Visaka Industries eyes fourth quarter turnaround as rural demand improves

Market pulse

From the investor's mind

Indian capital goods companies with exposure to the Middle East's capital expenditure and rebuilding efforts are experiencing a massive surge in orders. In contrast, geography and specific end customers dictate divergent fortunes, as line pipe manufacturers in India are currently struggling because the Indian government has not been releasing payments on time. Through this stark contrast, Ishmohit Arora of SOIC highlights how a business's success is heavily dependent on its geographic exposure and the payment reliability of its primary client base rather than just its sector.

Word in the street

Visaka Industries Limited

Market participants are closely watching Visaka Industries Limited, an 805 crore market cap company whose stock rose 9.55 percent over the past year. Investors are discussing a turnaround starting in the fourth quarter of 2026, supported by improving rural demand and rising operating margins. While Building Products revenue grew over ten percent, discussions also focus on raw material imports. To counter Black Sea shipping issues, Visaka is diversifying its chrysotile fibre sourcing from Russia to Brazil and Kazakhstan. With operating margins climbing from 3.7 percent to 15 percent, the company appears to be successfully passing on these rising import costs.

Yesterday's big moves

“The stock market is always right. Never time the markets.”

Rakesh Jhunjhunwala