Syrma SGS, PG Electroplast and Dixon: ICICI Direct bets on three EMS stocks
Pankaj Pandey said Syrma SGS is looking attractive because it is “one of the few companies which is doing very well in the entire EMS and ODM space.”
- Aug 10, 2026,
- Updated Aug 10, 2026 4:16 PM IST
Electronic manufacturing services (EMS) stocks are back in focus after a strong earnings season, with ICICI Direct flagging Syrma SGS Technology Ltd, PG Electroplast and Dixon Technologies (India) Ltd as its top ideas in the space. The brokerage’s bullish stance comes amid a broader shift in market leadership toward mid- and small-cap names, where earnings momentum has remained far stronger than in large caps.
Earnings strength drives stock selection
Speaking on the sector, ICICI DIrect's Pankaj Pandey said Syrma SGS is looking attractive because it is “one of the few companies which is doing very well in the entire EMS and ODM space.” He added that the company is expected to deliver a “very stable set of numbers” while commanding “one of the highest margins of about 12-odd per cent within the space.”
Festive demand puts PG Electroplast in spotlight
PG Electroplast also made the cut after what Pandey described as a healthy operating performance across categories. “Not only the AC segment did well for them, the washing machine segment also did well,” he said, adding that the company looks attractive as the festive season approaches.
The read-through for the market is clear: investors are rewarding EMS and consumer-durable suppliers that are showing breadth across product lines rather than dependence on a single category. If seasonal demand holds up, companies with exposure to room air-conditioners and appliances could remain in favour.
Dixon’s outlook turns constructive again
Dixon, one of the best-known names in the segment, is also seeing sentiment improve. Pandey said that “after a long period of time, things are looking a lot more constructive here,” citing the approval of the Vivo joint venture as a major trigger.
That matters because mobile remains Dixon’s largest business. According to Pandey, the company’s mobile numbers “should start doing well,” while the new ECMS scheme is another positive for the business. Together, those factors suggest that policy support and customer tie-ups are once again becoming central to the Dixon investment case.
Electronic manufacturing services (EMS) stocks are back in focus after a strong earnings season, with ICICI Direct flagging Syrma SGS Technology Ltd, PG Electroplast and Dixon Technologies (India) Ltd as its top ideas in the space. The brokerage’s bullish stance comes amid a broader shift in market leadership toward mid- and small-cap names, where earnings momentum has remained far stronger than in large caps.
Earnings strength drives stock selection
Speaking on the sector, ICICI DIrect's Pankaj Pandey said Syrma SGS is looking attractive because it is “one of the few companies which is doing very well in the entire EMS and ODM space.” He added that the company is expected to deliver a “very stable set of numbers” while commanding “one of the highest margins of about 12-odd per cent within the space.”
Festive demand puts PG Electroplast in spotlight
PG Electroplast also made the cut after what Pandey described as a healthy operating performance across categories. “Not only the AC segment did well for them, the washing machine segment also did well,” he said, adding that the company looks attractive as the festive season approaches.
The read-through for the market is clear: investors are rewarding EMS and consumer-durable suppliers that are showing breadth across product lines rather than dependence on a single category. If seasonal demand holds up, companies with exposure to room air-conditioners and appliances could remain in favour.
Dixon’s outlook turns constructive again
Dixon, one of the best-known names in the segment, is also seeing sentiment improve. Pandey said that “after a long period of time, things are looking a lot more constructive here,” citing the approval of the Vivo joint venture as a major trigger.
That matters because mobile remains Dixon’s largest business. According to Pandey, the company’s mobile numbers “should start doing well,” while the new ECMS scheme is another positive for the business. Together, those factors suggest that policy support and customer tie-ups are once again becoming central to the Dixon investment case.