Dangote Cement Plc (NGX: DANGCEM) is expected to continue to experience price-induced top-line growth in FY’25 despite projected volume weakness driven by the Pan-African operations. Cost initiatives such as the alternative fuel scheme, use of CNG trucks, and trimming of financial liabilities are also expected to support margins, dovetailing to a mean gross margin of 59.1% across our forecast horizon that is also consistent with capacity expansions in the medium term. All considered, we see legroom for mean ROA and ROE of 16.7% and 38.4% over the next half decade vs 10.1% and 24.2% in previous forecasts. We have revised our 12-month Target Price (TP) to N481.33 (vs N493.77 previously), implying a modest 9.4% upside to the reference price of N440.00. We retain our HOLD recommendation on the ticker
