JK Cement Stock 5% Upa, Brokerages Set ₹7,200 Target!

INDUSTRIAL-GOODSSERVICES
Whalesbook Logo
AuthorRiya Kapoor|Published at:
JK Cement Stock 5% Upa, Brokerages Set ₹7,200 Target!
Overview

JK Cement shares rallied nearly 5.4% Monday, hitting an intraday high of ₹6,100, driven by robust volume growth and positive sentiment. Multiple brokerages, including Choice Institutional Equities, Elara Capital, and Motilal Oswal, reiterated 'Buy' or 'Accumulate' ratings, citing strong operational performance, capacity expansion, and favorable demand trends.

JK Cement ka stock Monday ko lagbhag 5.36% badh gaya, ₹6,100 ke intraday high tak pahunch gaya. Yeh rally aise time mein hui jab broad market neeche jaa raha tha, jo cement maker ki future prospects par investor confidence dikhata hai. Yeh selective buying is ummeed ko badhava deti hai ki aage earnings mein achha surge aa sakta hai.

Choice Institutional Equities ne JK Cement par 'Buy' rating maintain ki hai aur ₹7,200 ka target price set kiya hai. Brokerage ne sector ke liye upcoming positive trends bataye hain, jaise March quarter aur FY27 tak demand aur pricing mein sudhar. Iske investment thesis ka ek bada reason JK Cement ka aggressive capacity expansion hai, jiska aim FY27 end tak 36 million tonnes annual production karna hai (currently around 28.7 million tonnes in Dec 2025). Green power adoption aur disciplined leverage strategy (net debt to EBITDA below 2x) se cost efficiencies par focus bhi outlook ko support karta hai. Choice ko expect hai ki EBITDA FY25-28E mein 20.1% CAGR se grow karega.

Elara Capital ne ₹6,249 ke target ke saath 'Accumulate' rating rakhi hai. Firm ne JK Cement ke Q3 FY26 ke EBITDA ko ₹540 crore ke aas paas bataya, jo expected volumes se zyada tha. Company Central India mein, khaas kar non-trade segment mein, apna market share badha rahi hai. Kam power aur fuel costs, saath hi operating leverage benefits ne earnings ko boost diya hai. Elara ne JK Cement ke UAE operations mein bhi recovery ka sanket diya hai.

Motilal Oswal ne ₹6,685 ke target ke saath 'Buy' recommendation ko reiterate kiya hai. Brokerage ne teesre quarter mein industry ki strong demand dekhi, jismein plant utilization rates bhi high the. Motilal Oswal ko cement demand mein 6-7% YoY growth Q4FY26 mein aur 7-8% Q1FY27 mein expect hai, jo improving pricing dynamics se support hoga. Non-trade cement prices mein ₹15-20 per bag ka increase, trade prices ke saath gap ko kam kar raha hai, jisse margin pressure kam hone ki ummeed hai.

Disclaimer:This content is for educational and informational purposes only and does not constitute investment, financial, or trading advice, nor a recommendation to buy or sell any securities. Readers should consult a SEBI-registered advisor before making investment decisions, as markets involve risk and past performance does not guarantee future results. The publisher and authors accept no liability for any losses. Some content may be AI-generated and may contain errors; accuracy and completeness are not guaranteed. Views expressed do not reflect the publication’s editorial stance.