JPMorgan has upgraded KEI Industries to ‘overweight’ from ‘neutral’, slashing its price target to ₹4,650 from ₹5,650. The move comes as the stock closed 4.7% higher at ₹3,899.5 on Monday, hovering 13% down YTD.
The firm cites a 35% price correction from the recent peak, which has sharpened the risk‑reward profile. It also highlights potential improvement in the company’s underlying growth and a shift in product mix that could shield margins.
Since UltraTech’s entry into the cables & wires space on September 3, KEI’s shares have trailed peers, sliding 27% compared to Polycab’s 12% decline and the Nifty 50’s 5% fall. Analysts attribute the lag to the new entrant and a margin reset.
With 23 of 27 analysts now bullish, the consensus price target sits at ₹5,170, suggesting a 30% upside from the current price. The upgrade adds to a string of positive sentiment that began after the company’s second‑quarter results.
Looking ahead, investors will watch for guidance on copper price exposure and the company’s ability to shield margins amid a steep copper price correction. The next earnings release is slated for November 15, where the focus will be on whether the mix shift translates into improved profitability.