Ambuja Cements Ltd

NSE: AMBUJACEM BSE: 500425

₹416

(0.17%)

Wed, 17 Jun 2026, 00:38 am

Market Cap (in Cr)102222.26

PE Ratio22.43

Dividend0.48

Non-Energy Minerals

Construction Materials

24.5K

Ambuja Cements Analysis

Pros

Dividends after 3 years are expected to be well covered by earnings (3.9x coverage).

Cons

Unable to calculate sustainability of dividends as Ambuja Cements has not reported any payouts.
Unable to evaluate Ambuja Cements's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
Unable to evaluate Ambuja Cements's dividend against the top 25% market benchmark as the company has not reported any payouts.

Pros

Ambuja Cements's earnings growth is expected to exceed the low risk savings rate of 7.2%.
Ambuja Cements's revenue growth is expected to exceed the India market average.

Cons

Cash flow for Ambuja Cements is expected to decrease over the next 2 years.
Ambuja Cements's earnings are expected to grow by 16.8% yearly, however this is not considered high growth (20% yearly).
Ambuja Cements's earnings growth is positive but not above the India market average.
Ambuja Cements's earnings are expected to decrease over the next year.
Ambuja Cements's earnings are expected to decrease over the next 3 years.
Ambuja Cements's net income is expected to decrease over the next 2 years.
Ambuja Cements is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Performance (ROE) is not expected to exceed the current IN Basic Materials industry average.
A decline in Ambuja Cements's performance (ROE) is expected over the next 3 years.
Ambuja Cements's revenue is expected to increase but not above the 50% threshold in 2 years time.
Ambuja Cements's revenue is expected to grow by 10.4% yearly, however this is not considered high growth (20% yearly).

Pros

Ambuja Cements is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Ambuja Cements is profitable, therefore cash runway is not a concern.
Ambuja Cements is profitable, therefore cash runway is not a concern.
Debt is well covered by operating cash flow (11540.9%, greater than 20% of total debt).
Debt is covered by short term assets, assets are 348.7x debt.
Ambuja Cements's cash and other short term assets cover its long term commitments.
The level of debt compared to net worth has been reduced over the past 5 years (0.3% vs 0.1% today).
Ambuja Cements earns more interest than it pays, coverage of interest payments is not a concern.
Ambuja Cements's level of debt (0.1%) compared to net worth is satisfactory (less than 40%).

Cons

Pros

The tenure for the Ambuja Cements board of directors is about average.
More shares have been bought than sold by Ambuja Cements individual insiders in the past 3 months.
The tenure for the Ambuja Cements management team is about average.

Cons

Pros

Cons

Pros

Ambuja Cements has delivered over 20% year on year earnings growth in the past 5 years.
Ambuja Cements has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).

Cons

Ambuja Cements's 1-year earnings growth is negative, it can't be compared to the 5-year average.
Ambuja Cements used its assets less efficiently than the IN Basic Materials industry average last year based on Return on Assets.
Ambuja Cements has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
Ambuja Cements's 1-year earnings growth is negative, it can't be compared to the IN Basic Materials industry average.

Pros

AMBUJACEM outperformed the Basic Materials industry which returned -15.5% over the past year.
AMBUJACEM outperformed the Market in India which returned -14.5% over the past year.

Cons

Ambuja Cements's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
Ambuja Cements's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
Ambuja Cements is overvalued based on assets compared to the IN Basic Materials industry average.
Ambuja Cements is poor value based on expected growth next year.
Ambuja Cements is overvalued based on earnings compared to the IN Basic Materials industry average.
Ambuja Cements is overvalued based on earnings compared to the India market.
NSEI:AMBUJACEM is up 4.8% underperforming the Basic Materials industry which returned 9.2% over the past month.
NSEI:AMBUJACEM is up 4.8% underperforming the market in India which returned 8% over the past month.