cement
UltraTech Cement
ULTRACEMCO · Nifty 50
₹11,373
Price 2026-06-17
At a Glance
Fundamental
100/100
STRONG
Trust
95/100
Verification
Coverage
89/100
HIGH
Quick Take
UltraTech Cement scores 100/100 on fundamentals (strong). UltraTech Cement: PE above historical average. BROAD EXPANSION regime.
Fundamental Score: 100/100 · STRONG · 1 signals detected
DuPont Analysis
ROE 12.3% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 12.29% is moderate margin-driven and stable. Net margin of 10.2% × asset turnover of 0.65x × leverage of 1.8x.
What This Means
Net margin of 10.2% means the company keeps ₹10.2 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.65x means the company efficiently uses its assets to generate revenue. Leverage of 1.8x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
80.8%
Operating
15.5%
Net
10.2%
Gross margin 80.8% → operating margin 15.5% → net margin 10.2%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.
Financial Health
Earnings Quality
STRONGCash flow covers net income 1.6x — earnings are HIGH QUALITY. The company converts profit to cash efficiently.
Debt Sustainability
COMFORTABLEInterest covered 7.6x — very comfortable. Debt service is not a concern. Debt/EBITDA at 1.3x is low — balance sheet has capacity.
Free Cash Flow
STRONGFCF margin at 6.1% — moderate. Generating cash after investments.
Peer Comparison
Key Watchpoints
Breaks above ₹11942 (+5%)
Trend reversal confirmation
Breaks below ₹10804 (-5%)
Further downside risk
PE reverts to 5Y median of 39.7
Valuation normalization
Cement sector entering leadership
Sector rotation signal
Detected Patterns
Risk Flags
Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.
Elevated risk score. Review audit, board, and shareholder rights metrics.
Governance structure concerns. Independent director representation may be weak.
Profits are from core operations, not one-offs. High quality.
Strong insider alignment. Promoters have significant skin in the game.
Mean recommendation: 1.4/5 (1=Strong Buy, 5=Strong Sell). Institutional confidence is high.
🔴 2 CRITICAL flags — significant concerns. Investigate before investing.
Data Quality
News Correlation
50 articles scanned for fundamental themes