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POLYCAB: Future Returns Will Be Driven By CFO Transition And Promoter Stake Sale

POLYCAB: Leadership Transition And Stake Sale Signal Stable Near-Term Outlook

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POLYCAB
AnalystConsensusTarget
Not Invested
Published 18 Nov 2024

Update shared on 11 Dec 2025

Fair value Increased 0.059%
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Analysts have modestly raised their fair value estimate for Polycab India from ₹8,210 to about ₹8,215 per share, citing slightly higher long term margin and earnings visibility, reflected in a marginally richer forward P E assumption.

What's in the News

  • The board approves unaudited standalone and consolidated results for the quarter and half year ended September 30, 2025, at its October 17, 2025 meeting (company filing).
  • The board considers and approves the appointment of Mr. Niyant Maru as Executive President Finance from October 17, 2025, to be designated as Chief Financial Officer and whole time key managerial personnel from October 28, 2025 (company filing).
  • Outgoing CFO Mr. Gandharv Tongia resigns effective close of business on October 27, 2025, prompting a leadership transition in the finance function (company filing).
  • Incoming CFO Niyant Maru, a Chartered Accountant with 35 years of experience across multiple sectors and a long tenure at the Tata Group, previously served as CFO of Tata SIA Airlines and Senior Vice President Finance at Air India (company filing).
  • Promoter group members plan to offload up to 0.81% stake via block deals at a floor price of INR 7,300 per share, implying an estimated deal size of about INR 8,876 million (CNBC TV18, NDTV Profit).

Valuation Changes

  • Fair Value Estimate per share has risen slightly, moving from about ₹8,210.07 to approximately ₹8,214.90. This indicates a marginal upward revision in intrinsic value.
  • Discount Rate has increased modestly from roughly 16.07 percent to about 16.13 percent, reflecting a slightly higher required rate of return in the valuation model.
  • Revenue Growth assumptions remain effectively unchanged at around 14.27 percent, suggesting stable expectations for the company’s top line trajectory.
  • Net Profit Margin forecast is broadly steady, inching up from about 9.23 percent to roughly 9.23 percent. This indicates minimal change in long term profitability assumptions.
  • Future P E multiple has risen slightly from about 56.85x to roughly 56.97x, implying a marginally richer earnings multiple applied in the updated valuation.

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Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.