Ultratech Cement Shares Climb on 7-8% Demand Growth Outlook

26 Sep 2024 , 03:41 PM

Ultratech Cement’s shares gained attention on September 26 after management indicated a potential turnaround in the cement industry. Cement demand is expected to rise by 7-8% in the current financial year, driven by increased construction activities across India.

To accommodate growing demand, the cement industry plans to add 35-40 million tonnes of capacity in the next fiscal year, with 60-65% concentrated in the eastern and southern regions. The anticipated surge in demand will likely elevate the industry’s capacity utilization to 72% in FY25, up from 68% in FY23.

At the time of writing on September 26, 2024 at 3:39 pm, shares of Ultratech Cement are trading at ₹12,060 which is a 2.06% gain than the previous close. Over the past year, Ultratech’s stock has delivered a remarkable 44% return, outperforming the benchmark Nifty 50, which recorded a 32% gain during the same period.

Ultratech’s positive projections and strategic expansions position it favorably for anticipated growth in the cement market.