Sagar Cements Ltd (SAGCEM) AI Stock Analysis

• Market Cap: ₹38.39B
• Dividend Yield: 0.24%
• Average Volume (3M): 16.51K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.22
• Revenue Growth: -6.25%
• EPS Growth: -475.84%
• Country: IN
• Employees: 1,189
• Sector: Basic Materials
• Sector Strength: 68
• Industry: Construction Materials
• EPS (TTM): 0.10
• Shares Outstanding: 130,707,550
• 10 Day Avg. Volume: 30,630
• 30 Day Avg. Volume: 16,514
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹260.50
• Price Target Upside: -11.50% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 52 Neutral
• Price Target: ₹229.00 ▼(-22.20% Downside)

Sagar Cements Ltd's overall stock score is primarily influenced by its financial performance and valuation concerns. The company's challenges in maintaining profitability and high debt levels weigh heavily on its financial health. Technical analysis indicates a neutral trend, but the negative MACD suggests caution. The valuation is impacted by a negative P/E ratio and low dividend yield, making the stock less attractive to value and income investors.

Sagar Cements Ltd Business Overview & Revenue Model

Company Description

Sagar Cements Ltd (SAGCEM) is a leading cement manufacturing company in India, primarily engaged in the production and sale of cement and cement-related products. The company operates in the building materials sector, offering a range of cement varieties including Ordinary Portland Cement (OPC), Portland Pozzolana Cement (PPC), and specialized cements catering to various construction needs. With a focus on quality and sustainability, Sagar Cements serves both the domestic and international markets, supporting infrastructure development and construction projects.

How the Company Makes Money

Sagar Cements Ltd generates revenue through the production and sale of cement. The company's revenue model is centered around its manufacturing plants, where it produces different types of cement products to meet the diverse needs of the construction industry. Key revenue streams include direct sales to construction companies, infrastructure developers, and retail sales through a network of distributors and dealers. Additionally, the company may engage in significant partnerships or collaborations with construction firms and government projects to supply cement for large-scale infrastructure developments. Factors such as market demand, production efficiency, and cost management play a crucial role in the company's earnings, as does its ability to maintain competitive pricing and high-quality standards.

Sagar Cements Ltd Financial Statement Overview

Summary

Sagar Cements Ltd faces challenges in revenue growth and profitability, with negative net income impacting financial performance. The balance sheet reflects moderate leverage with a stable equity base but high debt levels. Cash flow management shows strengths in generating operating cash flow, yet inconsistencies in free cash flow highlight the need for improved capital allocation.

Income Statement

Sagar Cements Ltd has demonstrated fluctuating revenue trends, with a notable decrease in revenue in the most recent period. The gross profit margin has been relatively stable, but the company has faced challenges in maintaining profitability, with negative net income in recent years. The EBIT margin has also been negative due to high operating expenses. Despite these challenges, the company maintains a positive EBITDA margin, indicating some operational efficiency. However, the overall profitability remains a concern.

Balance Sheet

The company's balance sheet shows moderate leverage with a debt-to-equity ratio reflecting balanced financial risk. The equity ratio indicates a stable proportion of equity financing. Return on equity has been inconsistent due to fluctuating net income, impacting the overall financial health. The balance sheet strength is supported by a reasonable level of equity compared to assets, although high debt levels remain a concern.

Cash Flow

Sagar Cements Ltd has managed to maintain a positive operating cash flow, which is a positive indicator of its ability to generate cash from operations. However, free cash flow has been inconsistent, reflecting challenges in managing capital expenditures and financing activities. The operating cash flow to net income ratio is strong, suggesting efficient cash generation relative to reported earnings, albeit with room for improvement in free cash flow dynamics.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	22.58B	22.58B	24.98B	22.30B	15.93B	13.53B
Gross Profit	18.27B	18.27B	10.81B	18.07B	12.59B	10.34B
EBITDA	1.35B	1.35B	2.81B	3.76B	2.89B	4.01B
Net Income	-2.10B	-2.10B	-433.60M	301.50M	691.50M	1.87B
Balance Sheet
Total Assets	41.77B	41.77B	43.56B	38.23B	33.64B	25.75B
Cash, Cash Equivalents and Short-Term Investments	1.74B	1.74B	1.67B	1.75B	1.43B	2.25B
Total Debt	14.46B	14.46B	14.44B	14.76B	15.11B	8.21B
Total Liabilities	23.82B	23.82B	23.37B	21.34B	20.55B	13.17B
Stockholders Equity	17.23B	17.23B	19.41B	19.95B	12.55B	12.05B
Cash Flow
Free Cash Flow	0.00	957.80M	1.75B	574.20M	-2.74B	-840.80M
Operating Cash Flow	0.00	2.34B	4.00B	1.75B	869.80M	3.77B
Investing Cash Flow	0.00	-1.13B	-1.88B	1.70B	-7.84B	-4.77B
Financing Cash Flow	0.00	-2.17B	-2.21B	-3.67B	6.15B	3.22B

Sagar Cements Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 294.35
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SAGCEM, the sentiment is Positive. The current price of 294.35 is above the 20-day moving average (MA) of 248.99, above the 50-day MA of 247.30, and above the 200-day MA of 220.13, indicating a bullish trend. The MACD of 10.92 indicates Negative momentum. The RSI at 79.79 is Negative, neither overbought nor oversold. The STOCH value of 87.72 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:SAGCEM.

Sagar Cements Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SAURASHCEM	63 Neutral	₹13.53B	97.24		1.64%	-7.59%	-74.43%
Sector *	62 Neutral	$10.28B	6.21	0.76%	2.84%	3.10%	-36.03%
MANGLMCEM	57 Neutral	₹21.33B	35.39		0.20%	3.95%	-2.94%
SAGCEM	52 Neutral	₹38.39B	―		0.24%	-6.25%	-475.84%
NCLIND	49 Neutral	₹9.77B	29.87		1.63%	-21.99%	-56.40%
SANGHIIND	41 Neutral	₹16.49B	―		―	12.93%	-39.27%
TRANSPEK	―	₹7.65B	13.91		―	―	―