UltraTech Cement Ltd’s fundamental analysis highlights key financial metrics including market capitalisation of ₹329,044.69 crore, PE ratio of 46.97, debt-to-equity ratio of 18.92, and return on equity of 12.22%. These figures reflect the company’s financial health and current market valuation.
Content:
- UltraTech Cement Ltd Overview
- UltraTech Cement Financial Results
- UltraTech Cement Financial Analysis
- UltraTech Cement Company Metrics
- UltraTech Cement Stock Performance
- UltraTech Cement Peer Comparison
- UltraTech Cement Shareholding Pattern
- UltraTech Cement History
- How To Invest In UltraTech Cement Ltd Share?
- UltraTech Cement Limited Fundamental Analysis – FAQs
UltraTech Cement Ltd Overview
UltraTech Cement Ltd is India’s largest cement manufacturer. It operates in the construction materials sector, specializing in the production and sale of cement and cement-related products.
The company has a market capitalisation of ₹329,044.69 crore and is listed on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). Currently, the stock is trading 5.79% below its 52-week high and 42.94% above its 52-week low.
UltraTech Cement Financial Results
UltraTech Cement Ltd saw sales increase from ₹52,599 crore in FY 22 to ₹70,908 crore in FY 24. Expenses rose from ₹41,084 crore to ₹57,940 crore. Operating profit fluctuated, reaching ₹12,969 crore in FY 24. Net profit decreased from ₹7,334 crore in FY 22 to ₹7,004 crore in FY 24.
1. Revenue Trend: Sales rose from ₹52,599 crore in FY 22 to ₹63,240 crore in FY 23, and further to ₹70,908 crore in FY 24.
2. Equity and Liabilities: Interest expenses slightly increased from ₹945 crore in FY 22 to ₹968 crore in FY 24. Depreciation rose from ₹2,715 crore to ₹3,145 crore over the same period.
3. Profitability: Operating Profit Margin (OPM) decreased from 22% in FY 22 to 18% in FY 24. EBITDA saw a rise from ₹12,022 crore in FY 22 to ₹13,586 crore in FY 24.
4. Earnings per Share (EPS): EPS decreased from ₹254.64 in FY 22 to ₹243.05 in FY 24, indicating a slight decline in profitability per share.
5. Return on Net Worth (RoNW): Although specific RoNW figures aren’t provided, the net profit decrease from ₹7,334 crore in FY 22 to ₹7,004 crore in FY 24 suggests a negative impact on RoNW.
6. Financial Position: The overall financial position shows growth in sales and operating profit, but a decline in net profit and EPS, indicating challenges in maintaining profitability.
UltraTech Cement Financial Analysis
| FY 24 | FY 23 | FY 22 | |
| Sales Insight-icon | 70,908 | 63,240 | 52,599 |
| Expenses | 57,940 | 52,620 | 41,084 |
| Operating Profit | 12,969 | 10,620 | 11,514 |
| OPM % | 18 | 17 | 22 |
| Other Income | 545 | 503 | 508 |
| EBITDA | 13,586 | 11,123 | 12,022 |
| Interest | 968 | 823 | 945 |
| Depreciation | 3,145 | 2,888 | 2,715 |
| Profit Before Tax | 9,400 | 7,412 | 8,363 |
| Tax % | 26 | 32 | 14 |
| Net Profit | 7,004 | 5,073 | 7,334 |
| EPS | 243.05 | 175.63 | 254.64 |
| Dividend Payout % | 28.8 | 21.64 | 14.92 |
* Consolidated Figures in Rs. Crores
UltraTech Cement Company Metrics
UltraTech Cement’s market cap is ₹329,044.69 crore with a book value of ₹2086 per share. The face value per share is ₹10. Total debt is ₹11,402.95 crore, ROE is 12.22%, and quarterly EBITDA is ₹3,240.41 crore. The dividend yield stands at 0.61%.
Market Capitalization: Market Capitalization represents the total market value of UltraTech Cement’s outstanding shares, amounting to ₹329,044.69 crore.
Book Value: The book value per share of UltraTech Cement is ₹2086 indicating the value of the company’s net assets divided by its shares outstanding.
Face Value: The face value of UltraTech Cement’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 0.74 measures how efficiently UltraTech Cement uses its assets to generate sales revenue or sales income.
Total Debt: The Total Debt of UltraTech Cement stands at ₹11,402.95 crore, representing the total amount of money the company owes to creditors.
Return on Equity (ROE): The ROE of 12.22% measures UltraTech Cement’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 UltraTech Cement is ₹3,240.41 crore, indicating the company’s operating performance.
Dividend Yield: The dividend yield of 0.61% shows the annual dividend payment as a percentage of UltraTech Cement’s current share price, indicating the return on investment from dividends alone.
