DINESH

JK Lakshmi Cement

Latest CMP 492
Today's Change ▲ 0.44%
52-Week High / Low 863 | 490
Price Date: 30-Sep-2026
Recommendation Sell
Target Price 698
Expected Upside 19.1%
Forecast Horizon 2 Years
Historical CAGR 12.6%
1,000 Invested 01-Oct-2006
Today's Value 10,801
Investment Period 20 Years

Stock Snapshot

Post Results Return
-6.8%
Mild Negative Re-rating
1-Year Target Price
602
2-Year Target Price
698
52-Week High / Low
863 / 490
20-Day Return
-4.3%
Market Cap (Cr.)
6,113
Current PE
12.3
P/BV Ratio
1.6
Dividend Yield
0.7%
Industry PE
24.1

Price Performance

Vista Outlook

Basis of our Recommendation

JK Lakshmi Cement is currently navigating a pivotal growth phase, driven by management's focus on capacity expansion and operational efficiency. The company has successfully increased its total capacity to 16.5 MTPA, with a target of 30 MTPA by FY30, supported by strategic investments in renewable energy and digital transformation. However, management remains cautious due to external cost pressures from volatile fuel prices and inflation in raw materials, which are expected to impact margins in the near term. Vista's financial outlook reflects stable revenue growth consistent with historical performance, while margins are anticipated to remain broadly stable despite slight compression. The improving pricing power within the cement industry, alongside stable demand from infrastructure projects, supports Vista's forecast of a 24.57% expected upside. Over the next 12-24 months, key opportunities include successful execution of expansion projects and enhanced operational efficiencies, while watchpoints include potential margin pressures from rising costs and competitive pricing dynamics. Overall, JK Lakshmi Cement's long-term growth narrative remains intact, but vigilance is warranted as the company balances growth ambitions with cost management strategies

👍 Why We Like This Stock

  • Successful capacity expansion to 16.5 MTPA with a target of 30 MTPA by FY30 supports long-term growth
  • Management's focus on renewable energy and operational efficiencies aims to mitigate rising costs
  • Improving pricing power in the cement industry enhances profitability potential

⚠ Things To Watch Out For

  • Volatile fuel prices and inflationary pressures on raw materials are expected to weigh on margins
  • Competitive pricing dynamics may challenge the company's ability to pass on cost increases
  • Seasonal demand softness and planned maintenance could impact near-term performance

Key Parameters

Balance Sheet Strength
Stable Financial Structure
Market Share
Stable
Industry Outlook
Improving
Analyst View
Strong Buy
Dividend History
Consistent
FII Holdings
Reducing

Financial Snapshot

View Technicals Analysis →
Actuals Forecast
FY24 FY25 FY26 FY27 FY28
Revenue (Cr.) 6,788 6,193 6,763 7,267 7,945
Profit Before Tax (Cr.) 708 423 578 565 635
PBT Margin 10.4% 6.8% 8.5% 7.8% 8.0%
Net Profit (Cr.) 490 397 515 507 569
Earnings Per Share 39.5 32.1 41.4 40.7 45.8

Analyst Recommendations

Broker Recommendation Target Price Date
Axis Securities ▲ Buy 730 07-Aug-2026
Motilal Oswal ▲ Buy 700 07-Aug-2026
Prabhudas Liladhar ▲ Buy 714 07-Aug-2026
BOB Capital Markets ▼ Sell 571 22-May-2026
Choice Equity ▲ Buy 855 22-May-2026
Elara Capital ► Accumulate 734 22-May-2026
HDFC Securities ▲ Buy 780 22-May-2026
Consensus Recommendation ▲ Strong Buy
Consensus Target 714
Coverage 7 Analysts
Analysts' Viewpoint
JK Lakshmi Cement's focus on achieving a 30mtpa capacity by FY30 and enhancing operational efficiencies through logistics optimization and renewable energy adoption supports analysts' positive outlook. The company's strategic initiatives, such as geo-mix optimization and non-trade segment focus, are expected to mitigate cost pressures. However, near-term challenges include elevated fuel and packaging costs, seasonal demand slowdowns, and execution risks associated with its aggressive capex plans. Successful commissioning of the Durg expansion and price hikes are key future catalysts.

Company Overview

Show Company Profile

JK Lakshmi Cement Limited manufactures and supplies cement in India. The company provides an array of cement products, including portland cement, portland pozzolana cement, portland slag cement and composite cement; and value-added products and services, including ready-mixed concrete, gypsum plaster, wall putty, primer, fly ash blocks, autoclaved aerated blocks, and adhesives. The company offers its products under the JK Lakshmi Cement, Platinum Heavy Duty Cement, JK Lakshmi PRO+ Cement, Platinum Supremo Cement, JK Lakshmi Classic Gypsum Plaster, JK Lakshmi Classic Wall Putty, JK Lakshmi Tile Adhesives, JK Lakshmi Green+ Cement, Platinum Heavy Duty Cement, JK Lakshmi White Cement, JK Lakshmi Concrete, JK Lakshmi Mortar, JK Lakshmi Wall Primer, and JK Lakshmi Fly-Ash Block brand names. It serves home builders, masons and contractors, architects, and engineers channel partners. The company was incorporated in 1938 and is based in New Delhi, India.