2012, project announcements stood at Rs 2,48,300 crore, a drop of 28 per cent over the corresponding period last year.
13 Apr 2012, 01:09 PM IST 
Toyota Etios at Auto Expo 2012
Shares in cement producers rose after Citigroup upgraded Ambuja Cements, ACC and UltraTech Cement to ‘buy’ from ‘sell’, citing better demand-supply equation and as new plants are more difficult to build.
The US bank said it saw a potential for 20-40% rise in the share prices of the three companies on the back of rising profits.
"The demand-supply gap should narrow in favour of producers," it said in a report to clients. "We feel the worst is over."
At noon, shares in Ambuja Cements were up 2.28%, ACC rose 1.05% and UltraTech was up 0.41%.
Citigroup said likely government intervention to control prices and the companies' inability to pass on cost increases were risks to its forecast.