India Cements share price jumps 8%: A trend reversal or just a relief rally? Experts weigh in; check key levels to watch
India Cements share price jumped nearly 8% on Wednesday, 21 October, after reports highlighted the company's plan to acquire a 3.62% stake in Zenataris Renewable Energy to secure renewable power for its cement manufacturing operations.
The company has entered into an energy supply agreement and a share subscription agreement for an equity investment exceeding ₹20 crore. The transaction is expected to be completed within 120 days of the execution of the agreement, India Cements said in an exchange filing dated 15 October, updated on 16 October.
Hyderabad-based Zenataris Renewable Energy has been established as a special purpose vehicle (SPV) to develop and operate an inter-state transmission system (ISTS)-linked hybrid renewable energy project at Kudligi in Karnataka's Vijayanagara district.
Under the arrangement, the SPV will supply 11 MW of renewable energy to India Cements' cement plants under the group captive model. The investment is aimed at meeting the cement maker's captive power requirements, optimising energy costs and complying with regulatory requirements governing captive power consumption.
The share subscription and energy supply agreements provide the framework for India Cements' participation in the project and procurement of renewable power. The company has not disclosed additional financial details of the equity investment.
The share price movement comes days after India Cements, an Aditya Birla Group company and a subsidiary of UltraTech Cement, reported a nearly fourfold year-on-year increase in consolidated net profit for the September quarter.
The company posted a net profit of ₹38.82 crore in Q2 FY27, compared with ₹8.81 crore in the corresponding quarter last year, according to its 17 October exchange filing.
Revenue from operations rose 2.23% year-on-year to ₹1,142.03 crore from ₹1,117.04 crore. Total income, including other income, was marginally lower at ₹1,145.70 crore against ₹1,146.04 crore a year earlier.
Total expenses declined 3.7% year-on-year to ₹1,093.42 crore during the quarter. India Cements attributed the improvement in profitability to operational efficiencies and higher capacity utilisation, which supported growth in EBITDA and profit after tax.
The company's domestic sales volume increased 16.2% year-on-year to 2.83 million tonnes in the September quarter, according to its earnings presentation.
India Cements share price today opened at ₹299 apiece on the BSE, the stock touched an intraday high of ₹317 per share, and an intraday low of ₹296.25 apiece.
Osho Krishan, Chief Manager – Technical and Derivative Research at Angel One, said India Cements remains in a long-term downtrend, trading below its key exponential moving averages (EMAs) and long-term simple moving average (SMA), indicating a bearish technical outlook. However, oversold technical indicators and consolidation over the past couple of weeks suggest that selling pressure may be easing. Recent developments could trigger a technical pullback towards ₹330–335, a key resistance zone that coincides with the 50-day exponential moving average (DEMA). On the downside, ₹290 remains a crucial support level. Krishan said the overall outlook remains cautious until the stock’s technical structure improves meaningfully.
Gaurav Arora, Head of Research at SAHI, said India Cements has been in a declining trend since January 2026, but the stock has established a key support base around ₹285. It is now attempting a breakout from this zone, although sustaining above ₹305 will be crucial for the recovery to gain strength. For now, the move appears to be a pullback within the broader downtrend rather than a confirmed trend reversal.
Arora noted that buying interest has emerged around the key demand zone, offering some encouraging signs. A decisive move above ₹330 could strengthen the bullish case and signal a more meaningful shift in the stock’s trend.
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HomeMarketsStock MarketsIndia Cements share price jumps 8%: A trend reversal or just a relief rally? Experts weigh in; check key levels to watch
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