Shares of POLYCAB climbed nearly 6 percent in early trade on May 7 after the company reported a robust set of fourth-quarter earnings for FY26, supported by strong demand across cables, wires, and fast-growing consumer electrical segments. The stock was trading around Rs 8,896.50 during morning trade, reflecting positive investor sentiment following both the earnings announcement and a fresh target price upgrade from HSBC.

According to the company’s quarterly update, Polycab reported its highest-ever consolidated quarterly revenue of Rs 8,860 crore for Q4 FY26, registering year-on-year growth of 26.9 percent. The performance comes at a time when India’s infrastructure spending cycle, real estate recovery, industrial capex activity, and power transmission investments continue to support demand for electrical products and allied equipment.

The market response suggests investors were particularly encouraged by the scale of revenue expansion despite a relatively high base and ongoing pricing competition in segments such as cables and consumer electrical goods. HSBC raised its target price on the stock to Rs 9,500 following the earnings release, signaling confidence that the company may continue to benefit from structural growth drivers within India’s electrification and urban development themes.

Polycab has increasingly positioned itself not merely as a cable manufacturer but as a diversified electrical solutions player. Over the past few years, the company has expanded its consumer-facing portfolio into fans, lighting, switches, switchgear, solar products, and other fast-moving electrical goods.

This diversification is becoming strategically important as companies attempt to reduce dependence on commodity-linked cable cycles and improve margin stability through premium product offerings.