Dalmia Bharat - Ambitious Growth Plans, Execution In Focus: Motilal Oswal

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Motilal Oswal Report

Dalmia Bharat Ltd. has underperformed the Bombay Stock Exchange sensex and most cement stocks under our coverage in the last six months (Exhibit 3) mainly due to a delay in the acquisition of JPA’s cement assets (announced in December ’22) and a slowdown in cement demand in the eastern region, in our view.

However, we are optimistic about the company’s long-term outlook, given:

Its plan to increase capacity to 110-130 million tonnes per annum at a 14-17% compound annual growth rate by 2031;
Focus on sustainable growth through various initiatives such as higher blended cement, green energy mix; and
Strong balance sheet with the target to maintain a net debt-to-Ebitda ratio of less than 2 times.

We reiterate our 'Buy' rating on the stock with a target price of Rs 2,800 (based on September ’25E enterprise value/Ebitda).

Click on the attachment to read the full report:

Motilal Oswal - Dalmia Bharat update.pdf

Read Document

Also Read: ASBA-Like Facility For Stock Trading From Jan. 1: All You Need To Know

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.