UltraTech Cement (UCLQF) versus Its Rivals Critical Review

Profitability

This table compares UltraTech Cement and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
UltraTech Cement	N/A	N/A	N/A
UltraTech Cement Competitors	4.41%	8.31%	5.03%

Institutional & Insider Ownership

0.1% of UltraTech Cement shares are owned by institutional investors. Comparatively, 46.6% of shares of all “Construction Materials” companies are owned by institutional investors. 9.9% of shares of all “Construction Materials” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Dividends

UltraTech Cement pays an annual dividend of $8.54 per share and has a dividend yield of 8.3%. UltraTech Cement pays out 10.2% of its earnings in the form of a dividend. As a group, “Construction Materials” companies pay a dividend yield of 183.5% and pay out 31.6% of their earnings in the form of a dividend.

Earnings & Valuation

This table compares UltraTech Cement and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
UltraTech Cement	N/A	N/A	1.22
UltraTech Cement Competitors	$6.81 billion	$651.37 million	32.55

UltraTech Cement’s competitors have higher revenue and earnings than UltraTech Cement. UltraTech Cement is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Summary

UltraTech Cement competitors beat UltraTech Cement on 8 of the 9 factors compared.

UltraTech Cement Company Profile

UltraTech Cement Limited, together with its subsidiaries, manufactures and sells cement and cement related products in India. It offers ordinary Portland cement, Portland blast furnace slag cement, Portland Pozzolana cement, ready mix concrete, white cement, and white cement-based products; and ready-mix concrete. The company provides Tile Adhesive polymer under TILEFIXO, FLEX, HIFLEX; Seal & Dry water proofing products for kitchen balconies, chajjas, slope roofs, bathrooms, canal linings, swimming pools, and water tanks; Power Grout, an industrial grout for machine foundation, precast elements, and safety vaults; Readi Plast and Super Stucco, a plastering agent for internal and external walls; as well as liquid system for mortar and concrete modifier, repair mortars and concrete under the name of Basekrete and Microkrete. In addition, the company offers bed jointing material for AAC block, Fly Ash Bricks, and concrete blocks, and light weight block for masonry construction, and flooring screeds. Further, the company offers construction products for home builders; and value-added services that include technical advice during concreting, vaastu consultancy, various training programs, and other related services. The company exports its products to the United Arab Emirates, Bahrain, and Sri Lanka. UltraTech Cement Limited was incorporated in 2000 and is based in Mumbai, India. The company operates as a subsidiary of Grasim Industries Limited.