CLSA’s Agarwal sees stronger cement demand and backs Ultratech
In short
CLSA analyst Indrajit Agarwal said cement demand is stronger than expected. He expects prices to improve after the monsoon and costs to stay more stable, which could help profits. He also said he prefers large cement companies and named Ultratech Cement as his top pick.
This matters for cement stocks and the wider industry. The report does not say when profits will recover or how much prices may rise.
What the reporting says
CLSA senior research analyst Indrajit Agarwal said cement demand is stronger than expected and that prices should improve after the monsoon, according to publisher-supplied market reporting. He said stabilising costs could support a recovery in profitability and that large-cap cement firms offer better visibility on volume growth and cost savings. The reporting says he favours Ultratech Cement and expects consolidation to continue, but timing and scale are not stated.
Why it matters
CLSA’s Indrajit Agarwal is reported to be more positive on India’s cement market, saying demand is stronger than expected and prices may improve after the monsoon. The note points to stabilising costs, which could help profitability for large-cap producers such as Ultratech Cement. It also says consolidation should continue, though the reporting does not specify deals, amounts, or a timetable.