Polycab India shares fell as much as 7 percent in Friday's session, snapping the previous day's gains, as analysts said UltraTech Cement's entry into the wires and cables segment could lead to a near-term de-rating for the sector.

The stock hit an intraday low of Rs 8,250 per share on the NSE, down 7 percent.

UltraTech Cement officially announced its entry into the wires and cables segment on Thursday with the launch of its "Ultravolt" brand, three months ahead of the scheduled December 2026 launch.

Analysts said the correction in Polycab following UltraTech's entry was primarily sentiment-driven and did not reflect any immediate deterioration in the company's fundamentals.

Dr Ravi Singh, Chief Research Officer at Master Capital Services, said UltraTech's well-funded entry and pan-India distribution indicated its intent to build the business at scale.

UltraTech has committed around Rs 1,800 crore to its new Ultravolt business, raising concerns over pricing pressure, competition for market share and potential valuation de-rating for established players.