Construction Materials share price target

On June 2012, the Competition Commission of India (CCI) had imposed a penalty on 11 cement companies for alleged cartelisation during May 2009-March 2011. However, the penalty imposed by CCI was referred back by the Competition Appellate Tribunal (COMPACT) on December 2015. On August 31, 2016, CCI reiterated the observation made in its previous order and re-imposed the penalty of | 6700 crore on 11 cement companies. The penalty imposed is 0.5x of net profit earned in FY10 and FY11. The companies, which would face the penalty are ACC, Ambuja...

In large caps, we prefer Grasim Industries, (BUY, TP Rs 5,237) with its improving standalone business profile, over UltraTech (NEUTRAL, TP Rs 2,973). Sanghi Industries (BUY, TP Rs 83) remains the key mid-cap pick given its improving operational metrics and high scalability.

SRCM better placed to see both growth and RoIC expansion Upcycle parameters only partially sanguine Cement stocks are partially factoring in upcycle dynamics in their valuations. Rising...

Construction & Logistics: 4QFY16E Results Preview

FY17 to be an year of execution recovery underway backed by demand support: Our interactionswithcementmanufacturers,distributors,andchannelpartnersindicatethatthe sectorisrecoveringanddemandseemsrobust,especiallyinnorth,central,andeastIndia....

Third largest and among the fastest growing tile market: India is the 3rd highest producer and consumer of ceramic tiles in the world after China and Brazil accounting for roughly 6.5% of the world production and consumption of tiles. The growth in India is ~1.4x of world average during the period CY09-CY13. The Indian ceramic tiles market size is estimated to have been Rs 172 bn in 2012 and is expected to reach Rs 301 bn by 2016 growing at a CAGR of 15%. India's share in the world market has increased from 5.7% in CY09 to 6.3% in CY13 in production and from 5.8% to 6.5% in consumption. Sanitaryware & Bathroom Fittings market poised for strong growth:...