Star Cement Ltd
NSE: STARCEMENT BSE: 540575
â‚ą171.54
+1.18 (0.69%)
Fri, 23 Oct 2026, 06:01 am
Market Cap (in Cr)6885.21
PE Ratio18.75
Dividend1.17
Non-Energy Minerals
Construction Materials
24.5KStar Cement Analysis
dividend
- Dividends after 3 years are expected to be well covered by earnings (4.3x coverage).
- Star Cement's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.75%).
- Star Cement has only been paying a dividend for 2 years, and since then there has been no growth.
- Star Cement has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
- Star Cement's dividend is below the markets top 25% of dividend payers in India (3.09%).
future
- Performance (ROE) is expected to be above the current IN Basic Materials industry average.
- Star Cement's revenue growth is expected to exceed the India market average.
- Cash flow for Star Cement is expected to decrease over the next 2 years.
- Star Cement's earnings are expected to grow by 0.8% yearly, however this is not considered high growth (20% yearly).
- Star Cement's earnings growth is positive but not above the India market average.
- Star Cement's earnings growth is positive but not above the low risk savings rate of 7.2%.
- Star Cement's earnings are expected to decrease over the next year.
- Star Cement's net income is expected to increase but not above the 50% threshold in 2 years time.
- Star Cement is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
- A decline in Star Cement's performance (ROE) is expected over the next 3 years.
- Star Cement's revenue is expected to increase but not above the 50% threshold in 2 years time.
- Star Cement's revenue is expected to grow by 7.3% yearly, however this is not considered high growth (20% yearly).
health
- Star Cement is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Star Cement is profitable, therefore cash runway is not a concern.
- Star Cement is profitable, therefore cash runway is not a concern.
- Debt is well covered by operating cash flow (2363.4%, greater than 20% of total debt).
- Debt is covered by short term assets, assets are 47.9x debt.
- Star Cement'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 (94.9% vs 1.2% today).
- Interest payments on debt are well covered by earnings (EBIT is 92.7x coverage).
- Star Cement's level of debt (1.2%) compared to net worth is satisfactory (less than 40%).
- High level of physical assets or inventory.
management
- The tenure for the Star Cement board of directors is about average.
- Sanjay's remuneration is lower than average for companies of similar size in India.
- Sanjay's compensation has been consistent with company performance over the past year, both up more than 20%.
- More shares have been bought than sold by Star Cement individual insiders in the past 3 months.
- The tenure for the Star Cement management team is about average.
past
- Star Cement has delivered over 20% year on year earnings growth in the past 5 years.
- Star Cement used its assets more efficiently than the IN Basic Materials industry average last year based on Return on Assets.
- Star Cement has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
- Star Cement's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Star Cement has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Star Cement's 1-year earnings growth is negative, it can't be compared to the IN Basic Materials industry average.
value
- BSE:540575 is up 19.9% outperforming the Basic Materials industry which returned 10.9% over the past month.
- BSE:540575 is up 19.9% outperforming the market in India which returned 9% over the past month.
- Star Cement's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
- Star Cement's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
- Star Cement is overvalued based on assets compared to the IN Basic Materials industry average.
- Star Cement is poor value based on expected growth next year.
- Star Cement is overvalued based on earnings compared to the IN Basic Materials industry average.
- Star Cement is overvalued based on earnings compared to the India market.
- 540575 underperformed the Basic Materials industry which returned -16% over the past year.
- 540575 underperformed the Market in India which returned -14.8% over the past year.
