Shree Cement (SRCM IN) – Q3FY26 Result Update – EBITDA miss on flattish volumes again – Downgrade to ‘HOLD’
Published on 07 Feb 2026
Over the past few quarters, SRCM has lost market share to peers, which remains a cause for concern. While the company’s value over volume strategy has supported margins, it has come at the cost of volume growth and utilisation, raising questions around its ability to grow in line with the industry. Going ahead, a recalibration towards volumes may be necessary to protect market positioning amid rising competitive intensity. That said, SRCM’s robust balance sheet and strong cost leadership should continue to support margins and provide flexibility to execute its long-term growth plans. The stock is trading at EV of 17.5x/16x FY27/FY28E EBITDA. Hold.
