BSE Code: | NSE Code: | ISIN: | Sector:
Research Report Detail
|Report Date||Call||Price@Call||Target Price
|Current Status||Time Horizon|
|Target Hit|| Long (1Y)
Nirmal Bang downgrades UltraTech Cement to sell
Nirmal Bang has downgraded UltraTech Cement to "sell" from "accumulate" earlier with a target price of Rs 3,532. We believe the risk-return trade-off is completely tilted in favour of risk at the moment. The stock trades at a historically high valuation, especially at a point when the earnings trajectory is likely to hit a bump on account of uncertainty over the large 21.2mnmt acquisition of assets of Jaiprakash Associates. We believe the market is not completely factoring in the possibility of a substantial correction in the profitability matrices like EBITDA/mt and RoCE post completion of JAL assets acquisition.