Buy Polycab India; target of Rs 9073: Anand Rathi

Buy

Anand Rathi's research report on Polycab India

Polycab delivered a strong performance in Q3FY26 with revenue and earnings growing by 46% y/y and 36% y/y, respectively led by robust execution in Wires & Cables (W&C) and sustained profitability in FMEG segments. While near-term margins were impacted by sharp commodity inflation and a strategic, staggered price pass-through, underlying demand remains robust across capex and real estate.With higher capacity utilisation, Q4-ready inventories, disciplined capex and solar-led FMEG scaling, we expect sustained growth and gradual margin recovery, which positions Polycab well for continued market-share gain and long-term value creation.

Outlook

Thus, we maintain BUY rating on the stock with a 12- month TP of Rs9,073 (from Rs8,868 earlier), valuing it at 38x FY28e EPS of Rs239 (from 40x Sep’27e EPS of Rs222 earlier).

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Polycab India - 1901026 - anand