India's EMS Story Enters New Phase as Stocks Grow 50%+

In India, some companies are very good at making electronic parts for useful things like cars, trains, and phones.

Two of these companies are named Syrma SGS and Avalon.

A year ago, Syrma was not doing so well, but now it is growing very fast — its sales went up by 68% compared with last year.

Avalon grew its sales by almost 50% in the same time.

These companies make electronics for special areas like defence, aeroplanes, railways, and solar power.

Because they are doing so well, many people want to buy their stocks, so the stocks have become expensive.

Some experts worry that if the companies grow a little slower, the expensive stocks could go down.

Both companies still need to show that they can turn their big sales into steady profits and cash.

If they keep growing and making better profits, the high prices might be fair.

But there is no guarantee, so investors must watch carefully.