UltraTech Cement Share Price: Q1 FY26 Results, Analysis, and Investment Outlook
UltraTech Cement’s Q1 FY26 net profit is expected to jump 30% YoY due to lower costs and strong volume growth. This article analyses its share price trends, financials, expert views, and future outlook for investors.
Table of Contents
Introduction
UltraTech Cement, India’s largest cement producer and a flagship of Aditya Birla Group, is set to announce its Q1 FY26 results amid high expectations. Analysts forecast robust earnings growth backed by volume expansion and operational efficiencies, sparking investor interest in its share price outlook.
UltraTech Cement Q1 FY26 Results Preview
UltraTech Cement is likely to post:
PAT Growth: Expected to rise 30% YoY to ₹1,680 crore
Revenue: Estimated at ₹17,500 crore, up 10% YoY
EBITDA: Likely to rise 15% YoY to ₹3,450 crore
EBITDA per tonne: Around ₹1,000-₹1,050/tonne
The growth is driven by higher sales volumes, stable pricing, and lower fuel costs compared to last year.
UltraTech Cement Share Price Movement
Current Market Price (CMP): ₹9,600 (as of July 20, 2025)
52-week range: ₹7,498 – ₹10,124
Year-to-date (YTD) performance: +17%
UltraTech Cement shares have outperformed the Nifty 50 index over the past year, reflecting strong sector demand and company-specific operational strength.
Reasons Behind Profit Growth
a. Higher Volumes
Cement sales volumes are expected to rise by 9-10% YoY due to continued infrastructure and housing demand.
b. Lower Fuel and Power Costs
Decline in petcoke and coal prices reduced fuel cost per tonne, supporting EBITDA margins.
c. Operational Efficiency
UltraTech’s ongoing cost optimisation and higher blending ratios contributed to improved profitability.
d. Stable Cement Prices
While cement prices remained largely flat QoQ, higher volumes offset any minor regional price corrections.
Fundamental Analysis of UltraTech Cement
| Particulars | FY25 | FY24 |
|---|---|---|
| Revenue | ₹66,600 crore | ₹60,900 crore |
| EBITDA | ₹13,650 crore | ₹12,200 crore |
| EBITDA Margin | 20.5% | 20% |
| Net Profit | ₹6,450 crore | ₹5,550 crore |
| ROE | 15% | 14% |
| Debt to Equity | 0.35x | 0.42x |
Key Fundamental Insights:
Strong revenue and profit growth
Improving return ratios
Healthy balance sheet with declining leverage
Technical Analysis of UltraTech Cement Share
Trend: The stock is in a strong uptrend, consistently forming higher highs and higher lows.
Support Levels: ₹9,400, ₹9,000
Resistance Levels: ₹9,950, ₹10,200
Indicators: RSI near 65 suggests slight overbought conditions, but the trend remains bullish.
Expert Views on UltraTech Cement Share
ICICI Securities
“UltraTech Cement remains the sector leader with robust execution. Maintain Buy with a target price of ₹10,500.”
Motilal Oswal
“Cost savings and volume growth will drive earnings. Recommend Accumulate with a target of ₹10,400.”
Kotak Institutional Equities
“Strong demand environment and capacity expansions support growth outlook. Maintain Add with a target of ₹10,200.”
Should You Buy UltraTech Cement Shares Now?
Pros:
Market leadership with pan-India presence
Expected strong Q1 earnings growth
Operational efficiencies and cost savings
Positive sector outlook driven by infra push
Cons:
Valuations at premium compared to peers
Input cost volatility risk
Regional demand fluctuations due to monsoon
Verdict: Investors with a long-term horizon can consider buying on dips, given UltraTech’s strong fundamentals, sector leadership, and continued earnings growth potential.
Risks to Watch Before Investing
Fluctuations in petcoke and coal prices impacting margins
Delay in infrastructure projects
Rising competition from regional players
Regulatory changes affecting cement prices
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FAQ
Q1. What is UltraTech Cement’s expected Q1 FY26 net profit?
Analysts estimate a 30% YoY rise to around ₹1,680 crore due to cost savings and volume growth.
Q2. Is UltraTech Cement share a good buy now?
It remains a fundamentally strong stock with sector leadership. Long-term investors can accumulate on dips.
Q3. What are the major risks for UltraTech Cement?
Input cost volatility, regional demand fluctuations, and sector regulatory changes are key risks.
Q4. What is the target price for UltraTech Cement share?
Brokerages have targets ranging between ₹10,200 and ₹10,500 over the next 12 months.
Helpful Resources
Conclusion
UltraTech Cement is poised to report strong Q1 FY26 results with a 30% profit growth, supported by higher sales volumes and cost optimisation. While the UltraTech Cement share price trades near its 52-week highs, its leadership position, operational strengths, and robust demand outlook make it a valuable addition to long-term portfolios. However, investors should watch for input cost volatility and sector regulations before making decisions.
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