Buy Polycab India; target of Rs 8000: Sharekhan

Sharekhan is bullish on Polycab India has recommended buy rating on the stock with a target price of Rs 8000 in its research report dated July 18, 2025.

Broker Research

July 21, 2025 / 10:52 IST

Buy

26 Aug, 2025 12:21

Volume

Todays L/H

Sharekhan's research report on Polycab India

Revenues grew strongly by 26% y-o-y, beating our estimates of rs 5,685 crore led by robust performance across segments such as c&w (33%), fmeg (18%) and was compensated by others (-33%). opm rose 210 bps as c&w segment’s margins led by better operational efficiency and a favourable product mix. fmeg segment continued its profitability trend and clocked an opm of 2.1%. operating profit of rs. 858 crore rose 47% y-o-y; pat stood at rs. 600 crore (49% up y-o-y). exports sales grew 24% y-o-y on a low base and accounted for 5.2% of topline. the management targets to reach 10% of topline by 2030.

Outlook

continued momentum in government and private capex with the real estate sector’s growth augurs well for players like polycab. we expect revenue/pat to clock a cagr of 24%/26%, respectively from fy25-27, with a good roce of 35%. hence, we maintain a buy rating with a revised pt of rs 8,000.

For all recommendations report, click here