Analysts say cement stocks now attractive; price hikes to ease margin woes

Analysts believe current input cost headwinds are transitory as likely price hikes by companies will help aid margin pressures.

Cement stocks have succumbed to immense pressure in the last two months, owing to a sharp rise in input costs due to the Russia-Ukraine conflict. The recent steep rise in international petcoke, and coal prices has weakened the near-term outlook for cement companies, which majorly use these commodities for power and fuel requirements.

Analysts, however, believe that these headwinds are transitory as the likely price hikes by companies will help aid margin pressures. 

"The current situation raises concerns on earnings performance for companies, but the impact will not be prolonged as costs are eventually going to be passed onto the