Should I buy Ambuja Cement stock in 2025?

What is Ambuja Cement?

How much is Ambuja Cement stock?

The price of Ambuja Cement stock is rising this week. As of now, the share trades at ₹565.55, up ₹2.05 (+0.36%) in the past 24 hours and showing a strong 3.29% gain over the week. Ambuja Cement holds a market capitalization of ₹139,290 crore, with a 3-month average daily volume of 2.3 million shares.

The stock's P/E ratio stands at 27.01, alongside a modest dividend yield of 0.35%, and it has a 1-year beta of 1.4, reflecting high volatility compared to the market. With active trading and brisk price movement, investors should be aware of short-term swings while considering the company’s long-term growth trajectory in India’s dynamic cement sector.

Our full analysis on Ambuja Cement stock

After reviewing Ambuja Cement’s Q4 and full-year FY2025 financials, as well as analysing the stock’s three-year performance, our proprietary models, drawing from a synthesis of key financial ratios, technical signals, sector metrics, and peer benchmarking, highlight compelling dynamics. The recent merger activity, sustained capacity expansion, and robust market presence under the Adani Group umbrella distinguish Ambuja Cement in a rapidly evolving materials sector. So, why might Ambuja Cement stock once again become a strategic entry point into the Indian building materials universe in 2025?

Recent Performance and Market Context

Ambuja Cement has demonstrated notable resilience and reacceleration in 2025. The current share price stands at ₹565.55 (as of May 19, 2025), registering a solid 24.38% gain off its 52-week low of ₹453.05 set in November 2024. While the past twelve months reflect a modest year-on-year drawdown of -8.63%, the recent trajectory has been decisively upward—a weekly gain of +3.29% confirming renewed investor interest. A robust trading volume of 2.3 million shares per day (NSE+BSE combined) underscores liquidity and enthusiasm, particularly as consolidation in the sector and targeted government infrastructure stimulus underpin demand.

Positively, Ambuja Cement just crossed the critical 100 MTPA production capacity threshold, positioning it as the world’s ninth-largest cement company. The strategic mergers (Sanghi Industries and Penna Cement) announced in Q2-FY25 are expected to further accelerate growth, strengthen regional positioning, and support an expanding margin profile through operational synergies. The dividend declaration (₹2 per share for FY2025) is a timely signal of management’s confidence in future earnings power, despite short-term margin pressures due to input inflation.

From a macroeconomic perspective, India’s infrastructure push and resilient construction demand remain powerful sectoral tailwinds. Recent policy continuity post-elections and a stable regulatory environment for large-scale infrastructure ensure sustained cement demand, positioning Ambuja as a main beneficiary of public and private construction activity on the subcontinent.

Technical Analysis

• Moving Averages: The share trades above its 20-day (₹563.29), 50-day (₹530.30), and 200-day (₹559.50) simple moving averages, indicating broad-based strength and consistent accumulation over short and medium horizons.
• Momentum Indicators: The Relative Strength Index (RSI 14) at 58.9 signals a neutral-to-bullish bias, suggesting plenty of room for upside extension without overbought risks. The MACD (12,26,9) at 0.18 is firmly bullish, marking the resumption of upward momentum.
• Support & Resistance: Strong support zones are clustered around ₹551.80 and ₹540.10, providing robust downside buffers; the immediate resistance band of ₹570.55–₹577.60 marks a potential breakout region. A close above this could catalyse further momentum.
• Signal Summary: Overall, technical models project a bullish outlook—10 positive signals to 1 negative—as price action remains above all primary moving averages and shows nascent bullish reversal structures.

The stock’s current setup suggests that any near-term pullback into the primary support region offers an attractive risk-reward buy zone for both tactical and positional investors.

Fundamental Analysis

• Revenue & Profit Trajectory: FY2025 revenue reached ₹9,889 crore in Q4 (up 11.18% YoY), with annual net profit touching an all-time high of ₹5,158 crore (+9% YoY) despite temporary operating margin compression. This performance was underpinned by record annual volumes of 65.2 million tonnes, reinforcing operational leverage and market reach.
• Market Share & Expansion: The company now holds approximately 7.5% of the pan-India cement market, supported by the ongoing production ramp and expected increase to 118 million tonnes by FY2026. Strategic consolidation through recent acquisitions further deepens its leadership in both high-growth and established geographies.
• Valuation: At a P/E of 27.01x, Ambuja Cement trades at a justified premium to historic sector multiples, reflecting embedded growth and lower risk given the Adani Group’s support. The consensus analyst target of ₹735.22 implies potential upside exceeding 30% from current levels—consistent with forward EV/EBITDA and P/S ratios in the sector’s top quartile.
• Structural Strengths:
• Adani Group Backing: The financial and strategic resources of one of India’s most prominent conglomerates ensure ample capacity for both organic and inorganic growth.
• Distribution: A sophisticated logistics network—integrating ports, rail, and terminal infrastructure—delivers cost advantages and rapid scalability.
• Sustainability & ESG: Ongoing initiatives in green cement, energy efficiency, and resource stewardship position Ambuja advantageously for future regulatory and consumer preferences.
• Brand: A pan-India brand with deep penetration in both B2B and retail segments capitalizes on India’s unique demographic and economic drivers.

