Business · India Bureau
Wires and cables stocks tumble as UltraTech enters competitive segment
Shares of major wires and cables manufacturers including Havells India and KEI Industries have declined sharply over the past week following UltraTech Cement's entry into the segment with its new 'Ultravolt' brand.
LSN India ·
Havells India and KEI Industries have emerged as the worst performers among domestic wires and cables stocks, with both seeing declines of up to 16 percent over a seven-day period. The selloff reflects investor concerns about intensified competition in the sector following UltraTech Cement's recent launch of 'Ultravolt', marking the diversification of India's largest cement manufacturer into the wires and cables business.
The entry of a major industrial conglomerate like UltraTech into the segment has prompted market participants to reassess valuations and competitive dynamics within the wires and cables industry. Polycab, another key player in the space, has also faced pressure during the market correction, though analysts point to established support and resistance levels that may influence near-term price movements.
Market observers are monitoring technical indicators and price levels for these stocks as the sector adjusts to UltraTech's competitive entry. The broader impact on industry margins and market share distribution remains to be seen as the new entrant ramps up operations and establishes its market presence across distribution channels.