capital_goods
Polycab India
POLYCAB · Nifty 50
₹9,926.5
Price 2026-06-17
At a Glance
Fundamental
95/100
STRONG
Trust
95/100
Verification
Coverage
44/100
LIMITED
Quick Take
Polycab India scores 95/100 on fundamentals (strong). Polycab India: BROAD EXPANSION regime.
Fundamental Score: 95/100 · STRONG · 1 signals detected
DuPont Analysis
ROE 22.6% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 22.59% is strong efficiency-driven and stable. Net margin of 9.3% × asset turnover of 1.43x × leverage of 1.7x.
What This Means
Net margin of 9.3% means the company keeps ₹9.3 as profit for every ₹100 of revenue. This is a moderate-margin business. Asset turnover of 1.43x means the company efficiently uses its assets to generate revenue. Leverage of 1.7x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
24.0%
Operating
13.2%
Net
9.3%
Gross margin 24.0% → operating margin 13.2% → net margin 9.3%. Margins are IMPROVING.
Financial Health
Earnings Quality
ADEQUATECash flow covers net income 1.4x — earnings are ADEQUATE quality. Cash conversion is reasonable.
Debt Sustainability
COMFORTABLEInterest covered 17.9x — very comfortable. Debt service is not a concern. Debt/EBITDA at 1.1x is low — balance sheet has capacity.
Free Cash Flow
STRONGFCF margin at 8.0% — moderate. Generating cash after investments.
Peer Comparison
Polycab India is compared against 10 peers in the capital_goods sector.
Key Watchpoints
Breaks above ₹10423 (+5%)
Trend reversal confirmation
Breaks below ₹9430 (-5%)
Further downside risk
Capital_Goods sector entering leadership
Sector rotation signal
Detected Patterns
Risk Flags
Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.
High refinancing risk. Company needs to roll over debt frequently. Vulnerable to credit market freezes.
Profits are from core operations, not one-offs. High quality.
Modern asset base. Lower near-term capex requirements.
Strong insider alignment. Promoters have significant skin in the game.
⚠️ 1 critical + 1 warning flags. Exercise caution.
Data Quality
News Correlation
50 articles scanned for fundamental themes