CLSA’s preference for RR Kabel and Polycab will keep drawing investor attention to the cables-and-wires theme, while KEI remains capped by valuation concerns.
This is a clean read-through on India’s capex and electrification story, with direct implications for listed industrial names. The call also suggests the sector still has room to expand capacity without immediately hitting saturation.
AI reasoning
This is a clean read-through on India’s capex and electrification story, with direct implications for listed industrial names. The call also suggests the sector still has room to expand capacity without immediately hitting saturation.
Curated summary
CLSA initiated coverage on RR Kabel, Polycab and KEI Industries, saying India’s cables and wires market can stay in a long growth cycle. It prefers RR Kabel and Polycab with Outperform ratings, while KEI gets Hold. The brokerage sees demand from infrastructure, real estate, manufacturing capex, electrification and digital expansion, and expects formalisation to reach 85% by FY30.
Supporting evidence
Source news
CLSA’s cable-stock call points to a longer India infrastructure cycle
RR Kabel and Polycab got Outperform ratings, while KEI was left at Hold as the brokerage sees years of demand from electrification and digital buildout.
