Synopsis: EMS stock shares rose 3% after a JV with Longcheer, where Dixon holds 74% and Longcheer 26%, to make smartphones, tablets, smartwatches, AI PCs, and healthcare devices, enhancing ODM capabilities and local component production.
The shares of the Mid-Cap company specialising in EMS, acting as the “Brand behind Brands” by designing and manufacturing a wide range of products like LED TVs, home appliances, mobile phones, lighting, and security devices, have been in the spotlight upon entering into a Joint Venture Agreement for Electronics Manufacturing in India.
With a market capitalization of Rs. 71,024.77 crores on the day’s trade, the shares of Dixon Technologies (India) Ltd rose upto 3.08 percent, reaching a high of Rs. 11767.00 compared to its previous close of Rs. 11414.70.
What Happened
Dixon Technologies (India) Ltd engaged in designing and manufacturing a wide range of products like LED TVs, home appliances, mobile phones, lighting, and security devices, has entered into a Joint Venture Agreement on 14th February 2026 with Longcheer Intelligence Pte. Ltd. (“Longcheer”) and Dixtel Infocom Private Limited (“JV Company”), a wholly-owned subsidiary of Dixon.
The JV Company will operate in the business of manufacturing and supplying smartphones, tablets, smartwatches, AI PCs, automotive electronics, healthcare devices, and other smart devices, and the agreement is subject to the completion of certain conditions precedent.
Upon closing, the JV Company will be held 74% by Dixon and 26% by Longcheer. This partnership is expected to strengthen Dixon’s Original Design Manufacturer (ODM) capabilities and promote the localisation of non-semiconductor component manufacturing in India.
Financials & Others
The company’s revenue rose by 2.08 percent from Rs. 10,454 crore in December 2024 to Rs. 10,672 crore in December 2025. Meanwhile, the Net profit rose from Rs. 216 crore to Rs. 321 crore during the same period.
The company shows strong profitability and efficient use of capital, with a Return on Capital Employed (ROCE) of 40.0% and a Return on Equity (ROE) of 32.8%, indicating it generates substantial returns on both overall and shareholder capital. Its debt-to-equity ratio of 0.34 reflects a conservative capital structure with low reliance on debt, while a PEG ratio of 0.84 suggests the stock may be undervalued relative to its earnings growth
The company has demonstrated impressive long-term performance, delivering a 45.0% CAGR in profits over the last 5 years. It maintains a strong ROE track record, averaging 28.1% over the past 3 years, highlighting efficient shareholder capital utilization. Additionally, its median sales growth of 45.1% over the last 10 years reflects consistent top-line expansion, underlining robust and sustainable business growth.
Dixon Technologies (India) Ltd is India’s largest homegrown electronics manufacturing services (EMS) provider, offering end-to-end design and manufacturing for global and domestic brands in consumer electronics, home appliances, lighting, and mobile phones, with a growing focus on IT hardware, wearables, and medical equipment.
The company is India’s #1 EMS provider and ranks #13 globally. The company generates $4.5 billion in operating revenue, operates 24 manufacturing facilities and 6 R&D centres, and partners with 100+ global brands, with a workforce of over 35,000 employees
It was founded in 1993 and serves major brands like Samsung, Xiaomi, and Panasonic, boasting extensive manufacturing facilities and strong fundamentals, positioning itself as a leader in India’s booming electronics sector.
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