Ambuja Cement Stock Price Analysis and Quick Research Report. Is Ambuja Cement an attractive stock to invest in?

Stock investing requires careful analysis of financial data to determine a company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement, which can be time-consuming and cumbersome.

Examining a company's financial ratios is an easier way to determine its performance, which can help to make sense of the overwhelming amount of information in its financial statements. 

Here are a few indispensable ratios that should be a part of every investor’s research process, or, in simpler words, how to analyse Ambuja Cement. 

• PE ratio: Price to Earnings ratio, which indicates how much an investor is willing to pay for a share for every rupee of earnings. A general rule of thumb is that shares trading at a low P/E are undervalued (it depends on other factors too). Ambuja Cement has a PE ratio of 29.9357134489222 which is high and comparatively overvalued.

• Return on Assets (ROA): Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. Ambuja Cement has ROA of 7.4166% which is a bad sign for future performance. (Higher values are always desirable.)

• Current ratio: The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. Ambuja Cement has a Current ratio of 1.2378.

• Return on equity: ROE measures the ability of a firm to generate profits from its shareholders' investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. Ambuja Cement has a ROE of 9.0664%. (Higher is better)

• Debt to equity ratio: It is a good metric to check out the capital structure along with its performance. Ambuja Cement has a Debt to Equity ratio of 0.0006 which means that the company has low proportion of debt in its capital.

• Sales growth: Ambuja Cement has reported revenue growth of 8.5619% which is poor in relation to its growth and performance. 

• Operating Margin: This will tell you about the operational efficiency of the company. The operating margin of Ambuja Cement for the current financial year is 15.2433125419589%.

• Dividend Yield: It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for Ambuja Cement is Rs 2 and the yield is 0.4891%.

• Earnings Per Share: It tells us how much profit is allocated to to each outstanding share of a common stock. The latest EPS of Ambuja Cement is Rs 13.6576. The higher the EPS, the better it is for investors. 

One can find all the Financial Ratios of Ambuja Cement in Ticker for free. Also, one can get the intrinsic value of Ambuja Cement by using Valuation Calculators, which are available with a Finology ONE subscription. 

Ambuja Cement FAQs

Q1. What is Ambuja Cement share price today?
Ans: The current share price of Ambuja Cement is Rs 408.85.

Q2. What is the market capitalisation of Ambuja Cement?
Ans: Ambuja Cement has a market capitalisation of Rs 101060.50289803 Cr., calculated based on its latest share price.

Q3. What are the P/E and P/B ratios of Ambuja Cement?
Ans: The PE ratio of Ambuja Cement is 29.9357134489222 and the P/B ratio of Ambuja Cement is 1.97770899210609, showing how the stock is valued against its earnings and book value.

Q4. What is the 52-week high and low of Ambuja Cement share?
Ans: The 52-week high share price of Ambuja Cement is Rs 624.95, and the 52-week low share price of Ambuja Cement is Rs 394.

Q5. Does Ambuja Cement pay dividends?
Ans: Currently, Ambuja Cement pays dividends. Dividend yield of Ambuja Cement is around 0.4891%.

Q6. What are the face value and book value of Ambuja Cement shares?
Ans: The face value of Ambuja Cement shares is Rs 2, while the book value per share of Ambuja Cement is around Rs 206.7291. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.

Q7. What is the debt of Ambuja Cement?
Ans: Ambuja Cement has a total debt of Rs 26.82 Cr., which affects investor sentiment and financial stability. 

Q8. What are the ROE and ROCE of Ambuja Cement?
Ans: The ROE of Ambuja Cement is 9.0664% and ROCE of Ambuja Cement is 8.9012%. ROE shows how efficiently the company is generating profit from shareholders’ equity, while the ROCE is reflects how efficiently the company uses its capital to generate returns.

Q9. Is Ambuja Cement a good buy for the long term?
Ans: The Ambuja Cement long-term outlook depends on debt levels, earnings growth, and sector trends. If it sustains profits and manages debt well, it may be considered for long-term investment.

Q10. Is Ambuja Cement undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the Ambuja Cement appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.

Q11. How to check Ambuja Cement’s financials?
Ans: You can review Ambuja Cement’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.