Laptop import curbs lift EMS stocks but analysts warn of jumping the gun

In the June quarter, electronics became India's fourth-largest exported item overtaking chemicals, drugs and pharmaceuticals. This surge was led by mobile phones aided by 2020 PLI scheme

The government’s recent import restrictions on laptops, tablets, personal computers, and other similar data-processing units have led to a massive rally in stocks of related electronics manufacturers.

Investors lapped up shares of Dixon Technologies, Optiemus Infracom, Syrma, Netweb Tech, and HCL Infosystems, which surged up to 17 per cent over the last two sessions, riding on India’s push to promote domestic electronic manufacturing. In comparison, the S&P BSE Sensex and the Nifty50 were down around 0.4 per cent each. 

Analysts, however, warn that investors should not jump on the bandwagon until more clarity emerges on the likely benefit the development