UltraTech Cement Stock Performance
UltraTech Cement Ltd delivered a return on investment of 39.0% in 1 year, 14.8% over 3 years, and 22.0% over 5 years, showcasing strong growth potential and consistent performance for investors across various time horizons.
| Period | Return on Investment (%) |
| 1 Year | 39.0 |
| 3 Years | 14.8 |
| 5 Years | 22.0 |
Example: If an investor had invested ₹1,000 in UltraTech Cement’s stock:
After 1 year, it would be worth ₹1,390.
After 3 years, it would be worth ₹1,148.
After 5 years, it would be worth ₹1,220.
UltraTech Cement Peer Comparison
UltraTech Cement Ltd, with a current market price of ₹11,300 and a market cap of ₹3,26,238 crore, has shown a 1-year return of 39%. Compared to peers like Ambuja Cements (38%), Shree Cement (0.77%), and ACC (20.37%), UltraTech’s performance and ROE of 12% stand strong.
| Name | CMP Rs. | Mar Cap Rs.Cr. | P/E | ROE % | EPS 12M Rs. | 1Yr return % | ROCE % | Div Yld % | 6mth return % |
| UltraTech Cem. | 11,300 | 3,26,238 | 46 | 12 | 243 | 39 | 15.12 | 0.62 | 1.91 |
| Ambuja Cements | 632 | 1,55,669 | 49 | 10 | 16 | 38 | 14.05 | 0.32 | 5.12 |
| Shree Cement | 24,297 | 87,664 | 42 | 12 | 583 | 0.77 | 14.76 | 0.43 | -3.97 |
| ACC | 2,352 | 44,159 | 22 | 14 | 118.84 | 20.37 | 17.27 | 0.32 | -3.3 |
| J K Cements | 4,240 | 32,763 | 38 | 16 | 112 | 30 | 15.80 | 0.35 | 13.42 |
| Nuvoco Vistas | 334 | 11,931 | 88 | 2 | 4 | -4.54 | 5.42 | – | 8.06 |
| Birla Corpn. | 1,365 | 10,513 | 27 | 7 | 51 | 19.41 | 9.01 | 0.73 |
UltraTech Cement Shareholding Pattern
UltraTech Cement Ltd has shown stability in its shareholding patterns. As of June 2024, promoters held 59.99%, down slightly from 60% in December 2023. FII holdings were at 18.15%, while DIIs held at 14.44%. Retail and other investors accounted for 7.43% of the shares.
| All values in % | Jun-24 | Mar-24 | Dec-23 |
| Promoters | 59.99 | 59.95 | 60 |
| FII | 18.15 | 17.74 | 18.2 |
| DII | 14.44 | 14.75 | 14.3 |
| Retail & others | 7.43 | 7.53 | 7.56 |
UltraTech Cement History
UltraTech Cement Limited is a leading Indian cement manufacturer, engaged in the production and sale of cement and cement-related products. The company offers a diverse range of products including Ordinary Portland Cement (OPC), Portland Pozzolana Cement (PPC), Portland Slag Cement (PSC), and Composite Cement (CC).
In addition to its core cement business, UltraTech has expanded into the Ready-Mix Concrete (RMC) segment, providing solutions for construction projects. The company’s product portfolio also includes building products under the UltraTech brand, such as tile adhesives, repair products, waterproofing solutions, and lightweight autoclaved aerated concrete blocks.
UltraTech Cement has developed specialized products to cater to various construction needs. These include the Birla White Cement range and White Topping Concrete. The company also offers innovative solutions like TILEFIXO for tile adhesives and products for specific applications such as industrial grout for machine foundations and high-performance safety vaults.
How To Invest In UltraTech Cement Ltd Share?
To invest in UltraTech Cement 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 UltraTech Cement 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.
UltraTech Cement Limited Fundamental Analysis – FAQs
Fundamental analysis of UltraTech Cement Ltd examines key financial metrics: Market Cap (₹329,044.69 crore), PE Ratio (46.97), Debt to Equity (18.92), and Return on Equity (12.22%). These indicators provide insights into the company’s financial health, market valuation and overall performance in the cement industry.
The market capitalization of UltraTech Cement Ltd is ₹329,044.69 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.
UltraTech Cement Limited is India’s largest cement manufacturer. It specializes in the production and sale of various types of cement, ready-mix concrete and building products. The company offers a wide range of solutions for construction needs across different segments.
UltraTech Cement is a public limited company, part of the Aditya Birla Group. While the Aditya Birla Group, through its holding companies, owns a significant stake, it is a listed company with multiple shareholders including institutional investors and public shareholders.
The main shareholders of UltraTech Cement Ltd typically include the Aditya Birla Group (promoter entities) as major stakeholders, 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.
UltraTech Cement operates in the construction materials industry, specifically in the cement manufacturing sector. It is a key player in the production and distribution of cement, ready-mix concrete, and other building materials essential for construction and infrastructure development.
To invest in UltraTech Cement 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 UltraTech Cement is 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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