Star CementNSE:STARCEMENT -0.39%88 Dividend Payout Ratio is 0.27 as of Mar. 2026, which is 80% above its 10-year median of 0.15. GuruFocus rates NSE:STARCEMENT with a GF Score™ of 88/100 and a GF Value™ of ₹267.17 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 209 Building Materials companies, Star Cement ranks better than 79.9% on this metric.
The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period. Star Cement's Dividend Payout Ratio for the
months ended in Mar. 2026 was 0.27.
The historical rank and industry rank for Star Cement's Dividend Payout Ratio or its related term are showing as below:
NSE:STARCEMENT'
s Dividend Payout Ratio Range Over the Past 10 Years
Min: 0.14 Med: 0.15 Max: 0.2
Current: 0.2
During the past 11 years, the highest Dividend Payout Ratio of Star Cement was 0.20. The lowest was 0.14. And the median was 0.15.
NSE:STARCEMENT's Dividend Payout Ratio is ranked better than 79.9% of 209
companies
in the Building Materials industry
Industry Median: 0.38
vs NSE:STARCEMENT: 0.20
The growth rate is calculated with least square regression.
For more information regarding to dividend, please check our Dividend Page.
* Please note that "special dividend" is not included in the calculation of dividend per share and related fields.
Star Cement (NSE:STARCEMENT) Dividend Payout Ratio Explanation
In dividends investing, Dividend Payout Ratio and Dividend Growth Rate are the two most important variables for consideration. A lower payout ratio may indicate that the company has more room to increase its dividends.
Star Cement Dividend Payout Ratio Related Terms
Star Cement Dividend Payout Ratio Historical Data
* Premium members only.
The historical data trend for Star Cement's Dividend Payout Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
NSE:STARCEMENT vs CRH, VMC, MLM: Dividend Payout Ratio Comparison
For the Building Materials subindustry, Star Cement's Dividend Payout Ratio, along with its competitors' market caps and Dividend Payout Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Star Cement Dividend Payout Ratio vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Star Cement's Dividend Payout Ratio distribution charts can be found below:
* The bar in red indicates where Star Cement's Dividend Payout Ratio falls into.
The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period.
Star Cement's Dividend Payout Ratio for the fiscal year that ended in Mar. 2026 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Star Cement (NSE:STARCEMENT) has a Dividend Payout Ratio of 0.27 as of Mar. 2026. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Star Cement and its competitors. This is 80% above median its historical median of 0.15. Over the past decade, Star Cement's Dividend Payout Ratio has ranged from 0.14 to 0.20. According to the industry distribution chart, Star Cement ranks #42 out of 209 companies in the Building Materials industry, placing it in the top 20.1%.
Is Star Cement's Dividend Payout Ratio too high?
Star Cement's current Dividend Payout Ratio of 0.27 is 80% above median its 10-year median of 0.15. Over the past 10 years, this metric has ranged from a low of 0.14 to a high of 0.20. The Building Materials industry median Dividend Payout Ratio is 0.38. Star Cement's value of 0.27 is 28.9% below this industry median. Based on the distribution chart, Star Cement ranks #42 out of 209 companies in the Building Materials industry, which is in the top quartile — a strong position relative to peers. Overall, Star Cement has a GF Score™ of 88/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Star Cement's Dividend Payout Ratio compare to CRH and VMC?
According to the Building Materials industry distribution chart, Star Cement ranks #42 out of 209 companies for Dividend Payout Ratio. This places Star Cement in the top 20% of its industry — outperforming the majority of peers. The industry median Dividend Payout Ratio is 0.38. Star Cement's value of 0.27 is 28.9% below this benchmark. Historically, Star Cement's own Dividend Payout Ratio has ranged from 0.14 to 0.20 over the past decade. While the company's 10-year median is 0.15 vs. the industry median of 0.38, Star Cement has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Dividend Payout Ratio for a Building Materials company?
The median Dividend Payout Ratio among Building Materials companies is 0.38, based on 209 companies in the industry. Companies in the top quartile (top 25%) have a Dividend Payout Ratio significantly above this median, while those in the bottom quartile fall well below. However, Dividend Payout Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Star Cement's current Dividend Payout Ratio of 0.27 is 28.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Dividend Payout Ratio mean?
A high Dividend Payout Ratio can signal that a stock is expensive relative to its fundamentals. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Star Cement and its competitors. For the Building Materials industry, the median Dividend Payout Ratio is 0.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Star Cement's current Dividend Payout Ratio is 0.27, which is 80% above median its own 10-year median of 0.15. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Star Cement stock overvalued right now?
Based on GuruFocus' analysis, Star Cement (NSE:STARCEMENT) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹267.17, compared to a current price of ₹207.72 — trading 22.3% below its estimated fair value. The current Dividend Payout Ratio is 0.27, which is 80% above median its 10-year median of 0.15 and 28.9% below the Building Materials industry median of 0.38. Star Cement's overall GF Score™ is 88/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Dividend Payout Ratio calculated?
Dividend Payout Ratio is calculated from a company's financial statements. For Star Cement (NSE:STARCEMENT), the current Dividend Payout Ratio is 0.27 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Star Cement (NSE:STARCEMENT) Overvalued in 2026?
Based on GuruFocus' analysis, Star Cement stock appears to be undervalued.
The current stock price of ₹207.72 is trading 22.3% below its estimated GF Value™ of ₹267.17.
GuruFocus considers Star Cement to be Modestly Undervalued.
Key valuation signals for NSE:STARCEMENT:
Dividend Payout Ratio: 0.27 (80% above median its 10-year median of 0.15)
GF Value™: ₹267.17 vs. price of ₹207.72 (22.3% below fair value)
Industry Position: 28.9% below the Building Materials median (#42 of 209)
No single metric tells the full story. See the NSE:STARCEMENT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Star Cement Ltd is a cement company. It offers Cement and Cement linker products. The group markets clinker to different grinding units in North East India and parts of Eastern India. Its product range comprises ordinary Portland cement, Portland pozzolana cement, and Portland slag cement, among others. The company sells its products in India. Geographically, the company generates the majority of its revenue from India.
88GF Score
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