ACC Ltd’s fundamental analysis highlights key financial metrics including market capitalization of ₹44,704.64 crore, PE ratio of 19.13, debt-to-equity ratio of 2.17, and return on equity of 15.33%. These figures reflect the company’s financial health and current market valuation.
Content:
ACC Ltd Overview
ACC Ltd is a leading cement and building material company in India. It operates in the construction materials sector, primarily manufacturing and marketing cement and ready-mix concrete products.
The company has a market capitalization of ₹44,704.64 crore and is listed on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). Currently, the stock is trading 19.47% below its 52-week high and 32.04% above its 52-week low.
ACC Ltd Financial Results
ACC Ltd has shown fluctuating sales over three fiscal years, reaching ₹19,959 crore in FY 24 after peaking at ₹22,210 crore in FY 23 from ₹16,152 crore in FY 22. The company’s operational efficiency is reflected by an Operating Profit Margin (OPM) of 15% in FY 24, improved from 9% in FY 23 but less than 19% in FY 22.
1. Revenue Trend: Sales in FY 24 decreased slightly to ₹19,959 crore from ₹22,210 crore in FY 23, reflecting a decline compared to the previous year.
2. Equity and Liabilities: The total liabilities increased to ₹23,386 crore in FY 24 from ₹20,544 crore in FY 23, while interest expenses rose to ₹154.58 crore in FY 24 from ₹77.28 crore in FY 23.
3. Profitability: Net profit significantly improved, increasing to ₹2,337 crore in FY 24 from ₹885.21 crore in FY 23, showing a robust recovery in profitability.
4. Earnings per Share (EPS): EPS surged to ₹124.42 in FY 24 from ₹47.13 in FY 23, indicating substantial improvement in shareholder earnings.
5. Return on Net Worth (RoNW): Although not directly provided, the rise in EPS and net profit suggests a strong improvement in RoNW during FY 24.
6. Financial Position: The dividend payout ratio reduced to 6.03% in FY 24 from 19.63% in FY 23, suggesting a more conservative approach to distributing profits.
ACC Ltd Financial Analysis
FY 24 | FY 23 | FY 22 | |
Sales | 19,959 | 22,210 | 16,152 |
Expenses | 16,897 | 20,285 | 13,154 |
Operating Profit | 3,062 | 1,925 | 2,998 |
OPM % | 15 | 9 | 19 |
Other Income | 722 | 180 | 152 |
EBITDA | 3,555 | 2,267 | 3,205 |
Interest | 155 | 77 | 55 |
Depreciation | 883 | 841 | 601 |
Profit Before Tax | 2,746 | 1,186 | 2,495 |
Tax % | 15 | 27 | 26 |
Net Profit | 2,337 | 885 | 1,863 |
EPS | 124.42 | 47.13 | 99.21 |
Dividend Payout % | 6.03 | 19.63 | 58.46 |
* Consolidated Figures in Rs. Crores
ACC Ltd Company Metrics
ACC’s market cap is ₹44,704.64 crore with a book value of ₹870 per share. The face value per share is ₹10. Total debt is ₹354.85 crore, ROE is 15.33%, and quarterly EBITDA is ₹751.74 crore. The dividend yield stands at 0.32%.
Market Capitalization:
Market Capitalization represents the total market value of ACC’s outstanding shares, amounting to ₹44,704.64 crore.
Book Value:
The book value per share of ACC Ltd is ₹870 indicating the value of the company’s net assets divided by its shares outstanding.
Face Value:
The face value of ACC’s shares is ₹10, which is the nominal value of each share as stated on the share certificate.
Asset Turnover Ratio:
The Asset Turnover Ratio of 0.94 measures how efficiently ACC uses its assets to generate sales revenue or sales income.
Total Debt:
The Total Debt of ACC stands at ₹354.85 crore, representing the total amount of money the company owes to creditors.
Return on Equity (ROE):
The ROE of 15.33% measures ACC’s profitability by revealing how much profit the company generates with the money shareholders have invested.
EBITDA (Q):
The quarterly EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) of ACC is ₹751.74 crore, indicating the company’s operating performance.
Dividend Yield:
The dividend yield of 0.32% shows the annual dividend payment as a percentage of ACC’s current share price, indicating the return on investment from dividends alone.
ACC Ltd Stock Performance
Reliance Industries Ltd has achieved a 1-year return on investment of 18.4%, a 3-year return of 0.07%, and a 5-year return of 7.69%. These returns illustrate the company’s performance over various investment periods, showing significant growth in the short-term and moderate long-term growth.
Period | Return on Investment (%) |
1 Year | 18.4 |
3 Years | 0.07 |
5 Years | 7.69 |
Example: If an investor had invested ₹1,000 in the stock:
1 year ago, their investment would be worth ₹1,184.
3 years ago, their investment would have slightly increased to approximately ₹1,000.70.
5 years ago, their investment would have grown to approximately ₹1,076.90.
ACC Ltd Peer Comparison
ACC Ltd stands out in the cement sector with a moderate price-to-earnings ratio of 19.13 and a return on equity of 14%, signifying efficient management. Its one-year return of 18.42% competes well within the industry, backed by a solid dividend yield of 0.32%, reflecting a stable investment option amidst peers.
