R R Kabel hits record high, stock zooms 108% from April low; upside left?

Considering change in mix analysts at YES Securities expect R R Kabel's margins to start inching up in the wires and cables segment and increased capacity to drive volume growth.

R R Kabel share price today

 

Share price of R R Kabel hit an all-time high of ₹1,563.10, as the stock surged 5 per cent on the BSE in Monday’s intra-day trade owing to a healthy outlook. The stock price of the electrical cables manufacturer surpassed its previous high of ₹1,523.15 touched on November 3, 2025.

 

In the past two weeks, R R Kabel has rallied 15 per cent. Further, in the past two months, the stock soared 25 per cent after the company reported its highest-ever half-yearly revenue along with strong profitability growth. It has more-than-doubled or zoomed 108 per cent from its 52-week low of ₹750.50 touched on April 7, 2025.

 

 

At 02:26 PM; R R Kabel was quoting 3 per cent higher at ₹1,539, as compared to 0.68 per cent rise in the BSE Sensex. The average trading volumes at the counter jumped over two-fold, with a combined 600,000 equity shares changing hands on the NSE and BSE.

 

R R Kabel is a leading consumer electrical company in India. It is India’s largest exporter of wires and cables, offering a wide range of electrical products including wires & cables, fans, lighting, electrical accessories, and appliances for residential, commercial, industrial, and infrastructural purposes.

 

Company outlook

 

While inflation moderated and rural demand is showing early signs of recovery, the broader industrial ecosystem remained cautious due to input cost fluctuation and uneven weather conditions. Nonetheless, the electrical and construction sectors continued to benefit from ongoing infrastructure investments, housing growth and urban electrification projects, all of which form the foundation of R R Kabel's long-term opportunity, the company said in its Q2 earnings conference call.

 

The Indian wire and cable industry is also witnessing a shift towards organized and branded players driven by highlighted consumer awareness around safety, efficiency and compliance. R R Kabel with its deep distribution network and premium product positioning is well aligned to capture this transition. Furthermore, export demand remains healthy, supported by rising global preference for Indian manufactured cables that adhere to international standards and certifications, the company said.

 

Looking ahead, the management remains optimistic about the outlook for the second half of FY26 and expects the second half to do better than the first half. The underlying demand environment continued to be favourable, supported by government infrastructure initiative, the ongoing formalization of the electrical sector and increasing consumer preference for branded energy-efficient products.

 

YES Securities reiterates BUY rating on R R Kabel with price target of ₹1,746

 

Considering change in mix analysts at YES Securities expect margins to start inching up in the wires and cables segment and increased capacity to drive volume growth. The brokerage firm reiterated its 'BUY' rating on R R Kabel with price target of ₹1,746 valuing it at 30x FY27 EPS. 

 

Analysts estimate the company to deliver FY25-27E revenue compound annual growth rate (CAGR) of 19 per cent. Improved product mix and operating leverage will drive margins. The brokerage firm values the company at 30x FY27 EPS, and 25 per cent discount to peers like Polycab and KEI. 

 

The brokerage firm believes the company should do well given that real estate continues to do well and the company has a strong distribution network in place to tap the opportunity. Moreover exports are not much affected despite geopolitical issues as the company has a well diversified customer base.  ============================  Disclaimer: View and outlook shared on the stock belong to the respective brokerages and are not endorsed by Business Standard. Readers discretion is advised.