Polycab shares: FII holding hits 18.2% in Q4 FY26

Why Polycab is back in focus

Shares of Polycab India, a market leader in wires, cables and fast-moving electrical goods (FMEG), saw mild profit-booking after touching a record high last week. The pullback came even as the company reported its highest ever foreign institutional investor (FII) holding in the March 2026 quarter. Polycab’s recent rally has also coincided with a broader market recovery after the US-Iran war shock, alongside what brokerages described as a strong set of Q4 and FY26 earnings.

The stock has been making new highs over recent weeks, and multiple brokerages have responded with target price upgrades and reiterated Buy calls. At the same time, some research notes flagged valuation as the central debate after the run-up.

FII holding rises to a record level

Polycab logged its highest ever FII holding in the March 2026 quarter. The FII stake rose to 18.2% in Q4, up from 14.8% in the December 2025 quarter. The article also highlights that in Q2 of the previous fiscal, the FII stake increased to 14% from 11.5% in Q1 of FY26.

This steady rise in institutional ownership is notable because it often reflects improving investor comfort on execution and earnings visibility. In Polycab’s case, brokerages have tied the constructive view to market share gains, improving profitability in the FMEG segment, and demand linked to infrastructure-led electrification.

Record high and the latest quoted price

Polycab’s stock hit a record high last week, reaching Rs 10,128 on June 22, 2026. As of 25 June 2026, the share price was reported at ₹9,531.

The article also describes the stock as a multibagger that has been “hitting its all-time highs”, adding that it gained 11.5% over the last month and 39% over a three-month period, outperforming the Nifty 50 over the three-month window.

Earnings catalyst behind the move

A key trigger cited for the rally was Polycab’s quarterly performance. In one market reaction, Polycab India shares surged 6% to Rs 8,938.70 on BSE after results that beat street estimates on “nearly every metric”. The report states that Q4 consolidated revenue rose 27% year-on-year, while EBITDA grew 13% year-on-year.

While the broader narrative in the article remains constructive, it also references periods where margins narrowed and near-term challenges were flagged by analysts. Even then, Polycab remained confident of gaining market share, and analysts expected demand to improve as new opportunities arise.

Brokerage upgrades: Anand Rathi, Jefferies, Citi

Several brokerages revised targets higher after the recent run and earnings delivery.

Anand Rathi raised its price target to Rs 10,351 from Rs 9,073, with a BUY rating. The brokerage said Polycab is positioned to benefit from structural tailwinds such as domestic electrification, export opportunities, and global grid upgradation demand. It valued the stock at 38.5 times FY28e EPS of Rs 269, and said it expects revenue and earnings to clock 22% and 23% CAGR over FY26-28e.

Jefferies upgraded its target to Rs 10,920 with a Buy rating, citing market share gains, data centre opportunities, and a healthy order pipeline. Separately, the article also notes that Jefferies “has a buy rating with a target price of ₹11,950.”

Citi assigned a price target of Rs 10,500 and maintained its Buy rating. Another section states Citi raised its target price from Rs 9,500 to Rs 10,500, citing execution quality as a key differentiator.

How expensive is the stock after the rally?

After the strong run, the valuation discussion has moved to the forefront. The article notes that at the current price, Polycab was trading at 47 times its FY27 earnings. That valuation has not prevented upgrades, but it has sharpened the focus on whether margins and growth can sustain at levels implied by the multiple.

The piece also cites a “Detailed Forecast” view where 71% of analysts suggested investors can buy the stock, based on 31 analysts.

More broker views: Kotak, JM Financial, ICICI Securities

Kotak Research expects growth outperformance to continue with the scale-up of exports, operationalisation of the new EHV cable unit, and higher focus on fast-growing segments such as data centres, electric vehicles and defence. Kotak raised its target multiple to 33 times June 2028 estimates to align with long-term industry forecasts, but maintained a sell rating citing expensive valuations.

The article also notes that JM Financial and ICICI Securities maintained their Buy call for the stock. In another context, JM Financial kept the rating and target price unchanged, while highlighting that management remained confident about growth over the next three to four years despite near-term challenges.

Market impact and what investors tracked

The immediate market impact was visible in sharp one-day and multi-week moves, alongside a sequence of brokerage target upgrades. The stock also saw periods of underperformance in other windows mentioned in the article, including a quote of ₹7,080 per share, down 1.4% on NSE when the Nifty50 was up 0.07% as of 12:01 PM.

For investors, the key factors being tracked in the article are straightforward: revenue growth, EBITDA growth, the trajectory of margins, and whether demand across wires, cables, and the FMEG business stays robust. The increased attention on data centres and exports also shows how Polycab is being positioned as a broader infrastructure and power supply chain proxy by some brokerages.

Key numbers at a glance

Conclusion

Polycab’s latest run has been supported by record FII ownership, strong Q4 numbers, and a series of brokerage target upgrades anchored on structural demand themes. At the same time, the article shows that valuation and margin sustainability remain central issues after the stock’s move to all-time highs. The next updates investors are likely to watch are further earnings releases and commentary on execution, margins, and demand across cables, wires, and the FMEG portfolio.