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The India Cements Limited (INDIACEM) Fair Value & Analysis

Basic Materials · IN · Market cap ₹172B

TI The India Cements Limited INDIACEM · BSE
Price₹370.70
Fair Value₹86.36
Upside-76.7%
Quality39/100
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Risks

!Trades 77% ABOVE our fair value of ₹86.36
!Weak Growth
!Thin margins · 2.1% net margin
!Low debt · negative free cash flow
Weak Growth
Thin margins · 2.1% net margin
Low debt · negative free cash flow
Narrow moat 22/100
Evidence: Medium Range ₹54.39 – ₹86.36 Share as image

Fair value as of: Aug 21, 2026

From 8 valuation models · updated today

Share price −8.5% over the past month.

Below-average quality, and screening another 77% overvalued on our models.

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What matters now

  • The price sits above even our optimistic bull case (₹86.36). The favourable scenario is already priced in.
  • Weak quality (39/100) and above fair value at the same time, the margin of safety is missing on both counts.
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Price vs Fair Value (5 years)

₹478.70 ₹149.28 Fair Value ₹86.36 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 21, 2026.

How to read this chart

60‑month range ₹149.28 – ₹478.70 · fair‑value band ₹54.39 – ₹86.36 · the ₹370.70 price screens above the ₹86.36 fair value. Dashed = 300-day average. As of Aug 21, 2026.

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Analysis

The India Cements Limited (INDIACEM) currently trades at ₹370.70, while our model-based Fair Value estimate is ₹86.36, implying the stock looks roughly 76.7% overvalued today. The Quality Score stands at 39/100 (below-average quality), in the Basic Materials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Over the trailing twelve months, The India Cements Limited generated revenue of ₹44.8B at a net margin of 2.1%. Revenue declined 0.5% year over year. It earns a return on equity of -0.7%. Net debt stands at ₹12.9B. Fundamentals as of Aug 21, 2026

Our scenario range runs from ₹54.39 (bear case) to ₹86.36 (bull case); at ₹370.70, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 24% below its 52-week high and 8% above its 52-week low, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -60% fair-value upside, at -77%, INDIACEM screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Note: the current price implies far more future growth than the conservative anchors of our models allow (base growth is deliberately capped, we do not regard such extreme rates as sustainable). Our models are not designed for expectations this high; that is why the individual models scatter extremely (₹0.2002 to ₹1,461). Read the values as a conservative anchor, not as a price target.
Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
ROIC Compounder ₹2.60 ₹28.76 72
Gordon GGM ₹0.2002 ₹0.2002 ₹0.2002 70
DDM Multi-Stage ₹0.2002 ₹0.2002 ₹0.2670 61
All 8 models by family
Earnings-Based
EPV ₹2.60 ₹28.76 59
Dividend Discount
Gordon GGM ₹0.2002 ₹0.2002 ₹0.2002 70
DDM Multi-Stage ₹0.2002 ₹0.2002 ₹0.2670 61
Multiples
EV/EBIT ₹13.08 ₹86.36 ₹159.64 53
EV/EBITDA ₹433.40 ₹646.77 ₹860.20 54
EV/Revenue ₹65.40 ₹147.09 43
Asset-Based
NCAV (Graham) ₹1,090 ₹1,461 ₹2,180 50
Economic Profit
ROIC Compounder ₹2.60 ₹28.76 72

Widest divergence: Asset-Based (₹1,461) versus Dividend Discount (₹0.2002). Highest evidence: ROIC Compounder (72).

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Key figures & financial health

Revenue (TTM) ₹44.8B
Revenue growth (YoY) -0.5%
Net margin 2.1%
Return on equity -0.7%
Free cash flow −₹2.5B FY2026
P/E ratio 123.6 as of Aug 21, 2026
More key figures
Operating margin 8.2%
EPS (TTM) ₹3.00
EPS growth (YoY) +276%
Net debt ₹12.9B FY2026

Figures from reported company fundamentals · as of Aug 21, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 39/100

Of which business quality 39 · Market factors (momentum, volatility) 47

Profitability 15
Margins and returns on capital today
Quality Growth 45
Are margins and returns improving?
Cashflow 4
Earnings quality: real cash, not paper profit
Fin. Strength 59
Balance sheet, leverage, solvency risk
Investment 52
Disciplined investing over empire-building
Low Volatility 81
Calm price path (market factor)
Momentum 35
Price trend over the last 3–12 months (market factor)
52W Momentum 29
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

The India Cements Limited produces and sells cement and cement related products in India. It offers cement and allied products under the Conkrete Super King, Coromandel King, Sankar Super Power, Raasi Gold, Halo Super King brands; and ready mix concrete.

