Polycab share price

Polycab India Share Price Plummets Amid Tax Evasion Allegations

Breaking news: Polycab share price drops over 20% due to alleged tax evasion scandal. Find out the details here!

Polycab India, a leading electrical equipment manufacturer, witnessed a sharp decline in its share price, plummeting over 20% following reports of an Income Tax raid uncovering unaccounted sales totaling up to Rs 1000 crore. The company's stock faced a massive sell-off as investors reacted to the news of incriminating evidence found during the search operation conducted by the IT department across multiple locations. This significant drop in share price marks a major setback for Polycab India, which had consistently delivered impressive annual returns until this recent turmoil. The allegations of tax evasion have sent shockwaves through the market and raised concerns about governance and compliance within the company.

On the bright side, despite the turmoil, Polycab managed to gain a slight recovery of 3% after a steep decline in the previous sessions. The clarification provided by the company on the IT raids helped restore some investor confidence. However, with Axis Capital lowering the target price to Rs 4300 and the ongoing investigations into the alleged tax irregularities, the future outlook for Polycab remains uncertain. As foreign portfolio investors incurred significant losses amounting to over Rs 1900 crore, the repercussions of this scandal are reverberating across the financial market.

In a parallel development, Infosys and TCS have also been in the spotlight with brokerage firms like InCred and Morgan Stanley upgrading their ratings post their Q3 results. This highlights the dynamic and eventful nature of the financial market, where company performances and external factors like regulatory actions can swiftly impact investor sentiment and stock prices.