Name | CMP Rs. | Mar Cap Rs.Cr. | P/E | ROE % | EPS 12M Rs. | 1Yr return % | ROCE % | Div Yld % |
UltraTech Cem. | 11,309 | 3,26,365 | 46 | 12 | 243 | 39 | 15 | 0.62 |
Ambuja Cements | 636 | 1,56,531 | 49 | 10 | 16 | 39 | 14 | 0.31 |
Shree Cement | 24,370 | 87,979 | 42 | 12 | 583 | 1 | 14.76 | 0.43 |
ACC | 2,328 | 43,732 | 19 | 14 | 119 | 18.42 | 17.27 | 0.32 |
J K Cements | 4,234 | 32,807 | 38 | 16 | 112 | 30 | 16 | 0.35 |
Nuvoco Vistas | 335 | 11,977 | 88 | 2 | 4 | -4 | 5.42 | – |
Birla Corpn. | 1,300 | 10,033 | 26 | 7 | 51 | 13 | 9.01 | 0.77 |
Median: 18 Co. | 279 | 8,385 | 37 | 10 | 6 | 25 | 13 | 0.32 |
ACC Limited Shareholding Pattern
ACC Ltd’s shareholding pattern has remained relatively stable from December 2023 to June 2024. Promoters held steady at around 56.69%, Foreign Institutional Investors (FIIs) slightly increased their stake from 6.24% to 6.17%, while Domestic Institutional Investors (DIIs) and Retail & others maintained consistent levels, demonstrating stable investor confidence.
All values in % | Jun-24 | Mar-24 | Dec-23 |
Promoters | 56.69 | 56.69 | 57 |
FII | 5.64 | 6.17 | 6.24 |
DII | 24.82 | 24.64 | 24.14 |
Retail & others | 12.83 | 12.48 | 12.91 |
ACC Limited History
ACC Limited is a prominent cement and building material company in India. The company operates through two main segments: Cement and Ready-Mix Concrete (RMX). ACC’s primary business involves the manufacturing and marketing of various cement products and related building materials.
ACC produces a diverse range of cement varieties to cater to different construction needs. These include Ordinary Portland Cement (OPC), Portland Pozzolana Cement (PPC), Portland Slag Cement (PSC), and composite cement. The company has also established a strong presence in the Ready-Mix Concrete market, offering customized solutions for construction projects.
The company’s product portfolio is divided into gold and silver ranges, each targeting specific market segments. ACC has also ventured into eco-friendly building solutions, offering products like cement bricks, blocks, and roofing solutions for both rural and urban communities. This diversification strategy demonstrates ACC’s commitment to innovation and sustainability in the construction materials sector.
How To Invest In ACC Ltd Share?
To invest in ACC Ltd shares, begin by opening a demat account with Alice Blue. Complete the necessary KYC process and fund your account with the desired investment amount.
Research the company’s fundamentals, financial performance, and market trends before making an investment decision. Use the trading platform provided by the broker to place a buy order for ACC shares at your preferred price.
Monitor your investment regularly and stay informed about company news and market developments. Consider setting up a systematic investment plan (SIP) for long-term investing in the stock if it aligns with your financial goals.
ACC Limited Fundamental Analysis – FAQs
Fundamental analysis of ACC Ltd examines key financial metrics: Market Cap (₹44,704.64 crore), PE Ratio (19.13), Debt to Equity (2.17), and Return on Equity (15.33%). These indicators provide insights into the company’s financial health, market valuation, and overall performance in the cement and building materials sector.
The market capitalization of ACC Ltd is ₹44,704.64 crore. This figure represents the total value of the company’s outstanding shares in the stock market, calculated by multiplying the current share price by the total number of shares outstanding.
ACC Limited is a leading cement and building material company in India. It specializes in manufacturing and marketing various types of cement, ready-mix concrete, and eco-friendly building solutions. The company operates through two main segments: Cement and Ready-Mix Concrete (RMX).
ACC is a subsidiary of Ambuja Cements Ltd, which is part of the Adani Group. While Ambuja Cements holds a majority stake, ACC is a public limited company listed on stock exchanges with multiple shareholders including institutional investors and public shareholders.
The main shareholders of ACC Ltd typically include Ambuja Cements Ltd (the parent company) as the majority stakeholder, along with institutional investors (both domestic and foreign), mutual funds, and public shareholders. For the most current shareholding i
The main shareholders of ACC Ltd typically include Ambuja Cements Ltd (the parent company) as the majority stakeholder, along with institutional investors (both domestic and foreign), mutual funds, and public shareholders. For the most current shareholding information, refer to the latest pattern disclosed by the company.
ACC operates in the cement and building materials industry. It is primarily engaged in the manufacturing and marketing of cement, ready-mix concrete, and related construction materials. The company plays a significant role in India’s infrastructure and construction sector.
To invest in ACC shares, open a demat account with Alice Blue. Complete the KYC process and fund your account. Research the company thoroughly, then use the trading platform to place a buy order for the desired number of shares at your preferred price.
Determining if ACC Limited shares are overvalued or undervalued requires a comprehensive analysis of its financials, growth prospects, industry trends, and market conditions. Investors should consider metrics like the P/E ratio, and PEG ratio, and compare them with industry peers and historical values for a balanced assessment.
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