Following are the reasons for ultratech stock price to rise in long term:
1) Central Govt's infrastructure plans will get fully executed only in this year resulting into highest capex exp by govt since 2011.
2) Also low interest rates will add to higher capex expenditure by industries which were stuck since
2011.
3) Any change in indirect tax will not effect the cement industry margins as credit is available to the industry in form of cenvat credit.
4)Any increase in raw material or freight cost will be passed on to consumers leaving margins untouched.
5) Increased capacity will lead to higher turnover and profits.
6) Investors complaining about this company not giving dividends and bonuses do not understand that the same are being ploughed back by the company to increase capacity through takeovers and expansions as well as lowering energy cost by new indegenious power plants.
7) Aditya Birla group is known for its conservative approach with highest regard to investor interest.
1) Central Govt's infrastructure plans will get fully executed only in this year resulting into highest capex exp by govt since 2011.
2) Also low interest rates will add to higher capex expenditure by industries which were stuck since
2011.
3) Any change in indirect tax will not effect the cement industry margins as credit is available to the industry in form of cenvat credit.
4)Any increase in raw material or freight cost will be passed on to consumers leaving margins untouched.
5) Increased capacity will lead to higher turnover and profits.
6) Investors complaining about this company not giving dividends and bonuses do not understand that the same are being ploughed back by the company to increase capacity through takeovers and expansions as well as lowering energy cost by new indegenious power plants.
7) Aditya Birla group is known for its conservative approach with highest regard to investor interest.
