Over the past six months, from October 2024 to March 2025, the Indian stock markets faced a lot of turbulence.
BSE Sensex, after reaching an all-time high of 84,299 points in September 2024, saw a sharp correction, dropping to 73,198 points by February 2025, a decline of over 13%.
This correction was due to increasing global economic uncertainty and domestic growth challenges.
However, by March 2025, there were signs of recovery, with the index starting to stabilize and potentially rebounding slightly.
During this rebound, the electronics manufacturing sector has emerged as a bright spot. Companies in this sector reported impressive financial results, with some, like Syrma SGS Technology, seeing more than 100% year-over-year increase in net profits in Q3FY25.
This growth is fuelled by the increasing technological expertise of Indian players and increasing demand for outsourced electronics manufacturing from other countries instead of just China.
According to a report by Mordor Intelligence, the sector is projected to reach nearly US$ 927 billion (bn) by 2032, making it an attractive area for investors seeking growth even in a volatile market.
With this in mind, let’s look at the 5 fastest growing electronics manufacturing stocks.
#1 Syrma SGS Tech
First on the list is Syrma SGS Tech, engaged in the business of manufacturing various electronic sub-assemblies, assemblies, and box builds, along with products like disk drives, memory modules, power supplies/adapters, fiber optic assemblies, magnetic induction coils, and RFID products.
The company also provides engineering, assembling, and manufacturing services for electronic products, including higher-margin Original Design and Manufacturing (ODM) products.
Its presence extends to the Internet of Things (IoT) and healthcare sectors as well. Syrma SGS serves a diverse customer base across various industries, including automotive and EV, consumer, healthcare, railways, IT, and industrials (power and capital goods).
Coming to its financial performance, the company has delivered a solid top-line growth of 53% compounded annual growth rate (CAGR) over a 3-year period and a net profit CAGR of 20%.
The last 3-year return on equity (ROE) has been 9%.
The stock has been experiencing consolidation for the last 1 year, possibly due to initial overvaluation in the stock.
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