Volume and Liquidity

Strong daily turnover (2.3 million shares) provides significant liquidity, contributing to price efficiency and the attractiveness of the stock for institutions and high-volume traders. The substantial float, with roughly 37% held by institutional and public investors, supports dynamic price discovery. Furthermore, with 63% promoter holding (Adani Group), the alignment of interests between management and shareholders is robust, reinforcing conviction in long-term value creation.

Notably, sustained volume at current levels tends to precede periods of outsized price moves, especially in the context of anticipated corporate actions or sectoral tailwinds.

Catalysts and Positive Outlook

• Capacity Expansion & M&A: The integration of newly acquired assets (Sanghi Industries, Penna Cement) and the ramp to 118 MTPA by FY26 position Ambuja to capture incremental demand, scale, and margin expansion.
• Government Infrastructure Push: The Union Government’s commitment to record outlays for housing, roads, and transport infrastructure continues to underpin cement demand, ensuring structural volume growth.
• Margin Rebound Potential: As energy and raw material inputs stabilize, margin recovery is expected—magnifying earnings leverage on increasing sales volumes.
• ESG and Innovation: Leadership in sustainable cement and investment in low-carbon technologies provide a potential multiplier effect as regulation and market preference shift towards green construction.
• Stable Regulatory Backdrop: With legislative and policy stability likely post-election, sector volatility is reduced, enabling management to pursue long-term strategies with confidence.
• Dividend Policy: The declaration of ₹2 per share for FY2025 signals ongoing management commitment to capital return, with scope for future increases as profitability improves.

These multiple levers underscore Ambuja’s ability to outperform not just sector averages but also macroeconomic growth projections—bolstering the investment rationale.

Investment Strategies

• Short-term
• Breakout traders could look to initiate positions above the ₹570.55–₹577.60 resistance zone, capitalizing on bullish momentum and positive technical confirmations.
• Pullbacks towards primary support at ₹551.80 offer compelling entry points with tight stop-loss structures.
• Medium-term
• Position traders can accumulate as the stock consolidates above its 50-day and 200-day SMAs, in anticipation of value unlocking from merger synergies and Q1-FY26 earnings.
• News-driven catalysts—such as regulatory approvals for mergers or updates on capacity expansion—could spark sharp reratings.
• Long-term
• Investors seeking secular participation in India’s infrastructure boom may find Ambuja’s expanding capacity and Adani Group sponsorship uniquely aligned for sustainable, compounding returns.
• The stock’s eligibility for tax-saving schemes (e.g., ELSS) adds to its appeal for wealth preservation and tax-efficient growth.

Across horizons, the combination of robust technical footing and clearly articulated strategic roadmap makes the current levels particularly interesting for portfolio inclusion.

Is It the Right Time to Buy Ambuja Cement?

Summing up, Ambuja Cement stands at a transformative inflection point—combining accelerating operational momentum, record volumes, sustained earnings power, and sector-leading expansion. The confluence of a bullish technical posture, demonstrated financial discipline, and unique positioning as an Adani-backed leader in a high-growth sector justifies renewed interest from the buy-side.

The stock’s recent outperformance, healthy liquidity, and clear catalysts—augmented by supportive macroeconomic conditions—seem to represent an excellent opportunity for investors seeking exposure to India’s infrastructure and construction megatrend. Both the valuation and underlying growth narrative suggest that Ambuja Cement may be entering a new bullish phase, promising attractive risk-adjusted upside for disciplined investors able to navigate cyclical volatility.

As Ambuja’s journey from national champion to global top-tier contender accelerates, the present market context makes it a serious candidate for portfolio consideration—offering a rare combination of growth, stability, and strategic clarity in India’s dynamic materials sector.

For those seeking a well-positioned, fundamentally solid, and technically strong play on India’s ongoing transformation, Ambuja Cement increasingly looks like an opportunity well worth evaluating.

How to buy Ambuja Cement stock in IN?

