Please refer to important disclosures at the end of this report
J.K. Cement Limited (JKCE) is an India-based holding company. The Company is
engaged in manufacturing cement and cement products. Its product portfolio
includes grey cement, white cement and wall putty. The white/putty business
continued to deliver strong profitability led by strong demand driven sales uptick
and lower energy costs. Management remains bullish on grey cement demand
uptick during FY17 led by surge in government-backed projects and low interest
cost. Over the next 10 years, the company expects 8-9% demand CAGR in India.
JKCE is the second largest wall putty manufacturer in India and continues to
deliver strong sales growth led by strong demand in the market. JKCE has
strong promoter holding of 67% which has increased over the last several years,
indicating promoters’ strong confidence in their business. It seems that one can
see a rebound in JKCE’s grey cement profitability and decent growth in its
white/putty profitability. Strong operating cash flow along with lower Cape
should lead to moderation in its Net Debt to equity in coming years. Hence Buy.
CMP `875
Stock Info
Beta 0.8
Bloomberg Code
Shareholding Pattern (%)
Promoters 67.0
MF / Banks / Indian Fls 15.5
FII / NRIs / OCBs 11.5
Indian Public / Others 5.9
Abs. (%) 3m 1yr 3yr
Sensex 3.2 7.7 41.3
J K Cement 31.3 36.4 361.3
Nifty 8,611
Reuters Code JKCE.BO
Face Value (
BSE Sensex 27,866
52 Week High / Low 885/425
Avg. Daily Volume 4,465
Market Cap (
cr) 6,116
Vaibhav Agrawal
022 – 3935 7800 Ext: 6808
J K Cement
Others | Cemen
October 03, 2016
J K Cement | Cement
October 03, 2016
Research Team Tel: 022 - 39357800 E-mail: [email protected] Website:
Angel Broking Private Limited (hereinafter referred to as “Angel”) is a registered Member of National Stock Exchange of India Limited,
Bombay Stock Exchange Limited and Metropolitan Stock Exchange Limited. It is also registered as a Depository Participant with CDSL
and Portfolio Manager with SEBI. It also has registration with AMFI as a Mutual Fund Distributor. Angel Broking Private Limited is a
registered entity with SEBI for Research Analyst in terms of SEBI (Research Analyst) Regulations, 2014 vide registration number
INH000000164. Angel or its associates has not been debarred/ suspended by SEBI or any other regulatory authority for accessing
/dealing in securities Market. Angel or its associates/analyst has not received any compensation / managed or co-managed public
offering of securities of the company covered by Analyst during the past twelve months.
This document is solely for the personal information of the recipient, and must not be singularly used as the basis of any investment
decision. Nothing in this document should be construed as investment or financial advice. Each recipient of this document should
make such investigations as they deem necessary to arrive at an independent evaluation of an investment in the securities of the
companies referred to in this document (including the merits and risks involved), and should consult their own advisors to determine
the merits and risks of such an investment.
Reports based on technical and derivative analysis center on studying charts of a stock's price movement, outstanding positions and
trading volume, as opposed to focusing on a company's fundamentals and, as such, may not match with a report on a company's
fundamentals. Investors are advised to refer the Fundamental and Technical Research Reports available on our website to evaluate the
contrary view, if any.
The information in this document has been printed on the basis of publicly available information, internal data and other reliable
sources believed to be true, but we do not represent that it is accurate or complete and it should not be relied on as such, as this
document is for general guidance only. Angel Broking Pvt. Limited or any of its affiliates/ group companies shall not be in any way
responsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report.
Angel Broking Pvt. Limited has not independently verified all the information contained within this document. Accordingly, we cannot
testify, nor make any representation or warranty, express or implied, to the accuracy, contents or data contained within this document.
While Angel Broking Pvt. Limited endeavors to update on a reasonable basis the information discussed in this material, there may be
regulatory, compliance, or other reasons that prevent us from doing so.
This document is being supplied to you solely for your information, and its contents, information or data may not be reproduced,
redistributed or passed on, directly or indirectly.
Neither Angel Broking Pvt. Limited, nor its directors, employees or affiliates shall be liable for any loss or damage that may arise from
or in connection with the use of this information.
Disclosure of Interest Statement J K Cement
1. Financial interest of research analyst or Angel or his Associate or his relative No
2. Ownership of 1% or more of the stock by research analyst or Angel or associates or relatives No
3. Served as an officer, director or employee of the company covered under Research No
4. Broking relationship with company covered under Research No
Ratings (Based on expected returns Buy (> 15%) Accumulate (5% to 15%) Neutral (-5 to 5%)