Polycab Seen as Top Pick Amid Copper Price Surge
Polycab remains a top pick in the power and cables space, driven by strong performance across its wires, cables, and FMEG (Fast Moving Electrical Goods) segments. Analysts believe that rising copper prices could lead to advanced restocking across distribution channels, benefiting cable companies.
SBI Securities' Sunny Agarwal points out that robust capital expenditure in the power sector, combined with growing data centre demand, is creating fresh opportunities for the industry. He notes a moderate risk-reward profile at current levels, with a fair value of ₹11,000 for Polycab.
Agarwal advises investors to accumulate Polycab with an investment horizon of three to eight months. This view is based on the assumption that the company's stock could benefit from the potential rise in copper prices and the increasing demand for cables and wires.