Cemex SAB de CV (ADR)(NYSE:CX) has favored value over volume, and this strategy appears to be reaping the benefits in Mexico, but not in the U.S. Developing markets continue to provide growth and margin prospects, with markets like Colombia increasing and management considering venturing new markets such as India or selected African nations.

The highlights

Analysts preferred Cemex stock back in February, and the jump of 70% in the shares price since then has definitely been gratifying. While company’s management has sustained to make development with its deleveraging initiatives and has stayed committed to its value before volume concept, the firm has also gained from improving demand and easing forex pressures in many operating regions.

The concern here is what are the factors that will take Cemex to next level. The stock price is above prior fair values, however, analysts continue to stick to previous projections. While experts believe better days could be coming for company in terms of both volume and pricing in the U.S., Latin America and Mexico, it seems much has been priced.

Cemex has remained with its value over volume concept in Mexico, even though it indicated that peers have benefitted share at its cost. That may be beginning to turn back to company’s favor, though. Initially, margins have continued to be impressive throughout this procedure. While not challenging on price has indicated that company has had unused capacity, EBITDA margins have enhanced to 36% in 1Q2016 and 38% in the second quarter from nearly 34% in 4Q2015.

Next, it seems like Cemex is positioned to leverage improving volumes and better prices. Peers have been quite close to sold out since early this year. Volume surged 12% in 2Q2016, on top of 18% improvement in price in local currency and cement demand in Mexico has moved up recently despite iffy momentum in public and housing infrastructure deals. Should Mexico actually get in gear in respect to government-sponsored projects, this could be a profitable opportunity for Cemex.

The company’s business in the U.S. market isn’t quite as robust, but the recent quarter witnessed impressive EBITDA margins with pricing growing at mid-single-digit rates.