Cable & Wire Stocks Analyzed

Key Points

• C&W stocks (Polycab, KEI, RR Kabel) dropped in January due to a weaker market.
• Rising copper prices drove price hikes by C&W companies over the last 2 months.
• Strong demand from institutions and channel stocking increased, but with risk.
• Copper prices soared, creating uncertainty for C&W companies’ profitability.
• Real estate developers are switching to cheaper brands due to price increases.
• Polycab India reported strong revenue growth but faces technical chart signals.

The prices of companies that make cables and wires, like Polycab India, KEI Industries, and RR Kabel, went down by as much as 3% in January. This happened because the overall stock market wasn’t doing very well. Some experts are watching these companies closely because they’ve raised prices on their products a lot recently.

One group of analysts, at JM Financial, noticed that the cable and wire companies had raised their prices by 10 to 15 percent each month. This happened even though the cost of copper, which is used to make these cables, was going up. They raised prices in October and November and then again in December and January.

Because copper is getting more expensive, lots of businesses and the people who sell the cables are stocking up, meaning they’re buying more than usual. However, this is risky because if the copper price goes down, they might have too much stock that they can’t sell.

Copper prices have jumped dramatically – over 38% in the last five months! It went from around $9,700 per ton to almost $13,400 per ton. This makes it harder for cable companies to keep their prices stable because they have to pay more for the materials.

Some builders (the people who build houses and buildings) are now choosing cheaper cable brands because the prices have gone up so much. This is another problem for the companies making cables and wires.

Polycab India had a really good quarter, growing their profits by 35% and their sales by 46%. KEI Industries will announce their results tomorrow, and RR Kabel hasn’t said when yet. Let’s look at how these stocks are doing on the stock charts.

Polycab India: The stock is currently trading at ₹7,240. It’s been below important lines on the chart (called moving averages) for a while, which can be a sign that it might go down a bit more. The stock has been above another line since June 2025.

KEI Industries: This stock is near a line called the 50-day moving average, which is around ₹4,233. It’s been going up and down but is currently testing this line. The other lines are at ₹4,164 and ₹3,849.

RR Kabel: This stock is also below a key line (the 50-day moving average) at ₹1,417. It hasn’t been below this line for almost three months.

“Understanding these price movements and potential risks is crucial for making smart decisions about these companies.”