Cement Stocks
Outlook for the week – 08 to 12.09.2014
( www.rupeedesk.in )
We expect the positive trend in
shares of major cement companies to continue next week,
barring Jaiprakash Associates
which is likely to bear the brunt of negative market news.
The cement production rose by
16.5% year on year during July--the strongest growth in
the past 32 months--but
decelerated in August as monsoon picked up exerting pricing
pressure. Prices corrected by
2-5% month-on-month in north, central, and west India.
While factors like low base, delayed monsoon etc. have benefitted, the industry is
While factors like low base, delayed monsoon etc. have benefitted, the industry is
surprised with the trend so far
as the infra projects are yet to benefit from cement demand in a meaningful manner.