Goldman Sachs has started coverage of JSW Cement with a Neutral rating, highlighting the company’s need to balance growth with profitability during its aggressive expansion. The brokerage noted that JSW Cement operates with 20.6 million tons of grinding capacity and aims to reach 42 million tons over the next five years.
Goldman said the success of this expansion, stronger Ebitda per ton, and careful debt management will decide the company’s future valuation. Large industry rivals such as Ultratech Cement (185 mt) and Ambuja Cements (104 mt) hold debt-free balance sheets, giving them an edge in market consolidation. Goldman set a 12-month target price of ₹147, implying a 3% downside, and valued JSW Cement at 14x FY27 EV/Ebitda compared to 16–18.5x for bigger peers.
Motilal Oswal (MOFSL) also maintained a Neutral view earlier this month. It expects a good monsoon, higher government infrastructure spending, and GST reforms to drive 6.5–7.5% cement demand growth in FY26.
JSW Cement plans new plants at Sambalpur and Nagaur by FY26. Despite cost-saving measures and premium products to lift revenue by ₹400 per ton, MOFSL warned that debt will stay high due to ₹5,600 crore capex through FY28.