Investing in Ambuja Cement stock online is now both simple and secure, thanks to regulated Indian brokers approved by SEBI. Investors can choose between spot (cash) buying, in which you own the shares, or trading with Contracts for Difference (CFDs), which allow you to profit from price moves without direct ownership. Both methods can be accessed via mobile apps or desktop platforms that offer robust compliance, efficient execution, and transparent pricing. The best approach for you depends on your goals and risk appetite – a full broker comparison is available further down this page to help you select the right platform.

Spot Buying (Cash Purchase)

Cash buying means purchasing Ambuja Cement shares directly on the exchange (NSE or BSE) – you become a shareholder and benefit from any dividends and corporate actions. Indian brokers charge a flat fee per order; this typically ranges from ₹20–₹30 per trade, but some platforms offer zero-commission deals on delivery trades.

Informations importantes

For example, if Ambuja Cement trades at ₹565.55 per share and the brokerage fee is ₹420 (approx. $5), a $1,000 (about ₹83,000) investment would let you buy around 146 shares (₹82,563 invested, ₹420 fee).
✔️ Gain scenario:
If the share price rises by 10%, your holding grows to ₹90,819 ($1,100).
Result: That’s a ₹8,256 ($100) gross gain, or +10% on your initial investment (excluding taxes).

Trading via CFD

A CFD (Contract for Difference) lets you speculate on Ambuja Cement’s share price without owning the shares, and you can use leverage – amplifying both gains and losses. CFD providers typically charge a spread (the difference between buy and sell price) and overnight financing fees if you hold positions beyond a day.

Informations importantes

For instance, if you open a CFD on Ambuja Cement with ₹83,000 ($1,000) and use 5x leverage, your exposure becomes ₹415,000 ($5,000).
✔️ Gain scenario:
If the stock rises by 8%, your position gains 40% (8% × 5) – that’s a ₹33,200 ($400) gain on your ₹83,000 stake, minus fees.

Final Advice

Before investing, it is important to compare each broker’s fees, platform features, and regulatory protections. Your decision between spot buying and CFD trading should match your investment goals, time horizon, and risk tolerance. To find the most suitable broker for your needs, consult the detailed comparator provided further down the page – and remember, successful investing starts with the right information and a clear objective.

Our 7 tips for buying Ambuja Cement stock

The latest news about Ambuja Cement

Ambuja Cements’ stock gained 3.29% over the last week, sustaining a six-month rally of 24.38%. This recent rise is bolstered by the stock consistently trading above all major moving averages (20, 50, and 200-day), reinforcing a bullish technical outlook with 10 positive indicators versus just one bearish, and a MACD signal in bullish territory. The average daily trading volume remains strong at 2.3 million shares, indicating robust market participation and investor confidence, especially given the recent momentum outpacing the sector’s benchmarks.

The FY2025 annual net profit hit a record ₹5,158 crore, up 9% year-over-year, with highest-ever production volume at 65.2 million tonnes. Despite Q4’s net profit declining 9.37% on persistent cost pressures, the full-year operational and financial achievements demonstrate resilience. The continued growth in both revenue and scale, even in a competitive and cost-sensitive environment, confirms Ambuja’s ability to execute expansion strategies and leverage operating efficiencies, which are key signals of fundamental strength for the Indian market.

Ambuja completed transformative mergers with Sanghi Industries and Penna Cement, surpassing 100 MTPA in capacity and becoming the world’s ninth-largest cement player. These acquisitions consolidate its pan-India footprint and solidify its market share, now standing at 7.5% of the Indian cement market. The expanded scale, when fully integrated, presents significant operational synergies and strategic advantages, particularly in regions experiencing infrastructure and construction growth, underscoring positive sentiment among domestic analysts toward the stock’s long-term trajectory.

The company declared a ₹2 per share dividend for FY2025, with the ex-dividend date set for June 2025, reflecting ongoing shareholder rewards. Ambuja’s eligibility for Indian tax-advantaged investment schemes further increases its attractiveness for domestic investors seeking both growth prospects and modest income. Continued dividend payout, supported by robust profit generation, signals management’s confidence and effective capital allocation, while also enhancing investor loyalty in the Indian context.

Management reaffirmed an ambitious target of 118 million tonnes production capacity by FY2026, underpinned by Adani Group’s financial backing and a robust pan-India logistics network. With aggressive yet well-funded capital expenditure plans, Ambuja is strategically positioned to benefit from government infrastructure initiatives and growing construction demand. This outlook, coupled with widespread distribution and ESG focus, strengthens its investment case as a key beneficiary of India’s infrastructure-driven economic momentum.

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P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.