Dixon, KEI, Polycab, Havells, Amber, PG Electroplast, Syrma: Nuvama shares target prices

KEI Industries Ltd, Polycab India Ltd, Havells India Ltd, Amber Enterprises India Ltd, PG Electroplast Ltd and Syrma SGS Technology Ltd are Nuvama's top picks in consumer durables, electricals & EMS segments. The domestic brokerage sees up to 32 per cent potential upside on its Buy-rated EMS stocks such as PG Electroplast Ltd, Amber Enterprises India Ltd and Dixon Technologies (India) Ltd. It sees up to 55 per cent upside on consumer durables stocks such as Eureka Forbes, Apar Industries, Polycab India and Havells India.   

In the case of cables & wires companies, Nuvama said the companies under its review posted 37 per cent YoY revenue growth in the December quarter, led by double-digit volume expansion and partial transmission of copper and aluminium prices. Demand momentum in cables continue to remain strong while wires volume growth was boosted by channel stocking, it said.

"Export performance was slightly mixed with KEI had record growth (creating market for upcoming large capacity addition) while Apar had a significant drop due to US tariff headwinds," Nuvama said.

EMS companies, the domestic brokerage said, posted a moderate Q3 with sector revenue, Ebitda and PAT growing 13 per cent, 31 per cent and 39 per cent YoY, backed by RAC-linked production ramp-ups ahead of revised BEE norms though growth stayed uneven across players. 

"Dixon Tech stayed broadly flattish amid weak smartphone demand (memory price inflation) while PG Electroplast and Amber Enterprises benefited from pre-buying. Syrma posted strong export-led growth while Kaynes logged execution delays and smart-meter strategy shifts, weighing on near-term revenue. Most EMS firms posted improved margins YoY," it said.

In the case of large appliances, the segment logged a muted off-season quarter, up 3 per cent YoY, due to softer festive sales, Nuvama said. Notwithstanding high inventories due to weak 2025 summer, channel has selectively stocked old -BEE models given discounted prices amid likely price hikes in Q4FY26/Q1FY27 (overall price hike of 5–10 per cent needed to offset new-BEE compliances and BoM inflation). 

"Brands have seen reasonably healthy inventory build-up with hope of normal summer season (inventory normalisation by March/early April) amid rising BoM. Our interaction with industry participants indicate a modest improvement in the past few days in southern/western region while sustenance is yet to be seen," Nuvama said.