Is Ramco Industries the Best Stock in Its Sector? A Look at the Numbers

Ramco Industries CMP Rs 296 (06 Oct 2026). Market cap Rs 2,591 Cr. ROE 6.77%. P/E 7.92x versus Industry P/E 10.13x.

Updated: 6 Oct 2026 • 4:32 pm

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Is Ramco Industries the Best Stock in Its Sector? A Look at the Numbers

Quick Answer

Ramco Industries is one of the names investors compare when screening the Construction Materials sector, built on a 6.77% return on equity and a P/E of 7.92x against an Industry P/E of 10.13x. Whether Ramco Industries is the best stock in its sector depends on whether an investor is optimising for return ratios, valuation, or both. This article breaks down the metrics, including a comparison against named Construction Materials sector peers, so you can judge that for yourself.

Is Ramco Industries the best stock in its sector? The stock trades on the NSE at Rs 296 as of 06 October 2026, within its 52-week range of Rs 230.65 to Rs 395.50. Ramco Industries Ltd, part of the Ramco Group, manufactures fibre cement sheets and boards and other building products, and also has a yarn business.

Ramco Industries sits in the Construction Materials sector, and its 6.77% ROE and 7.92x P/E give a starting point for judging where it stands against comparable listed names. The rest of this article compares those numbers against verified peers and the sector's Industry P/E benchmark.

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Table of Contents

About Ramco Industries

Ramco Industries Ltd, part of the Ramco Group, manufactures fibre cement sheets and boards and other building products, and also has a yarn business. The stock fell about 0.7 percent during this session and is trading about 25 percent below its 52-week high, and below its own book value. At a market capitalisation of Rs 2,591 Cr, it is tracked as part of the Construction Materials sector on Univest.

Is Ramco Industries the Best Stock in Its Sector?

Ramco Industries makes its case as the best stock in its sector primarily on valuation relative to its Industry P/E, combining a 6.77% ROE with a 7.92x P/E against the sector's 10.13x Industry P/E. Ramco Industries' 7.92x P/E is below the 10.13x Industry P/E and it trades at barely half its own book value, but a 6.77% ROE is modest, so the discount reflects thinner current returns rather than a clear bargain.

Metric	Ramco Industries
CMP (NSE)	Rs 296.45
52-Week High / Low	Rs 395.50 / Rs 230.65
Market Cap	Rs 2,591 Cr
P/E (TTM) vs Industry P/E	7.92x vs 10.13x
P/B	0.57
ROE	6.77%
EPS (TTM)	Rs 37.68
Dividend Yield	0.00%
Debt to Equity	0.04

Compare Ramco Industries Against Other Construction Materials Sector Stocks

How Ramco Industries Compares Against Its Construction Materials Sector Peers

The table below sets Ramco Industries against 2 other Construction Materials sector names, using the same live data source for every company. A peer average row is included for P/E, ROE and debt to equity, calculated across the 2 peer companies.

Company	Market Cap (Rs Cr)	P/E	ROE	Debt to Equity
Ramco Industries	2,591	7.92	6.77%	0.04
NCL Industries	788	8.52	13.95%	0.25
Mangalam Cement	2,728	23.77	14.94%	0.91
Peer average (2 companies)	-	16.14	14.45%	0.58

Against this peer set, Ramco Industries's 6.77% ROE is below the 14.45% peer average, and its P/E of 7.92x runs below the peer average of 16.14x. Ramco Industries' 7.92x P/E is below the 10.13x Industry P/E and it trades at barely half its own book value, but a 6.77% ROE is modest, so the discount reflects thinner current returns rather than a clear bargain.

What Makes Ramco Industries Worth Watching in Construction Materials

Below book value and Industry P/E: A 7.92x P/E against a 10.13x Industry P/E, alongside a P/B of 0.57, means the stock trades well under its own book value.
Near debt free: A debt to equity ratio of 0.04 gives Ramco Industries significant balance sheet flexibility.
Modest returns: A 6.77% ROE is modest, so the below-book valuation reflects thinner current returns as much as an overlooked opportunity.

Ramco Industries Valuation: Is It Justified?

Ramco Industries' 7.92x P/E is below the 10.13x Industry P/E and it trades at barely half its own book value, but a 6.77% ROE is modest, so the discount reflects thinner current returns rather than a clear bargain. As with any single stock, investors should weigh this against their own valuation discipline and risk appetite rather than the sector label alone.

Also read – Is Radhika Jeweltech the Best Stock in Its Sector? A Look at the Numbers

Download the Univest iOS App or Univest Android App to track Ramco Industries and other Construction Materials sector stocks.

How to Track Ramco Industries Before You Invest

Before deciding whether Ramco Industries deserves its label as the best stock in its sector for your own portfolio, compare it directly against Construction Materials sector peers using the steps below.

Open the Univest Screener and search for Ramco Industries to view live price, valuation ratios, and peer comparisons within the Construction Materials sector.
Compare its P/E, P/B, and ROE against other Construction Materials sector stocks before deciding if the current valuation fits your strategy.
Set a price alert around key support and resistance zones using the Univest app so you are notified of meaningful moves.
Open a broking account on Univest if you decide to add the stock, and size the position based on your own risk appetite and portfolio allocation.

Conclusion

Ramco Industries is worth researching mainly on valuation, with a P/E of 7.92x against a 10.13x Industry P/E, but a 6.77% ROE is modest, so the case for calling it the best stock in its sector rests on more than current returns. As with any individual stock decision, this analysis is educational and investors should do their own research or consult a SEBI-registered advisor before investing.

Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).

Is Ramco Industries the best stock in its sector?

Ans. Ramco Industries has a 6.77% ROE and trades at 7.92x P/E against a 10.13x Industry P/E, and compares below the peer average ROE of 14.45% in this article's named comparison, so the answer depends on what an investor is prioritising.

What is the current share price of Ramco Industries?

Ans. Ramco Industries was trading at Rs 296.45 on the NSE as of 06 October 2026, within its 52-week range of Rs 230.65 to Rs 395.50.

What sector does Ramco Industries belong to?

Ans. Ramco Industries is classified under the Construction Materials sector on Univest.

How does Ramco Industries compare to its sector peers on P/E?

Ans. Ramco Industries's P/E of 7.92x is below the 16.14x average of the 2 named peers compared in this article.

What is Ramco Industries's return on equity?

Ans. Ramco Industries reported a return on equity of 6.77%, which is below the 14.45% average of its named peers in this comparison.

Should I invest in Ramco Industries based on its sector position?

Ans. Ramco Industries's sector position and metrics make it worth researching further, but any investment decision should factor in your own risk appetite, its valuation relative to peers, and independent research or advice from a SEBI-registered advisor.

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