Shree Cement’s tag of ‘most valued cement stock’ is now at greater risk
- Rising input costs offset better-than-anticipated growth in realizations for Shree Cement
- Analysts caution that a relatively poor handle on costs could lead to a de-rating of the firm
The Street is upset with the subdued June-quarter earnings performance of Shree Cement Ltd. Its shares fell more than 4% on the NSE on Tuesday; it was the top loser among Nifty50 stocks. And why not! For a stock trading at a premium valuation multiple, lagging peers on crucial operating parameters is unlikely to be tolerated by investors.