ACC Limited

“ACC Limited is a mid-tier Indian cement producer with no pricing power, ROE barely at cost of equity, and a decade of value destruction in its stock price. The India construction demand tailwind is genuine but accrues to all producers equally and does not cure chronic overcapacity. The more serious concern is governance: under Adani Group control, dividends have been slashed, a dual-hat CEO serves the merged entity's interests, and an Ambuja Cements merger is progressing under structurally conflicted terms where minority shareholders have no influence over the swap ratio. FCF turned negative in FY2025. At 12.4x forward P/E on declining earnings with active governance risk, the stock is not cheap enough to compensate for what is a genuine probability of permanent capital impairment — not mere cyclical uncertainty.”