Ambuja Cements lost 5.18% to Rs 196.80 at 12:43 IST on BSE after a foreign brokerage downgraded the stock to neutral from outperform.
Meanwhile, the S&P BSE Sensex was up 87.61 points or 0.43% at 20,237.46.On BSE, 99,086 shares were traded in the counter as against average daily volume of 2.41 lakh shares in the past one quarter.
The stock hit a high of Rs 207 and a low of Rs 196.45 so far during the day. The stock had hit a 52-week low of Rs 162.50 on 5 April 2013. The stock had hit a record high of Rs 220.70 on 5 October 2012.
The stock had outperformed the market over the past one month till 19 July 2013, rising 13.01% compared with the Sensex's 4.7% rise. The scrip had also outperformed the market in past one quarter, gaining 9.96% as against Sensex's 5.96% gain.
The large-cap cement maker has equity capital of Rs 308.87 crore. Face value per share is Rs 2.
A foreign brokerage firm downgraded the Ambuja Cements stock to neutral from outperform saying that the stock is trading at its peak multiple and is already pricing in margin recovery in 2014 and part of the potential merger synergies with ACC. Shares of ACC fell 2.85% to Rs 1240.
Reports early this month had indicated that parent firm Holcim is looking to merge ACC and Ambuja Cements as part of its restructuring of Indian operations. Holcim owns a little more than 50% in both the companies.
Ambuja Cements declares Q2 June 2013 results on Wednesday, 24 July 2013. Ambuja Cements' net profit surged 56.3% to Rs 487.90 crore on 3.3% decline in net sales to Rs 2544.83 crore in Q1 March 2013 over Q1 March 2012.
Ambuja Cements' cement production declined 4.1% to 5.84 million tonnes in Q1 March 2013 over Q1 March 2012. Cement sales by volume dropped by 4.1% to 5.80 million tonnes during the quarter compared to corresponding quarter of the previous year, Ambuja Cements said.
Ambuja Cements is engaged in manufacturing and marketing cement and clinker for both domestic and exports markets.
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