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Fundamentals for ACC Limited
Business Operations:
Sector: Basic MaterialsIndustry: Building Materials
ACC Limited engages in the manufacture and sale of cement and ready-mix concrete in India. It operates in Cement and Ready Mix Concrete segments. The company provides ordinary Portland cement; blended cement, including Portland Pozzolana cement, Portland slag cement, and composite cement; gold and silver range of cement; ready mixed concrete value-added products; and bulk cement. It also offers construction chemicals, such as ACC LeakBlock, an integral waterproofing compound used in concrete and plaster while constructing houses; ACC LeakBlock WaterProof Plaster - LB 101, a ready-to-use cementitious waterproof mortar for internal and external plaster applications; and tile adhesives, under ACC Xtra Strong brand, used for wet-on-wet fixing of medium sized tiles for internal walls and floors, and external floor applications, as well as an adhesive paste for fixing tiles on floor and wall. In addition, the company provides ready use and waterproof plasters, thin bed joining mortars, grey cement-based tile adhesives, and shrinkage compensated and flowable precision cementitious grout under ACC Suraksha brand; and EcoMaxx, a green concrete with lower embodied carbon content for various structural components applications comprising foundations, columns, beams, external or internal walls, driveways, walkways, etc. It distributes its products through a network of dealers, retailers, engineers, and architects. The company was formerly known as The Associated Cement Companies Limited and changed its name to ACC Limited in September 2006. ACC Limited was incorporated in 1936 and is headquartered in Ahmedabad, India. ACC Limited operates as a subsidiary of Ambuja Cements Limited.
Revenue projections:
ACC is projected to experience a revenue decline compared to last year, a development that often leads to investor caution. The drop could negatively impact the company's bottom line, as lower revenues typically signal reduced profitability, prompting more conservative investment strategies.
Financial Ratios:
| currentRatio | 0.000000 |
|---|---|
| forwardPE | 13.510535 |
| debtToEquity | 2.435000 |
| earningsGrowth | -0.630000 |
| revenueGrowth | 0.094000 |
| grossMargins | 0.428210 |
| operatingMargins | 0.060810 |
| trailingEps | 140.780000 |
| forwardEps | 119.358700 |
ACC's Forward PE ratio suggests that the stock is priced appropriately in relation to its earnings. Not being overpriced, it offers room for growth, signaling potential upside for investors looking for a stock with reasonable valuation and growth potential.
ACC's low growth in earnings and revenue indicates a potential decline in profits. This suggests that the company could be facing financial challenges, making it harder to sustain its current profit margins.
ACC Limited's negative gross and operating margins signal that the company is not profitable, struggling to cover costs associated with production and operations. This could be a red flag for its financial performance moving forward.
ACC's forward EPS being less than trailing EPS suggests the company may see a drop in profitability this year. This signals potential financial challenges and a less optimistic outlook for earnings growth.
Price projections:
The gradual downward revision of ACC's price projections signals decreasing confidence in the company's future performance. Analysts are adjusting their expectations, reflecting uncertainty about ACC's growth potential.
Recommendation changes over time:
ACC has been receiving a buy bias from analysts, indicating confidence in its investment potential. This could drive more investors to view ACC as a reliable choice for their money, offering a promising avenue for future growth and financial gains.
DISCLAIMER: We provide information and our musings based on events, but nothing on this site can be considered professional advice of any kind.
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