Cement Stocks Outlook for the week – 13 to 17.04.2015
( www.rupeedesk.in )
Stocks
of major cement companies are seen trading with a positive bias next week due
to
expectations
of strong demand for the product in the coming months with a pickup in infrastructure
projects.
Overall,
the outlook for cement stocks is good though there is some pressure in near
term on these shares. Stocks of cement companies in southern India are better
because of improvement in cement demand and pricing there.
In
north, cement prices are still volatile, although they have improved recently.
Demand for cement still needs to improve there. Some movement may be seen in
cement stocks with major cement maker ACC ltd detailing their Jan-Mar earnings
next week.
ACC
Ltd's earnings are slated to come on Apr 14. We expect movement in its stocks
with the
results.
While we cut earnings estimates for most of the companies under coverage to
factor in weak demand and pricing, we remain positive on the sector on
expectations of demand revival and utilization up-tick.
