Polycab India Ltd. (POLYCAB) AI Stock Analysis

• Market Cap: ₹1.07T
• Dividend Yield: 0.49%
• Average Volume (3M): 9.18K
• Price to Earnings (P/E): 48.1
• Beta (1Y): 0.98
• Revenue Growth: 25.40%
• EPS Growth: 24.25%
• Country: IN
• Employees: 4,843
• Sector: Consumer Defensive
• Sector Strength: 48
• Industry: Electrical Equipment & Parts
• EPS (TTM): 39.21
• Shares Outstanding: 150,523,270
• 10 Day Avg. Volume: 6,273
• 30 Day Avg. Volume: 9,178
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹7,339.10
• Price Target Upside: 2.23% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 77 Outperform
• Price Target: ₹7,607.00 ▲(5.96% Upside)

Polycab India Ltd. is a financially strong company with substantial revenue growth and robust cash flows. However, the high P/E ratio suggests potential overvaluation. Technical analysis indicates mixed signals, with price momentum leaning positive but not strongly bullish.

Polycab India Ltd. Business Overview & Revenue Model

Company Description

Polycab India Ltd. (POLYCAB) is a leading Indian manufacturer and supplier in the electrical goods sector, primarily known for its extensive range of wires and cables. The company operates in several segments, including wires and cables, fast-moving electrical goods (FMEG), and other related products. Polycab's core products encompass an array of electrical solutions such as power cables, control cables, instrumentation cables, and various types of specialty cables, as well as electric fans, LED lighting, switches, and solar products.

How the Company Makes Money

Polycab India Ltd. generates revenue primarily through the manufacturing and sale of its diverse product portfolio, with the wires and cables segment being the largest contributor to its income. The company's extensive distribution network across India and its export markets support its sales efforts. Additionally, Polycab has been expanding its presence in the fast-moving electrical goods (FMEG) sector, which adds another significant revenue stream. Strategic partnerships with various distributors and retailers help enhance market reach and sales effectiveness. The company's focus on innovation and quality, coupled with its diverse product offerings, allows it to capture a substantial share of the market, contributing to its overall financial success.

Polycab India Ltd. Financial Statement Overview

Summary

Polycab India Ltd. demonstrates strong financial performance with significant revenue growth, robust margins, and exceptional cash flow. The low debt-to-equity ratio indicates low financial leverage, and the company's assets are expanding healthily.

Income Statement

Polycab India Ltd. has shown robust revenue growth, with a notable increase from ₹122.04 billion in 2022 to ₹236.16 billion TTM. Gross profit and net income margins are strong, with a gross profit margin of 25.28% and a net profit margin of 9.38% TTM. The company has managed impressive EBIT and EBITDA margins, demonstrating operational efficiency. Overall, the income statement reflects a healthy growth trajectory and profitability.

Balance Sheet

The balance sheet is strong, with a low debt-to-equity ratio of 0.02 TTM, indicating low financial leverage and reliance on equity financing. The equity ratio stands at 66.11%, reflecting a stable financial position. Return on equity is a solid 21.26% TTM, showcasing effective utilization of shareholders' investments. The company's assets have been growing, indicating a healthy expansion.

Cash Flow

Cash flow performance is exceptional, with a significant increase in free cash flow from ₹0.16 billion in 2022 to ₹19.61 billion TTM. Operating cash flow to net income ratio is 1.38, illustrating strong cash conversion. The company has been efficient in its capital expenditures, supporting its growth without compromising cash reserves. This robust cash flow profile ensures financial flexibility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	236.16B	224.08B	180.39B	141.08B	122.04B	87.34B
Gross Profit	59.71B	55.40B	46.44B	35.97B	24.66B	20.17B
EBITDA	34.64B	29.43B	27.12B	19.81B	13.50B	12.26B
Net Income	22.16B	20.20B	17.84B	12.71B	9.09B	8.82B
Balance Sheet
Total Assets	157.65B	137.73B	120.79B	94.25B	74.12B	70.15B
Cash, Cash Equivalents and Short-Term Investments	29.61B	25.45B	22.34B	20.50B	11.71B	11.54B
Total Debt	2.05B	2.40B	20.23B	1.91B	1.18B	2.83B
Total Liabilities	52.53B	38.66B	38.36B	27.57B	18.43B	22.42B
Stockholders Equity	104.23B	98.25B	81.87B	66.31B	55.44B	47.54B
Cash Flow
Free Cash Flow	19.61B	8.39B	4.38B	9.48B	-150.82M	10.45B
Operating Cash Flow	30.63B	18.09B	12.96B	14.28B	5.12B	12.38B
Investing Cash Flow	-25.14B	-12.39B	-7.52B	-12.03B	-4.27B	-10.12B
Financing Cash Flow	-6.11B	-6.28B	-3.87B	-2.24B	-2.01B	-1.61B

Polycab India Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7179.35
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:POLYCAB, the sentiment is Positive. The current price of 7179.35 is above the 20-day moving average (MA) of 6997.96, above the 50-day MA of 6846.75, and above the 200-day MA of 6231.07, indicating a bullish trend. The MACD of 99.30 indicates Negative momentum. The RSI at 64.07 is Neutral, neither overbought nor oversold. The STOCH value of 68.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:POLYCAB.

Polycab India Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
POLYCAB	77 Outperform	₹1.07T	48.09		0.49%	25.40%	24.25%
HAVELLS	74 Outperform	₹986.97B	70.28		0.63%	9.53%	1.43%
CROMPTON	65 Neutral	₹215.85B	40.78		0.90%	1.99%	10.81%
BAJAJELEC	65 Neutral	₹65.92B	62.14		0.52%	1.15%	-13.12%
Sector *	63 Neutral	$20.41B	14.67	-2.93%	3.10%	2.04%	-6.12%
VOLTAS	62 Neutral	₹454.17B	70.13		0.50%	2.76%	41.73%
ORIENTELEC	61 Neutral	₹45.61B	52.48		0.70%	8.62%	23.56%