We like the co for its industry leading op margin and return ratios, driven by leadership presence (rising market share) in the lucrative NE region. STRCEM is adding 2mn MT split GU in Siliguri (by Dec'19, Rs 4bn capex), and 0.2mn MT clinker in Meghalaya (by Sep'19). STRCEM will also add 2mn MT clinker in Meghalaya by FY22 (brown-field with 13 MW WHRS, Rs 8bn capex). All these expansions can be done through internal accruals in our view. We thus ascribe STRCEM premium valuations, valuing it 10x FY21E EBITDA (implies EV/MT of USD184). We recommend BUY on Star Cement (STRCEM) with a TP of Rs 150 (10x FY21E EBITDA). We ascribe premium valuations to the stock owing to STRCEMs sustainable leadership in the lucrative NE region, which in turn drives STRCEMs highest unitary EBITDA (almost 2x industry!) and return ratios in the industry.