JK Cement's Q1FY17 Revenues/EBITDA of Rs 8.87bn/Rs 1.66bn were in-line with our estimates of Rs 9.04bn/Rs 1.73bn. Blended volume growth at 4.1% YoY and net realisation improvement of 7.1% were in-line with our estimates. Blended EBITDA/t increased significantly by 88% YoY led by better realisation and lower costs. Going ahead, we revise downwards our EBITDA estimates by 2-5% for FY17E/18E to factor in lower realisation. Valuations look fair at 8.7x FY18E EV/EBITDA post the recent run-up in stock. We downgrade the stock to HOLD with revised target price of Rs 840.