Similarly Madras Cements has been gaining steadily in the stock market. Its price increased from Rs 3,400.00 to Rs 5,508.90 during the same period. This increasing interest in cement stocks can be seen in a study of market capitalisation (M-Cap) of 42 cement stocks during April 1 and July 29. The aggregate M-Cap of 42 cement and product companies increased by 51.54 per cent (Rs 3,546 crore) to Rs 10,428 crore on July 29 from the level of Rs 6,882 crore on April 1. All the cement companies except one were responsible for this upturn.
Significant increase was seen in the case of Ambuja Cement Eastern (204.09 per cent), Birla Corporation (189.12 per cent), Gujarat Sidhee Cement (113.85 per cent), Shree Cement (92.81 per cent), India Cements (95.77 per cent), Madras Cement (62.03 per cent) and Chettinad Cement (66.18 per cent). The M-Cap of Shree Cement increased from Rs 159.90 crore to Rs 308.31 crore. Similarly Gujarat Sidhee Cements M-Cap also showed an increasing trend from Rs 39.20 crore to Rs 83.83 crore during the same period. Gujarat Sidhee Cements net profit turned out to be positive of Rs 163.67 crore during 2002-03 from the loss of Rs 30.78 crore during 2001-02. But the sales of the company marginally declined during the same period.
Among others, positive changes of 50 per cent and more in M-Cap was seen in the case of Saurashtra Cement (77.53 per cent), Mysore Cements (75.30 per cent), Chettinad Cement (66.18 per cent), Mangalam Cement (64.36 per cent) and Priyadarshini Cement (55.87 per cent). The top five cement and products companies in terms of M-Cap on July 29 are Gujarat Ambuja Cements (Rs 3,373 crore), ACC (Rs 3,213 crore), Madras Cements (Rs 665 crore), Ambuja Cement Eastern (576.03 crore) and India Cements (353 crore).