Full company description

The India Cements Limited produces and sells cement and cement related products in India. It offers cement and allied products under the Conkrete Super King, Coromandel King, Sankar Super Power, Raasi Gold, Halo Super King brands; and ready mix concrete. The company also engages in the sale of coal; real estate activities; and construction and infrastructure projects; generation of power from windmills and thermal power plants; and provision of ship hiring services; as well as production and sale of clinker products. It exports its products. The company was incorporated in 1946 and is based in Chennai, India. As of December 24, 2024, The India Cements Limited operates as subsidiary of UltraTech Cement Limited.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

The India Cements Limited reported revenue of ₹44.5B in FY2026 versus ₹48.6B in FY2022, a compound −2.1%/yr. Reported net income was −₹673M in FY2026.

Growth Quality 24/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2026)
₹44.5B
Latest YoY
+7.8%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−7.4%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−0.2%
Avg. growth/yr (7Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−3.6%
Revenue −2.1%/yr
FY22 ₹48.6B
FY23 ₹56.1B
FY24 ₹50.0B
FY25 ₹41.3B
FY26 ₹44.5B
Net income
FY22 ₹785M
FY23 −₹1.3B
FY24 −₹2.3B
FY25 −₹1.4B
FY26 −₹673M

INDIACEM screens 77% overvalued. Compare with UltraTech Cement Limited →

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Cite: Fair Value Calculator (2026). "The India Cements Limited Fair Value". https://www.fairvalue-calculator.com/stock/INDIACEM.BSE

Peer Group

Building Materials · 258 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 39 · Bottom 25%
Fair Value upside −77% · Bottom 25%
Return on assets 0% · Below median
Net margin (TTM) 2% · Below median
Operating margin (TTM) 8% · Above median
Revenue growth -1% · Below median
Debt / equity 0.10× · Lower than median

Valuation Multiples vs Building Materials median · lower = cheaper

P/E (TTM) 123.6× · Pricier than 75% of peers
P/B 1.70× · Pricier than 75% of peers
P/S (TTM) 3.85× · Pricier than 75% of peers
EV/EBITDA 39.2× · Pricier than 75% of peers
PEG 0.96× · Cheaper than median

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Building Materials stocks, each showing price versus our Fair Value estimate (as of Aug 21, 2026).

Stock Price Fair Value vs Fair Value
UltraTech Cement Limited ULTRACEMCO ₹11,891 ₹4,718 -60%
China Jushi Co 600176 ¥40.56 ¥13.22 -67%
Grasim Industries Limited GRASIM ₹3,293 ₹1,245 -62%
CEMEX, S.A. CEMEXCPO 21.71 MXN 12.27 MXN -43%
Ambuja Cements Limited AMBUJACEM ₹421.00 ₹216.73 -49%
Shree Cement Limited SHREECEM ₹25,570 ₹8,215 -68%
TCC Group 1101B 43.15 TWD 9.76 TWD -77%
Taiwan Glass Ind. Corp 1802 57.60 TWD 13.98 TWD -76%
J.K. Cement Limited JKCEMENT ₹5,349 ₹2,184 -59%
Dalmia Bharat Limited DALBHARAT ₹1,842 ₹1,032 -44%

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Frequently asked questions

Is The India Cements Limited (INDIACEM) overvalued or undervalued?
As of Aug 21, 2026, our model estimates a fair value of ₹86.36 versus a price of ₹370.70, about −77% (overvalued).
What is the fair value of INDIACEM?
Our model-based fair value for The India Cements Limited is ₹86.36 (as of Aug 21, 2026), built from audited fundamentals. The current price: ₹370.70.
What is the quality score of INDIACEM?
The India Cements Limited has a Quality Score of 39/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of The India Cements Limited (INDIACEM)?
The India Cements Limited reported trailing-twelve-month revenue of about ₹44.8B (latest available figure, as of Aug 21, 2026).
What is the net profit margin of INDIACEM?
The net profit margin of The India Cements Limited is about 2.1%, meaning it keeps roughly 2.1% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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