Top Cable Stocks in India 2024

Digitalisation is the reality of the 21st century and the majority of the developed and the developing countries have either adapted themselves to this reality or are in the process of doing so. This adaptation has given rise to cable sectors that play an important role in digitalization such as telecommunications, power, automotive and construction.

Wire and cable are the two equipment which have played a major role in the digitization process and will continue to power the above mentioned sectors. This increased demand makes the best cable stocks in India, a lucrative investing avenue for investors.

 

 

Overview of the Indian cable industry

The size of the domestic wires and cables industry of India is estimated at              
Rs 450-500 billion and constitutes approximately 40-45% of the India electrical industry. In general, the wire consists of only one conductor whereas cables involve one or more conductors which are used in the transmission of electricity, data or signals.

 

There is usage of wires and cables in multiple sectors of the Indian electrical industry. Some of the prominent ones are:

- Power Cables
- Building wires
- Control and instrumentation cables
- Telecom cables
- Optic fibre cables

 

 

Factors contributing to the high demand of Cable industry

India is a relatively young country with a favorable demographic dividend as 60% of the nation is aged between 15-60. Along with its demographic dividend, the Indian family structure is also moving towards nuclearization which results in increased consumer demand and proves beneficial for the cable industry. Let’s assess some of the factor which makes investing in the cable industry enticing:

 

●    Increased Urbanization

Over the years more and more people are moving towards the cities resulting in the increase in the number of cities. According to the National Infrastructure Pipeline, the number of cities in India is expected to go to 68 in 2023 from 46 in 2001. 

The increased urbanisation will lead to more infrastructural growth which will further lead to an increase in the demand of power, telecom and fibre cable which makes the prospect of investing in the cable sector more viable.

 

●    Government support

The Indian government is on a development spree and in 2019 with the advent of National Infrastructure Pipeline, it announced a proposed financial outlay of Rs 102 lakh crore for the execution of more than 7000 infrastructure value-chain products including the development of road network that will increase the demand of wires and cables significantly.

Additionally, the PLI scheme introduced by the government in 2020 also incentivizes the exports and gives them benefits to boost the exports of Indian electricals. It will also trigger the growth of the cable industry of India.

 

 

Top Cable Stocks to invest in India in 2024

Now we known that we should invest in the cable industry, so here is the list of the top Indian cable stocks you can invest in: But before investing these stocks investor must know important ratio in stock market.

Company Name	Last Price	52 wk High	52 wk Low	Market Cap (Rs. cr)
Polycab	6,554.00	7,330.00	3,812.35	98,547.76
KEI Industries	4,476.85	5,040.40	2,317.00	40,399.74
Finolex Cables	1,421.40	1,700.00	833	21,738.80
RR Cable ltd	189.1	1901	1035	1,581.00
Diamond Power Infrastructure Ltd	1489	1645	39	7847
Sterlite Techno	132.1	179	109.8	6,441.95

 

1) Polycab India Limited

Polycab Limited is among the top cable stocks in India with a rich legacy. It mainly deals in manufacturing cables and wires with a range of products such as control cables,  power cables, solar cables, and specialty cables. Over the years, the company has garnered a strong brand name in this industry and is known for its quality, innovation and customer satisfaction.

 

You should also need to know the How to select good stocks for long-term investment.

 

 

2) KEI Industries

Incorporated in 1968, KEI Industries is also a renowned name in the Indian wire and cable industry. It deals in the manufacturing and distributing a wide array of high voltage, medium voltage and low voltage cables like control cables, power cables, instrument cables, and house wires with an emphasis on research and development to provide innovative solutions.

 

 

3) Finolex Cables Limited

Finolex Cables Limited is a well-known name in the works and cables industry as a leading manufacturer of electrical and telecommunication cables. It has been in business for

more than 50 years now and has been able to maintain its leadership till now which speaks volumes about the company. The company has diversified into the manufacturing of FMCG goods and home appliances and has created a strong brand name in the market as a provider of electrical solutions.

 

 

4) RR Kabel Limited

RR Label was formed in the year 1995 with the vision to provide electrical equipment for residential, commercial, industrial and infrastructural purposes. The company’s products are majorly segmented into two segments- wires and cables which includes house wires, industrial wires, power cables, and special cables along with FMEG like fans, switches, appliances and lighting. The company is the 4th biggest player in the Indian wires and cables industry and also enjoys 74% market share in the W&C segment.

 

 

5) Diamond Power Infrastructure Limited

Incorporated in the year 1970, Diamond Power Infrastructure limited started its operation as a conductor manufacturing company. Now, the company mainly deals in the manufacturing and distribution of power products and services all over India. The main products of the company are: 

●    Conductors up to 765 KV
●    Cables up to 550 KV
●    Transformers (Power and Distribution) up to 220 kV & Transmission Tower
●    EPC Services

 

 

6) Sterlite Technologies Limited

Sterlite Technologies came into being after branching out from Sterlite Industries as a standalone company. Starting off as a telecom focused company, Sterlite Technologies expanded its horizons into power transmission cables in 2006. Over the years, the company has solidified its position as India's leading manufacturer of optical fiber and cables. 

With a strong domestic presence, STL has also made significant inroads into global markets, becoming a major player in the international optical fiber industry. The business of Sterlite Technologies is segmented into: 
1)    Optical Networking business
2)    Global Service business
3)    Digital and Technology solutions