Dixon Technologies (India) Limited: Comprehensive Stock Analysis Report | Scrolls
- Editor
- Sep 1
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by KarNivesh | 01 September, 2025
Dixon Technologies (India) Limited has emerged as India’s largest homegrown electronics manufacturing services (EMS) company. Founded in 1993 by Sunil Vachani as a small television assembler, the company is now valued at over ₹1.03 lakh crores. Its rapid growth has been fueled by government incentives like the Production-Linked Incentive (PLI) scheme and the global shift towards diversifying electronics supply chains.
Business Model and Evolution
Dixon operates as both an Original Equipment Manufacturer (OEM) and an Original Design Manufacturer (ODM), providing end-to-end solutions including design, manufacturing, quality control, and logistics. Over the years, the company has expanded to 17 factories across India, catering to leading global brands such as Samsung, Xiaomi, Nokia, and Panasonic.
The shift towards ODM has been crucial, as it offers higher margins compared to OEM. The ODM share of Dixon’s business increased from around 15% in FY2017 to 38% in FY2019, reflecting its transformation into a complete solutions provider.
Shareholding and Governance
As of June 2025, promoters hold 28.95%, while institutional investors control 47.24% (with mutual funds at 21.12% and FIIs at 20.55%). The absence of promoter pledging reflects financial stability.
Valuation and Peer Comparison
Dixon trades at a premium with a P/E of 83.2x and P/B of 45.9x, far higher than the industry median. While valuations are stretched, they reflect Dixon’s growth and market leadership. The company leads peers like Havells in both market cap and profitability metrics.
Dixon Technologies stands as a prime beneficiary of India’s electronics boom. Its financial strength, operational excellence, and strategic expansion make it a compelling long-term investment, though investors must weigh high valuations against growth potential.
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