Buy ACC To Achieve Short-Term Target Of Rs 840: Nirmal Bang

ACC reports rise in first quarter net profit and total income In its latest research report, Nirmal Bang, an equity research firm said that ACC, which has been consolidating between Rs 795-815 level, can give good returns in the short term.

The report further stated that, if the counter is successful to breach Rs 815 levels, then it will hit a target of Rs 840.

Nirmal Bang has advised investors to hold the stock of the company as it is showing signs of revival, which gives an evidence of a strong breakout.

The stock has strong support at Rs 787.

Today (Sep 17), the shares of the company opened at Rs 804.10 on the Bombay Stock Exchange (BSE). Current EPS and P/E of the stock stood at 78.54 & 10.52 respectively. The share price has seen a 52-week high of Rs 928 and a low of Rs 369 on BSE.

Cement manufacturer ACC on Sep 17 stated that it has decided to make an investment of Rs 1,400 crore by the coming year in order to swell its manufacturing capacity.

Mr. Sumit Banerjee ACC Managing Director told that ACC had projected a capital expenditure of Rs 1,600 crore in the existing fiscal, and going forward for 2010, the company has a planned capex of around Rs 1,400 crore.

Acc anticipates demand from the housing as well as commercial segments to increase in the next few months.

On Sep 01, ACC announced that its sales during the last month (Aug 2009) surged more than 7% to 1.65 million tons as against the corresponding period of the last year.

ACC made 1.63 million tons of cement during the period under review as against 1.52 million tons in Aug 2008.

The company's overall production during the first eight months of the existing fiscal ending August 31, 2009 was 14.48 million tons as compared to 13.83 million tons in August 2008.

Despatches zoomed by 0.63 million tons in the first eight months of the existing fiscal stood at 14.49 million tons as against 13.86 million tons in the same period last year.