Orient Cables shares tumble 10% a day after strong market debut

Shares of Orient Cables tumbled 10% to Rs 364.50 on Tuesday, after its strong market debut on Monday. The stock had listed at Rs 450 on the NSE, at a premium of 65% over its IPO issue price of Rs 272, before closing the session at Rs 405.

At Tuesday's low of Rs 364.50, the stock is down 10% from its previous close. It is also around 19% below its NSE listing price, although it continues to trade about 34% above its IPO issue price.

The sharp correction comes after strong investor interest in the IPO, which was subscribed nearly 97 times overall. Dr Ravi Singh, Chief Research Officer at Master Capital Services Ltd said Orient Cables has exposure to several high-growth industries, including telecom, broadband, data centres, renewable energy, smart building automation, automotive and e-mobility.


The company manufactures networking cables and passive networking equipment, with its portfolio also covering optical fibre cables, specialty cables, cable harnesses, EV charging cables and other allied products. It has also expanded into E-Beam irradiated specialty cables, solar junction boxes and tethered drone systems.

He said the company's long-term opportunity remains linked to rising demand for digital connectivity and infrastructure. However, investors should focus on how effectively the company converts this opportunity into sustainable growth and profitability.

Growth opportunity remains key

Orient Cables operates two manufacturing facilities in Bhiwadi, Rajasthan, and one in Bengaluru. As of June 30, 2026, its installed capacity stood at 895,776 km of networking, specialty power and optical fibre cables and 5.04 million pieces of allied products.

The company's addressable markets are expected to benefit from increasing demand for networking and fibre-optic infrastructure. Analysts said long-term investors can continue to track its networking cable and passive networking equipment businesses as these segments benefit from the broader digital connectivity theme.

At the same time, execution will remain important. Analysts said investors should monitor whether Orient Cables can sustain revenue growth, improve profitability and execute its expansion plans while maintaining healthy working capital and cash flows.

Financial performance

Orient Cables reported a 42% rise in total income to Rs 1,182 crore in FY26 from Rs 832 crore in FY25. However, profit after tax remained largely stable at Rs 54 crore, compared with Rs 53 crore in the previous financial year.

The divergence between revenue growth and profit growth makes profitability an important metric to watch as the company expands. Investors will also need to track whether additional capacity and new business segments translate into stronger earnings.

Key metrics to watch

Following the sharp post-listing volatility, analysts said investors should look beyond the stock's initial market performance and track quarterly revenue growth, order execution, EBITDA margins, capacity utilisation and operating cash flow.

The company had proposed using around Rs 91.50 crore of IPO proceeds for capital expenditure, including machinery, equipment and civil works, while another Rs 155.50 crore was earmarked for repayment or prepayment of borrowings.

With Orient Cables still trading above its issue price despite the post-listing correction, the focus will now shift towards execution, profitability and cash generation rather than the initial listing premium.

Disclaimer: This article has been written by Sakshi Kumari, who is not a SEBI-registered Research Analyst or an Investment Adviser. Sakshi Kumari and her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here