Polycab India [POLYCAB] Shares Rally on Strong Q4: Citi Sets Target at ₹10,500
Polycab India [POLYCAB] shares jumped 6% after reporting robust Q4 results, featuring 27% YoY revenue growth and 13% EBITDA increase. Brokerages, including Citi, have responded by raising target prices, with Citi setting a Street-high of ₹10,500.
Brokerage Recommendation
Citi
Target Price
₹10,500.00
CMP
₹8,938.70
Upside
+17.5%
Polycab India [POLYCAB] shares experienced a notable surge, climbing 6% to touch ₹8,938.70 in the wake of its impressive fourth-quarter financial results. The robust performance by the leading wires and cables manufacturer surpassed market expectations, triggering a wave of upward revisions in target prices from various brokerage houses.
For the quarter concluding March 31, 2024, Polycab India [POLYCAB] announced a significant 27% year-on-year increase in its consolidated revenue, underscoring strong underlying demand and effective market penetration. Concurrently, the company's Earnings Before Interest, Taxes, Depreciation, and Amortisation (EBITDA) demonstrated a healthy 13% growth over the same period. This strong financial outing garnered significant praise from market analysts, who pointed out that the company's resilience was particularly commendable. It managed to deliver these results despite facing several headwinds, including geopolitical tensions, a somewhat subdued demand environment in March, and ongoing channel destocking activities across the industry.
This stellar performance has led to increased confidence among analysts regarding Polycab's future prospects. Global brokerage firm Citi [CITI] has reiterated a "BUY" recommendation for Polycab India [POLYCAB], setting an ambitious Street-high target price of ₹10,500. This optimistic valuation reflects Citi's belief in the company's strong fundamentals, its leadership position in a critical infrastructure sector, and its ability to maintain growth momentum even amidst external pressures. Investors are now closely monitoring Polycab's strategic initiatives and market expansion plans, anticipating continued value creation in the coming quarters following this compelling earnings report and strong analyst endorsement.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Stock market investments are subject to market risks. Please consult your financial advisor before making any investment decisions. StockTips.in is not a SEBI-registered investment advisor.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Stock market investments are subject to market risks. Please consult your financial advisor before making any investment decisions. StockTips.in is not a SEBI-registered investment advisor.