Shares of RR Kabel surged 7% to ₹2,365 during Thursday's trading session on June 18, reaching a fresh record high as trading volumes surged past 1.6 million shares across both exchanges. According to Business Standard, the stock has delivered exceptional performance with an 82% surge in FY27 from ₹1,296.80 on March 30, 2026. In the past one month alone, the stock has gained 21% compared to just 2.5% rise in the BSE Sensex, demonstrating strong outperformance against broader market indices. The stock had previously touched a fresh record high of ₹2,365 after brokerage firm Motilal Oswal Financial Services upgraded the stock from 'neutral' to 'buy'. The upgrade is driven by expectations of stronger revenue growth, aided by ongoing capacity expansion, market share gains and margin improvement.
The latest financial results demonstrate robust growth momentum with net profit after tax advancing 30% to ₹167.95 crore in Q4 FY26, compared to ₹129.12 crore in the same period last year. Revenue from core operations surged 33% to ₹2,964 crore in the fourth quarter, significantly higher than ₹2,217 crore in the same period a year ago. The wires & cables business, which fuels the majority of revenues, advanced by 36% to ₹2,666 crore compared to ₹1,956 crore in the same period year ago, while the FMEG operation revenues rose 13% to ₹297 crore. According to Business Standard, the C&W segment maintained strong momentum during the quarter, supported by steady demand across domestic and export markets, with domestic business showing healthy growth and export growth remaining encouraging despite Middle East disruptions. The company's EBITDA margins expanded 10 basis points to 8.9% in Q3 FY26, from 8.8% in the same period last year.
According to Motilal Oswal, the Indian cables and wires industry will expand at nearly 13-14% CAGR over FY26-30, driven by an increase in scale of operations, higher contribution from power cables, and exports. As reported by Business Standard, the C&W industry has emerged as a key beneficiary of the country's ongoing infrastructure expansion and electrification drive, with demand supported by multiple structural growth drivers including power transmission and distribution, residential and commercial construction, railways, telecommunications, renewable energy, and industrial capex. The industry expanded at a compounded annual growth rate (CAGR) of 12.5% over FY22-26 to ₹1.0 trillion, with organized players delivering robust growth of 17% over the same period. The share of organized players increased to 80% in FY26 from 67% in FY22, indicating strong consolidation in the sector. Looking ahead, the industry is expected to sustain its strong growth trajectory, with demand projected to grow at approximately 1.5x-2.0x real GDP growth over the medium term.
As reported by Motilal Oswal, the real estate sector remains one of the largest demand drivers for the industry, particularly for building wires. According to the brokerage, India's real estate market is expected to grow from USD200 billion in 2021 to USD1.0 trillion by 2030, implying a CAGR of 19.5%, supported by rapid urbanization, rising household incomes, infrastructure development, and increasing electrification. Residential real estate alone accounts for 35% of industry applications, with housing wires representing one of the largest end-use segments. The recovery in commercial real estate is driving incremental demand from offices, hospitals, hotels, and IT parks, supporting broad-based growth for the industry.
The stock has delivered exceptional returns with more than 72% returns on investment in the last one year period and gained over 56% so far in calendar year 2026, according to exchange data. As per Business Standard, the stock has surged 21% in the past one month and was trading 11% higher for the fifth straight day. The 52-week high of ₹2,365 was reached on Thursday's session, while the 52-week low was at ₹1,165 on August 29, 2025. The company's market capitalisation stood at ₹25,890 crore as of the trading session on June 18, 2026. The bullish commentary comes days after Citi reiterated its 'Buy' rating on RR Kabel with a price target of ₹2,650, highlighting a sharp recovery in export demand as a key positive. Motilal Oswal has upgraded the stock to 'Buy' with a target price of ₹2,600, considering the strong growth outlook and margin expansion, with the company's focus on further strengthening its C&W industry position and improving margins through scale and better mix.
