Independence Day Pick: From Independence to Infrastructure — Dynamic Cables

India’s power expansion could create long-term wealth opportunities for investors. Dynamic Cables is positioned in this growing ecosystem. BUSINESS & GROWTH Dynamic Cables manufactures LV, MV and HV power cables, conductors, control & instrumentation cables and railway signalling products. Demand is linked to grid expansion, renewable-energy evacuation, industrial capex and railway infrastructure. FUNDAMENTALS FY26 revenue rose to ₹1,198 crore from ₹1,025 crore, while PAT increased to ₹84.4 crore from ₹64.8 crore. Q1 FY27 revenue grew 33.2% YoY to ₹349 crore and PAT increased 37% to ₹25 crore. EBITDA grew 41%, with margin improving to 10.9%. The stock trades at around 22–23x earnings, with ROE near 20% and ROCE around 26%. Market capitalisation is around ₹2,000 crore. The June 2026 order book stood at approximately ₹811 crore, providing healthy revenue visibility. GROWTH DRIVERS India’s rising electricity demand, T&D spending, renewable-energy additions and grid modernisation can support long-term cable demand. Dynamic Cables is also expanding into higher-value products and international markets. KEY RISKS Raw-material price volatility, working-capital requirements, competition and order execution remain key risks. Investors should track whether revenue growth converts into sustainable margins and cash flow. TECHNICAL & INVESTMENT VIEW The short-term trend remains positive, while the long-term structure is supportive. ₹430–415 is the key support zone, while ₹473–475 is the immediate resistance. A sustained breakout above ₹475 could strengthen the setup. With a relatively small market-cap base, strong earnings growth and exposure to India’s power-infrastructure cycle, the stock offers potential for significant market-cap expansion if earnings continue compounding over the next 3–5 years.