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Polycab India’s share price hovered around Rs 7,000 on Friday (July 18, 2025), not far away from its 52-week high. The reason? A blowout Q1 performance with a 49 per cent jump in net profit and 26 per cent revenue growth.
Investors cheered, but here’s the twist: while business is booming, valuations are already electric. The stock’s P/E ratio is now hovering near 48x, well above sector peers.
So the question is: Is Polycab still a solid buy, or are investors paying too much for perfection?
What’s buzzing now
Quarterly results (Q1 FY26)
- Revenue: Rs 5,906 crore (up 26 per cent YoY)
- Net profit: Rs 599.7 crore (up 49 per cent YoY)
Stock movement (July 18)
- Polycab traded around Rs 7,000, not far from its recent high of Rs 7,607
- The stock is up nearly 50 per cent in the past year
About the company
Polycab is India’s largest wires and cables maker, holding over a 25 per cent market share. But it’s no one-trick pony. It also makes fans, switches, LEDs, solar products and even dabbles in EPC services.
Below is a table summarising the company’s fundamentals.
| Metric | Value |
|---|---|
| Market cap | Rs 1.06 lakh crore |
| P/E ratio | 47.8 |
| P/B ratio | 10.3 |
| ROE | 22.9 per cent |
| ROCE | 31.5 per cent |
| EPS | Rs 147.3 |
| Book value | Rs 646.1 |
| Dividend yield | 0.5 per cent |
Value Research Online ratings
- Overall: 4/5
- Quality: 9/10
- Growth: 8/10
- Valuation: 3/10
- Momentum: 4/10
The bottom line
Polycab’s results show strength, and the stock reflects that. But great businesses don’t always make great buys at any price. With P/E multiples soaring and the stock close to its highs, this may be the time to hold your fire—or tighten your stop-losses.
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Disclaimer: This is not a stock recommendation. This story was created with the assistance of artificial intelligence and has been reviewed by human experts for accuracy and is intended for informational purposes only. Please take it with a pinch of salt and do your own research or consult a financial advisor before making investment decisions.
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