Sharekhan has given Buy recommendation for The Ramco Cements with a target price of Rs. 1150 in its research report issued on Feb 24, 2021
Sharekhan’s research report on The Ramco Cements
Ramco is expected to benefit from the push of the Kerala and Tamil Nadu state governments towards infrastructure and housing sectors as highlighted in their respective state budget 2021-22. Cement prices in Southern region maintain healthy pricing discipline during January-February 2021 which may led to healthy operational performance in Q4. Its ongoing expansion plans provide ample room to capture future growth potential. The company’s balance sheet is expected to remain strong despite its aggressive expansion plans.
Outlook
We maintain Buy on The Ramco Cements (Ramco) with a revised PT of Rs. 1150.