 "cement, cement sector")
India’s equity market has stumbled after two consecutive years of strong double-digit growth. The benchmark BSE Sensex fell 4.8 per cent in the 12 months to September 2025, its weakest annual performance in more than a decade. This compares with a 28.1 per cent rise in the year to September 2024 and a 14.6 per cent increase in the preceding year. With this, the index has now posted negative returns in three of the past six years ended September.
The recent decline, however, has eased valuations from the record peaks of 2024. Several blue-chip counters are now available at more attractive levels, offering opportunities for long-term investors. Even so, caution remains necessary as valuations in the broader market continue to trade above long-period averages, making careful stock selection important.
In this setting, cement major ACC has drawn attention. Its share price has dropped 27.1 per cent over the past year. Yet the stock combines relatively low valuations with steady earnings performance in recent quarters and a return on net worth of 13 per cent. This mix gives investors both downside protection in a weak market and scope for potential gains once sentiment turns positive.
Why buy ACC?
Also Read
 "Tata Consultancy Services, TCS")
 "Bajaj Housing Finance")
 "Tata Elxsi")
 "Photo: REC Limited")
 "JSW energy")
- Valuation reset: The Adani group-owned cement major has seen a sustained slide in both share price and equity valuation over the past 12 months. The stock is down 27.3 per cent in the TTM ended September 2025, with its trailing PE multiple falling 37 per cent and P/BV ratio dropping 36.3 per cent.
- Earnings snapshot: In Q1FY26, the company posted year-on-year growth in both revenue and profit, though sequential performance declined. Net sales rose 17.1 per cent Y-o-Y, but net profit was up only 4.4 per cent Y-o-Y as margins contracted and deferred tax outgo weighed on earnings.
- Relative positioning: Despite the recent correction, ACC’s stock still trades at a trailing PE of 14.7x and a P/BV of 1.9x — among the lowest valuations in the industry, giving it relative appeal compared to peers.
- Analyst view: Brokerage Elara Capital expects a gradual recovery in ACC’s share price, citing low valuation levels and a likely rebound in cement demand as key drivers going forward.
 "BSE, STOCK MARKETS")
 "Zydus Lifesciences, Zydus")
 "OPTIONS TRADING")
 "market down")
