AMBUJACEM

Fundamental View- Ambuja Cements, a leading cement manufacturer in India, is backed by the Adani Group and maintains a strong financial profile with a market cap of over ₹1.3 lakh crore. As of FY24, it reported revenues exceeding ₹35,000 crore and a net profit of over ₹3,200 crore, supported by stable EBITDA margins of around 17–18%. The company operates with virtually no debt (D/E 0.01), a healthy ROE of ~10–12%, and a fair valuation with a P/E of 31×. It has an installed capacity of 74+ MTPA and is targeting 140 MTPA by 2028 as part of its aggressive expansion plans. With strong pan-India presence, reliable dividend payouts (~0.7% yield), and efficient operations, Ambuja remains a stable, long-term play in India’s growing cement sector. Technical View- Based on the recent daily chart, Ambuja Cements has witnessed consistent selling pressure throughout the week. On June 17, the stock took support around its 14, 55, and 200-day EMAs, but on June 18, after hitting a high of ₹553.15, it entered a sharp downward phase. Both June 18 and 19 saw notable declines, with the stock hitting a low of ₹531 yesterday. Today, it opened at ₹532.75, made a low of ₹528.45, and is currently trading around ₹534. On the daily candle, it appears to be forming a bullish hammer pattern, suggesting potential reversal. A similar pattern was seen on May 9, 2025, when the stock reversed from ₹513.80 and rallied to ₹575.90. Given today's recovery from the lower levels, the ₹525 mark is emerging as a short-term support. If the stock sustains this level, it may soon retest the previous high of ₹545.60, and in case of continued positive momentum, a move towards ₹570–575 is likely in the coming sessions. A stop-loss below ₹525 may be considered for risk management.