Five years as shareholder Polycab

In 2024, my investment in Polycab took me on a roller coaster ride. Early in the year, allegations of ₹200 crore tax evasion were leveled against the company. As a result, the stock plummeted from ₹5,400 to ₹3,800. I felt like my golden goose was dying. My profit dropped from 500% to 325%, which, while still impressive, felt disappointing compared to the initial gains. Unsure whether the allegations were true, I grappled with the decision: should I sell Polycab and secure a gain of over 300%? Ultimately, I chose to do… nothing. I sat there, eyes closed, waiting. Remarkably, four months later, Polycab has fully recovered its lost gains. But the mystery remains: were the allegations true or false? And what happens if they are true?

Investment through the years

Returns

Fiscal year	Dividend yield at cost
2019-20	1.86%
2020-21	0.00%
2021-22	1.45%
2022-23	1.27%
2023-24	2.13%
2024-25	0.00% *

The dividend yield at cost mentioned in the Returns graph above, is yield at the date at which I received the dividends. Another way to look at dividend yield is to calculate it for the fiscal year. To calculate the dividend yield at cost in the above table I use the below formula. (Total amount of dividends received in a fiscal year ÷ Total amount invested at the end of fiscal year) × 100

Profit Percent

XIRR

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Related reading:

• Three years as shareholder of Polycab
• Four years as shareholder of Polycab