ACC Ltd Reports 106% Profit Increase in Q3 FY25, Market Reacts with Stock Decline to 1968.50.

ACC Share Price Update

ACC Limited, part of the Adani Group, has reported a significant increase in its standalone net profits for the third quarter ending December 31, 2024. The company saw a remarkable 106% rise in profits, which reached Rs 1,089 crore. In contrast, the same period last year recorded a net profit of Rs 528 crore.

Alongside the profit surge, ACC’s standalone revenue from operations rose by 6.5%, totaling Rs 5,176 crore compared to Rs 4,859 crore in the previous year.

Market Reaction and Stock Performance

However, the market response has not been favorable. As of 9:58 AM, ACC’s stock was trading at Rs 1,968.50. In light of the recent results, brokerage firms have issued mixed ratings on the stock.

Brokerage Insights

One brokerage has suggested a reduction rating for ACC, setting a target price of Rs 1,920 per share. They noted that while the company experienced a strong annual cement volume growth of 20%, this was against an estimated 11%. Additionally, the company’s blended regulation saw a 1% drop on a quarterly basis, falling short of expectations.

Another brokerage has maintained an equal weight rating, with a target price of Rs 2,510 per share. They highlighted a 21% annual volume growth, which exceeded the 8% estimate, yet noted that operating expenses were slightly higher than anticipated.

Overall, while ACC has shown impressive growth in profits and volumes, the market seems cautious, reflecting a mixed outlook from analysts.