Budget 2026: Kaynes, Amber, Dixon Tech, PGEL, Syrma SGS shares in focus today; here's why

Union Budget 2026: Kaynes Technology India Ltd, Dixon Technologies (India) Ltd, Syrma SGS Technology, Amber Enterprises India Ltd, PG Electroplast Ltd (PGEL), Avalon Technologies and Cyient DLM are among Electronics Manufacturing Services (EMS) sector stocks, which may hog limelight today, February 1, as investors eye extension or expansion of PLI incentive schemes for electronics and related manufacturing. Marketmen said there are expectations of customs duty rationalisation and tariff reforms in the Budget, which may cut input costs for electronics production.

Investors are expecting increased budgetary allocation for Electronic Component Manufacturing Scheme (ECMS), which if announced, may strengthen local component production. Policy support to deepen India’s electronics supply chain and exports are also eyed, Nuvama Institutional Equities noted.

In the past three months, Kaynes Technology shares have plunged 48.87 per cent, followed by Dixon Tech shares that have tumbled 33.26 per cent during the same period. Amber Enterprises has tanked 29.29 per cent and Syrma SGS Technology Ltd 7.53 per cent for the mentioned period. Ahead of the Budget, Ambit Capital said it prefers Amber Enterprises within the EMS segment, followed by PGEL, which it described as a diversified consumer EMS and rated Buy. It maintained a Sell rating on Dixon Technologies.

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Antique Stock Broking said any extension of PLI scheme benefits this Budget may benefit companies such as Kaynes Tech, Syrma SGS Technology and Avalon Tech. Emkay Global said it sees high probability of extension on PLI scheme. Any such move, the domestic brokerage said, would boost manufacturing scale, crowds in private capex, and strengthen medium-term growth, it said.

The broking firm said exports-linked PLI for mobiles and positive reinforcement in IT hardware PLI will be positive for Dixon Tech. Any upward revision in in the PLI allocation for white goods will be positive for Amber Enterprises and LG Electronics.

Nuvama noted that EMS and electronics manufacturing remain priority sectors for the government. It expects policy continuity, incremental tariff rationalisation, and supportive capex signalling, leading to positive structural tailwinds. It said new schemes or any favourable changes in PLIs will be positive for EMS sector. Improved duty structure and ecosystem support could enhance margin visibility and scale-up, it said.