Dixon Technologies jumps 4%. Here’s why

New Delhi: Shares of Dixon Technologies surged in early trade to close to 4 per cent to Rs 4,670 at day’s high onNSE. The sharp gains come as the mid-cap electricals company’s wholly-owned subsidiary entity - Padget Electronics - has become the first company to receive approval for disbursement of PLI incentives from the Government of India (GOI).

As per the company’s filing with the exchange, Padget Electronics had received approval for disbursement of Rs 53.28 crore from Empowered Committee of MEITY- Government of India, under Production Linked Incentive Scheme for manufacturing of mobile phones (domestic companies).

According to ICICI Direct, the development is positive for the stock. “As per the PLI guidance, the company has achieved incremental capex and sales target of Rs 50 crore and Rs 1,000 crore, respectively to claim the incentive of around Rs 53 crore for the second year of operation. For FY23, the company has guided for ~2.7x YoY jump in mobile dispatches aided by new customer additions and wallet share gains.”



Dixon Technologies (India) is a home grown design-focused and solutions company engaged in manufacturing electronic products and has a diversified portfolio.

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