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India Cements Ltd

NSE: INDIACEM BSE: 530005

343.80

(-3.43%)

Sun, 05 Apr 2026, 07:03 am

India Cements Analysis

dividend

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Pros

  • Dividends paid are well covered by earnings (3.3x coverage).
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Cons

  • Dividends per share have fallen over the past 10 years.
  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • India Cements's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.76%).
  • India Cements's dividend is below the markets top 25% of dividend payers in India (3.08%).

health

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Pros

  • India Cements is profitable, therefore cash runway is not a concern.
  • India Cements is profitable, therefore cash runway is not a concern.
  • The level of debt compared to net worth has been reduced over the past 5 years (100.7% vs 58.5% today).
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Cons

  • India Cements's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Debt is not well covered by operating cash flow (9.7%, less than 20% of total debt).
  • Debt is not covered by short term assets, assets are 0.8x debt.
  • India Cements's long term commitments exceed its cash and other short term assets.
  • Interest payments on debt are not well covered by earnings (EBIT is 1.7x annual interest expense, ideally 3x coverage).
  • India Cements's level of debt (58.5%) compared to net worth is high (greater than 40%).
  • High level of physical assets or inventory.

management

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Pros

  • Narayanaswamy's compensation has been consistent with company performance over the past year, both up more than 20%.
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Cons

  • The average tenure for the India Cements board of directors is less than 3 years, this suggests a new board.
  • Narayanaswamy's remuneration is higher than average for companies of similar size in India.

misc

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Pros

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    Cons

    • India Cements is not covered by any analysts.
    • India Cements has significant price volatility in the past 3 months.

    past

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    Pros

    • India Cements's 1-year earnings growth exceeds its 5-year average (176.8% vs 4.7%)
    • India Cements's year on year earnings growth rate has been positive over the past 5 years.
    • India Cements's earnings growth has exceeded the IN Basic Materials industry average in the past year (176.8% vs 17%).
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    Cons

    • India Cements used its assets less efficiently than the IN Basic Materials industry average last year based on Return on Assets.
    • India Cements's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
    • India Cements has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).

    value

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    Pros

    • INDIACEM outperformed the Basic Materials industry which returned -15.5% over the past year.
    • INDIACEM outperformed the Market in India which returned -14.5% over the past year.
    • NSEI:INDIACEM is up 10.2% outperforming the Basic Materials industry which returned 9.2% over the past month.
    • NSEI:INDIACEM is up 10.2% outperforming the market in India which returned 8% over the past month.
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    Cons

    • India Cements's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
    • India Cements's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
    • India Cements is overvalued based on assets compared to the IN Basic Materials industry average.
    • India Cements is overvalued based on earnings compared to the IN Basic Materials industry average.
    • India Cements is overvalued based on earnings compared to the India market.

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    Pocketful Fintech Capital Private Limited (CIN U65999DL2021PTC390548) | The SEBI Registration No. allotted to us is INZ000313732. NSE Member Code: 90326 | BSE Member Code: 6808 | MCX Member Code: 57120 DP | CDSL: 12099800