CG Power to MosChip Technologies: Five semiconductor stocks to watch out for in 2025

India’s push to become a global semiconductor hub was in focus during the recently concluded Semicon India 2025, held from 2 to 4 September 2025. The three-day event covered chipmaking, advanced packaging, AI, smart manufacturing, and international partnerships, highlighting the country’s goal of building self-reliance in technology and taking a bigger role in the world’s electronics supply chain.

Several domestic semiconductor companies were in the news at Semicon India 2025. CG Power launched its first outsourced semiconductor assembly and test (OSAT) facility at Sanand, Gujarat, during the event, while Kaynes Technology management said its subsidiary, Kaynes Semicon, is set to launch the first Made-in-India semiconductor chip by the first week of October.

Stocks of these companies have also caught investors' interest, with shares of CG Power, Kaynes Technology, MosChip Technologies and others rising up to 43% in the first five days of this month.

Rise of India’s semiconductor market

The Indian semiconductor market is growing rapidly, valued at $45–50 billion in FY25 and expected to hit $100–110 billion by 2030, as per industry estimates. The government is backing this growth with strong incentives. Its ₹76,000 crore PLI scheme already has ₹65,000 crore committed, while a new $2.7 billion PLI for electronic components (announced on March 28, 2025) aims to attract $7 billion in investments, create 91,600 direct jobs, and boost local chip production. At the same time, the Indian Semiconductor Mission has cleared 10 projects with investments worth ₹1.60 lakh crore.

Additionally, ISRO’s Vikram 32-bit processor, India’s first domestically produced chip, was recently unveiled at the Semicon India conference, with more pilot lines and projects set to grow domestic chip production and open vast opportunities for companies and startups.

CG Power and Industrial Solutions

CG Power, founded in 1937, is one of India’s leading names in power generation, transmission, and electrical equipment. Recently, it took a big step into semiconductors by launching CG Semi in Sanand, Gujarat, India’s first complete OSAT (Outsourced Semiconductor Assembly and Test) facility. The project involves a ₹7,600 crore investment for two plants: G1, a pilot plant that can make 0.5 million units per day, and G2, still under construction, which will have a much larger capacity of 1.45 crore units per day. The pilot plant has already started, and full commercial production is expected before the end of 2025.

CG Power is also performing strongly on financial front. In Q1 FY26, the company reported a standalone revenue of ₹2,643 crore, up 25% YoY, and a profit of ₹286 crore, up 23% YoY. The company also saw a 56% jump in new orders, taking its order backlog to a record ₹11,971 crore.

Kaynes Technology India

Kaynes Technology India is a diversified electronics manufacturer that works in areas like PCBs, cables, and precision engineering. Through Kaynes Semicon, the company is building an OSAT facility in Sanand with an investment of ₹3,300 crore. This plant will be able to assemble, test, mark, and package around 60 lakh chips per day for industries such as automotive, consumer electronics, and IT. As per the company’s management, Kaynes Semicon is set to launch the first Made-in-India semiconductor chip by the first week of October.

PM Modi recently noted that pilot operations have already started, with full commercial chip production expected later in 2025. On the financial side, Kaynes reported revenues of ₹673.5 crore (up 34% YoY), an EBITDA of ₹113.0 crore (up 69% YoY) and a PAT of ₹74.6 crore (up 47% YoY). The company also has a strong order book of ₹7,401 crore as of Q1 FY26, showing good growth visibility.

Bharat Electronics

Bharat Electronics (BEL) is a defence electronics firm under the Government of India, specialising in radars, communication systems and other strategic hardware. Tata Electronics and BEL recently signed a memorandum of understanding to support India’s semiconductor and electronics push, symbolising their entry into the broadening domestic semiconductor ecosystem.

The company had a steady quarter in Q1 FY26 with revenues at ₹4,417 crore (up 5% YoY) and PAT at ₹969 crore (up 24.9% YoY), while EBITDA margin expanded sharply to ~30% aided by a favourable product mix.

Dixon Technologies

Dixon Technologies is one of India’s leading electronics manufacturing companies, working with clients in the mobile, TV, and notebook sectors. The company announced an investment in a ₹2,49,000 crore display fabrication unit, which will help make more components locally, strengthen the supply chain, and bring high-value production to India. This move is part of Dixon’s strategy to add more value within the country’s electronics ecosystem.

The company reported robust growth in Q1 FY26, with revenues of ₹12,838 crore (up 95% YoY), EBITDA of ₹484 crore (up 89% YoY), and PAT of ₹280 crore (up 100% YoY), showing solid momentum across mobiles, consumer electronics, and telecom and networking products.

MosChip Technologies

MosChip Technologies, based in Hyderabad, is a semiconductor and product engineering company. It focuses on things like SoC design, ASIC development, embedded systems, and IoT/AI solutions for sectors such as aerospace, defence, and consumer electronics.

In March 2025, the company launched MosChip DigitalSky GenAIoT, a new platform that combines IoT, AI, generative AI, Edge AI, and automation. The idea is to help businesses create smarter and more connected products quickly and bring them to market faster.

The company also reported a strong start to Q1 FY26, with revenue up 69% YoY to ₹135.6 crore. Net profit more than doubled to ₹10.9 crore, driven by better margins and steady growth in its semiconductor and product engineering services.

Before you go

India’s semiconductor journey is picking up pace with ISRO’s Vikram chip and major companies setting up large facilities. Supported by strong government policies, firms like CG Power, Kaynes, Dixon, BEL, and MosChip are reporting new investment and steady growth in financials. These efforts are creating momentum for the industry and building confidence for the future. If this progress continues, India could soon emerge as a strong player in the global semiconductor landscape.