Domestic brokerage firm Choice International Equities has initiated coverage on Rishabh Instruments with a ‘Buy’ rating, citing multiple growth drivers that could support the stock’s rally. The stock has been scaling record highs this year, and the brokerage expects the upward momentum to continue, backed by several structural tailwinds.
The brokerage has set a target price of ₹830 per share, which indicates an upside potential of 22.5%. It highlighted the company’s efforts in recent years to diversify beyond its core Electrical and Electronic Instruments (EEI) business by expanding into new product segments, which have begun to yield results.
The EEI business remains Rishabh Instruments’ primary growth driver, accounting for 69% of the company’s FY26 revenue. According to Choice International Equities, structural tailwinds from electrification, renewable energy integration, industrial digitalization, data centers, and energy-efficiency initiatives are expected to support demand for advanced measurement and automation solutions.
Meanwhile, the company has expanded its product portfolio over the past five years, building multiple growth engines beyond its core EEI business. These newer products now contribute revenue equivalent to 10% of the EEI business, highlighting the successful commercialization of its research and development (R&D) investments.
The brokerage expects medium-voltage current transformers (CTs), electronic manufacturing services (EMS) capabilities, and solar string inverters to drive product premiumization and strengthen the company’s presence in higher-value applications.