Why is Polycab India Ltd ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 19.84%
- Healthy long term growth as Net Sales has grown by an annual rate of 26.89% and Operating profit at 30.87%
- Company has a low Debt to Equity ratio (avg) at 0 times
2
The company has declared Positive results for the last 5 consecutive quarters
- NET SALES(Q) Highest at Rs 8,864.48 cr
- PBDIT(Q) Highest at Rs 1,161.31 cr.
- PBT LESS OI(Q) Highest at Rs 988.87 cr.
3
Stock is technically in a Bullish range
- The technical trend has improved from Mildly Bullish on 15-Apr-26 and has generated 20.65% returns since then
- Multiple factors for the stock are Bullish like MACD, Bollinger Band, KST and DOW
4
High Institutional Holdings at 26.17%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
5
Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks
How much should you buy?
- Overall Portfolio exposure to Polycab India should be less than 10%
- Overall Portfolio exposure to Cables - Electricals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Cables - Electricals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Polycab India for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Polycab India
66.32%
2.03
29.41%
Sensex
-5.06%
-0.49
12.94%
Quality key factors
Factor
Value
Sales Growth (5y)
26.89%
EBIT Growth (5y)
30.87%
EBIT to Interest (avg)
20.96
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.34
Sales to Capital Employed (avg)
2.22
Tax Ratio
25.04%
Dividend Payout Ratio
26.48%
Pledged Shares
0
Institutional Holding
26.17%
ROCE (avg)
35.51%
ROE (avg)
19.84%
Valuation Key Factors 
Factor
Value
P/E Ratio
56
Industry P/E
50
Price to Book Value
12.45
EV to EBIT
40.19
EV to EBITDA
36.32
EV to Capital Employed
18.28
EV to Sales
5.04
PEG Ratio
1.74
Dividend Yield
0.35%
ROCE (Latest)
45.49%
ROE (Latest)
22.25%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Bullish
Bullish
OBV
Mildly Bearish
Mildly Bullish
Technical Movement
13What is working for the Company
NET SALES(Q)
Highest at Rs 8,864.48 cr
PBDIT(Q)
Highest at Rs 1,161.31 cr.
PBT LESS OI(Q)
Highest at Rs 988.87 cr.
PAT(Q)
Highest at Rs 772.77 cr.
EPS(Q)
Highest at Rs 51.33
-1What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 7.68 times
Loading Valuation Snapshot...
Here's what is working for Polycab India
Net Sales - Quarterly
Highest at Rs 8,864.48 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 8,864.48 cr has Grown at 31.3% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 6,751.28 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 1,161.31 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 988.87 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 772.77 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 51.33
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Polycab India
Debtors Turnover Ratio- Half Yearly
Lowest at 7.68 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio