HDFC Securities sees 27% upside in UltraTech Cement on Ultravolt launch
HDFC Securities has revised its price target for UltraTech Cement upward to ₹14,500 per share, citing near 25-27% upside from current levels. The brokerage maintains a 'Buy' rating on the stock, driven by the company's foray into the wires and cables business under the Ultravolt brand.
The new business is expected to contribute 2% of consolidated revenue by FY29E and potentially rise to 6% by FY31E. HDFC Securities estimates Ultravolt to turn EBITDA positive in FY29E, supported by an ₹18 billion capital outlay for a 3.5 million KM capacity.
UltraTech Cement's volume growth is projected at a 9% CAGR over FY27-29E, led by strong distribution across trade and non-trade segments and steady capacity expansions. The brokerage noted the company is well-placed to sustain market share gains despite already being the market leader.
HDFC Securities also highlighted internal accruals and a higher possibility of declining net debt in coming quarters as supportive factors. The valuation has been rolled forward to September 2028E from March 2028E earlier, with the target price based on 17x September 2028E consolidated EBITDA.
On Tuesday, September 8, UltraTech Cement shares closed 1.23% lower at ₹11,050 on the BSE, with a market capitalisation of ₹3,25,620.48 crore. The stock traded between an intraday high of ₹11,205 and low of ₹10,997.75 during the session.
The stock's 52-week high stands at ₹13,104 (reached on February 10, 2026) and its 52-week low at ₹10,329 (reached on March 23, 2026).
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