JSW Cement
Stock Snapshot
Price Performance
Vista Outlook
View Technicals Analysis →Basis of our Recommendation
JSW Cement's recent strategic initiatives, including the commissioning of its Nagaur Integrated Unit and aggressive capacity expansion plans, position the company favorably for future growth. Management's focus on increasing GGBS market penetration, where it holds an 84% share, aligns with the anticipated infrastructure spending, which is expected to drive cement demand. However, rising input costs due to crude oil price fluctuations and potential interest rate hikes pose significant risks to margins and housing demand. Vista's financial outlook reflects stable revenue growth and margins, supported by these developments, although the balance sheet remains a concern with weak cash conversion. The cement industry is experiencing favorable macro conditions, with government initiatives bolstering infrastructure projects, yet challenges such as regulatory hurdles and environmental concerns persist. Over the next 12-24 months, key opportunities include leveraging government capex and expanding GGBS offerings, while watchpoints include input cost volatility and the impact of interest rates on housing demand
Why We Like This Stock
- Aggressive capacity expansion and strategic entry into North India enhance market presence
- Strong demand for GGBS, projected to grow at a 14-15% CAGR, supports revenue growth
- Government infrastructure spending is expected to act as a demand lifeline for the cement sector
Things To Watch Out For
- Rising input costs from crude oil price increases and rupee depreciation may pressure margins
- Potential interest rate hikes could dampen housing demand, impacting overall cement sales
- Forecasted below-normal monsoon poses risks to rural construction activities
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 6,002 | 5,785 | 6,512 | 7,647 | 8,443 |
| Profit Before Tax (Cr.) | 226 | -43 | 723 | 975 | 1,011 |
| PBT Margin | 3.8% | -0.7% | 1110.3% | 12.7% | 12.0% |
| Net Profit (Cr.) | 149 | -102 | 702 | 731 | 713 |
| Earnings Per Share | 1.3 | -0.4 | 5.5 | 5.1 | 5.3 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| BOB Capital Markets | ▲ Buy | 139 | 06-Apr-2026 |
| Motilal Oswal | ► Neutral | 137 | 04-Jun-2026 |
| Prabhudas Liladhar | ► Hold | 142 | 22-May-2026 |
Company Overview
Show Company Profile
JSW Cement Limited manufactures and sells cement and cement-related products under the JSW Cement brand in India. The company offers Portland slag, ordinary Portland, composite, environment-friendly, Portland pozzolana, and water-repellant cement products. It also provides construction chemicals comprising precision steel grouts, mortars, and waterproofing compounds, as well as tile adhesives, grouts, and cleaners; cementitious materials, including ground granulated blast furnace slag (GGBS) and microfine GGBS; aggregates consisting of screened slag; ready-mix concrete under the JSW Concrete brand; and clinkers. In addition, the company offers concrete laboratory testing services. It sells its products through a network of dealers and sub-dealers, as well as warehouses. The company was incorporated in 2006 and is headquartered in Mumbai, India. JSW Cement Limited is a subsidiary of Adarsh Advisory Services Private Limited.