5 Smallcap Power Transmission Stocks to Add to Your 2026 Watchlist

A sector in India that is structurally strong and will grow over the coming decade - think 10+ years is power transmission.

The sector has recently seen big investments exceeding Rs 10 trillion, as part of the capex, by private and public players. This ambitious initiative aims to scale up the country's transmission capacity to 900 GW by 2032.

Also, as India's transmission infrastructure integrates 500 GW of renewable energy into the grid, including offshore wind, solar, and hydro projects, there's a need for constructing high-capacity inter-state transmission systems.

In this editorial we will go beyond the well-known names and look at 5 smallcap power transmissions stocks that you can watch out for in 2026.

#1 Skipper

First on the list is Skipper.

Established in 1981, Skipper has grown into one of the world's leading manufacturers of Transmission & Distribution (T&D) structures, including towers and poles, within its Engineering Products segment.

Additionally, the company holds a strong position in the polymer sector and is a partner for executing infrastructure EPC (Engineering, Procurement, and Construction) projects.

The company has a pan-India pressence and its global reach spans over 40 countries, including South America, Europe, Africa, the Middle East, South and Southeast Asia, and Australia.

One of Skipper's notable transmission projects was the Fatehgarh (II) to Bhadla (II) 765kV HEXA ZEBRA Conductor Transmission Line. This large-scale project involved the supply, erection, civil works, testing, and commissioning of equipment for Power Grid Corporation of India.

Skipper is the biggest supplier to PGCIL which is the domestic leader in power transmission. Backed by inhouse R&D, it's also the biggest transmission tower manufacturer globally.

Coming to its financials, Skipper's has posted significant growth over the last five years.

In the past 5 years, its sales and net profit have grown at a CAGR of 27% and 29% respectively.

Looking ahead, Skipper has set an ambitious goal of Rs 100 bn topline by 2028-29.

The company aims to capitalise on the growing demand for transmission towers, especially in high-voltage direct current (HVDC) systems, which are critical for long-distance power transmission and the integration of renewable energy sources.

All these tailwinds collectively make Skipper worth tracking in 2026.

#2 Quality Power Electrical Equipment

Second on the list is a relatively new listing.

Incorporated in 2001, Quality Power Electrical Equipments is a rising player in the energy transition and power equipment space, specialising in electrical systems used across infrastructure, utilities, and industrial applications.

For FY25, the company posted robust growth in revenue while profit almost doubled to Rs 1 bn.

The management expects a strong FY26, due to deferred billing and execution cycles from the previous quarter.

The company has an order book of Rs 5.2 bn, alongside an immediate pipeline worth Rs 7 bn, which provides visibility in the short to medium term.

Over the past 3 years, its sales and net profit have grown at a CAGR of 22% and 33% respectively.

Recently, the company acquired a 51% stake in Mehru Electrical and Mechanical Engineers for Rs 1.2 bn, expanding its product portfolio and market access.

It has also committed investments toward a new 10-acre manufacturing facility in Sangli and capacity enhancements at its existing Kochi plant, both aimed at meeting future demand from domestic and global markets.

The company is strengthening its global footprint, especially in the US and Europe, where demand for power equipment aligned with green energy goals is growing rapidly. Quality Power is emerging as a serious contender in the energy-tech and power infra supply chain.

Quality Power's strong order book and niche abilities make it a smallcap worth tracking in 2026.

#3 Bajel Projects

Third on the list is Bajel Projects.

Bajel Projects is engaged in the business of power infrastructure, with a strong presence in the power transmission and power distribution sectors.

Its power transmission business has executed more than 7,000 circuit kilometers (ckm) of extra high voltage transmission lines. It has also executed more than 40 extra high voltage AIS/GIS substation projects providing electricity to millions across the country.

It has more than 25 projects under execution with various states, central, and private utilities. It's executing major projects like the 765 kV Beawar-Mandsaur line in Rajasthan and Madhya Pradesh, the Halvad-Vataman line in Gujarat, and the Maharanibagh-Narela line in Rajasthan.

These projects, focused on renewable energy integration and grid expansion, showcase Bajel's expertise in high-voltage transmission.

Last year, Bajel entered the data center sector, securing its first contract to build a 220/33kV GIS substation and extend transmission lines for a colocation data center in Navi Mumbai.

This strategic move leverages Bajel's EPC expertise to meet the rising demand for digital infrastructure while maintaining its commitment to quality and efficiency.

