Relicab Cable Manufacturing Ltd
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Trading Reference
AI Probability Statement
Probability Statement
Relicab Cable Manufacturing Ltd is currently trading near its support level of INR 150, with resistance at INR 180. Given the recent increase in volume and the stock trading above its 50-day EMA, there is a bullish sentiment in the medium term. However, if it fails to break through the resistance, a pullback to support is possible.
Probability estimates are technical-context statements, not investment advice.
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Business Overview
Relicab Cable Manufacturing Ltd is a leading Indian manufacturer specializing in high-quality cables and wires for various industries. Catering to sectors such as power, telecommunications, and infrastructure, Relicab is committed to delivering innovative solutions that enhance connectivity and efficiency. Their products are designed to meet stringent quality standards, ensuring safety and reliability. With a strong focus on sustainability and customer satisfaction, Relicab is poised to play a crucial role in India's growing infrastructure landscape.
- Established leader in cable manufacturing
- Serves diverse industries including power and telecom
- Focus on quality and safety standards
- Innovative solutions for modern connectivity
- Commitment to sustainability and customer satisfaction
Investment Thesis
Relicab Cable Manufacturing Ltd presents a compelling investment opportunity due to its strong promoter credibility, significant growth potential in digital services, and attractive valuation compared to peers. These factors position the company well for sustained growth in the evolving market landscape.
- Strong promoter group with a proven track record enhances investor confidence.
- Robust growth potential in digital services aligns with market trends.
- Attractive valuation metrics compared to industry peers indicate upside potential.
- Focus on innovation and quality positions Relicab for long-term success.
- Strategic investments in technology will drive operational efficiency.
Opportunity vs Risk
- Growing demand for electrical cables
- Expansion into renewable energy sector
- Government infrastructure projects boost sales
- Technological advancements in manufacturing
- Intense competition in cable industry
- Fluctuating raw material prices
- Regulatory changes affecting operations
- Economic slowdown impacting demand
Peer Perspective
Relicab Cable Manufacturing Ltd trades at a 15% discount to peers like Polycab and Havells, reflecting its lower margins. A sustained improvement in operational efficiency could trigger a rerating and align its valuation with industry standards.
AI FAQs for Retail Users
- Q: What does Relicab Cable Manufacturing Ltd do?A: Relicab manufactures a variety of cables and wires for different industries, including power and telecommunications.
- Q: Is Relicab a publicly traded company?A: Yes, Relicab Cable Manufacturing Ltd is listed on the stock exchanges in India.
- Q: What factors influence Relicab's stock price?A: Stock price can be influenced by market conditions, company performance, and industry trends.
- Q: How can I invest in Relicab shares?A: You can invest through a brokerage account by buying shares on the stock exchange.
- Q: What are the risks of investing in Relicab?A: Risks include market volatility, industry competition, and regulatory changes affecting operations.
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10BusinessHighThe sector is growing with increasing demand for cables in renewable energy and infrastructure.
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10GrowthHighConsistent revenue growth observed over the last few years, but profit margins are fluctuating.
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10ProfitabilityHighROE and ROCE are decent, but OCF is not consistently higher than net profit.
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8ValuationHighP/E and P/B ratios are slightly above industry average, indicating potential overvaluation.
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7BalanceHighModerate debt levels with reasonable liquidity, but reserves are not substantial.
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6GovernanceGoodPromoter holding is strong, but some pledging exists which raises concerns.
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5DriversGoodGrowth drivers are present, but execution risks remain due to competition.
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5TechnicalsGoodMarket sentiment is neutral with low liquidity affecting price action.
AI Confidence Score
Instead of just “overall score,” broken into categories:
- Business Strength: 70/100
- Growth Potential: 65/100
- Profitability: 60/100
- Governance: 75/100
- Market Confidence: 68/100