Coming to financials, the company's revenue more than doubled to Rs 26 bn in FY25, while profit shot up 4 times to Rs 159 m.

This strong performance was driven by the continued focus on executing a robust order book. While progress has been made, the company acknowledges there is still a long way to go.

In Q1FY26, revenue increased 18%. This growth momentum is expected to sustain given the available execution capabilities and the focus on higher bidding to increase the order book.

Moving ahead, the focus will be on building a strong organisational foundation, improving efficiency, achieving execution excellence, and managing risks proactively.

#4 Viviana Power Tech

Fourth on the list is Viviana Power Tech.

Viviana Power Tech, founded in 2014, focuses on serving clients in the power transmission sector, along with distribution and industrial EPC.

Established by directors Nikesh Choksi and Richi Choksi, the company completed 40 power transmission projects within five years.

Viviana currently manages additional projects worth more than Rs 350 m. The company has contracts with Dakshin Gujarat Vij Company (DGVCL), Gujarat Energy Transmission Corporation (GETCO), and Madhya Gujarat Vij Company (MGVCL), for projects up to 400 kV.

In FY25, the company's revenue reached Rs 2.2 bn, growing more than 3 times compared to FY24, while profit surged to Rs 200 m compared to Rs 69 m reported in FY24.

In the past 5 years, Viviana Power's net sales and net profit have grown at a CAGR of 61% and 76% respectively.

The current order book stands at over Rs 2.4 bn, including both ongoing projects and new contracts received. The company is also the lowest bidder (L1) in multiple projects with various DISCOMs, reflecting a strong pipeline of potential contracts.

This provides revenue stability for FY26 but revenue growth will depend how fast the company clears this order book and secures some new orders.

Separately, the company also earns revenue from its step-down subsidiary 'Viviana Life Spaces' for the flats sold of the real estate project 'Viviana Westin'.

#5 Transformers & Rectifiers (TRIL)

Last on the list is Transformers & Rectifiers.

Transformers and Rectifiers manufactures a broad range of transformers, rectifiers, and specialty transformers.

It also supplies reactors and mobile substations, with applications across industrial, transmission, and green energy sectors.

In FY25, the company reported a significant improvement in operational and financial performance. Revenue rose 53% YoY to Rs 19.5 bn, while EBITDA increased 149% to Rs 3.2 bn.

EBITDA margins expanded from 10% to 16.1%. Profit after tax rose over four times to Rs 1.87 bn, compared to Rs 420 m the previous year.

The return on capital employed improved to more than 20%, with the company's debt to equity ratio falling to 0.21.

Over the past 5 years, its sales and net profit have grown at a CAGR of 23% and 191% respectively.

For the first time in decades, companies like TRIL are seeing a sustained upcycle - both in domestic and global markets.

At the grid level, the rollout of 765 kV transmission corridors and HVDC infrastructure is picking up pace. Only a handful of Indian manufacturers - including TRIL - have the scale and technical depth to compete in this space.

Transformers & Rectifiers closed FY25 with Rs 51 bn in unexecuted orders. During the year, it secured Rs 45 bn in fresh orders, including a Rs 7.4 bn order from GETCO.

In March 2025, it also raised Rs 5 bn through a qualified institutional placement to support its expansion and backward integration efforts.

The company has inquiries under negotiation worth over Rs 220 bn. The management has a longer-term goal of reaching US$ 1 bn in revenue by FY28 from the current US$ 235 m.

To support this, the company's is investing Rs 5.5 bn over the next 15 months and plans to become fully backward integrated by Q1 FY27.

The numbers suggest meaningful improvement but sustainability will depend on the company executing its expansion plans, maintaining margins, and converting its pipeline into orders.

Should You Consider Smallcap Power Transmission Stocks?

India's push to build its grid - both for domestic and export markets - is creating a multi-year demand runway for companies involved in the transmission sector.

While custom engineering remains a moat for global giants, Indian players are now making inroads through bundled EPC exports and joint bids in Africa and Southeast Asia.

While capacity expansion is underway, technology remains a bottleneck.

Also, majority of the stocks from this sector trade at rich valuations. If government orders slow or utility payments are delayed, working capital can get stretched.

Overall, execution will remain key, and investors should keep an eye on their order inflows, execution timelines, corporate governance, capacity expansion, and working capital cycles.

Happy Investing.

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