The Price-to-Earnings (P/E) ratio measures a company’s stock price relative to its earnings, indicating how much investors are willing to pay for each unit of earnings. A lower P/E ratio, particularly below the industry average, can signal undervaluation.
In this article, we focus on companies with a P/E ratio under 10, which may present investment opportunities. We have considered Tata Motors Limited, Kiran Vyapar Limited, Jindal Saw Limited, and KNR Constructions Limited, all of which meet this criterion.
Here are stocks with price-to-earnings ratio below 10 for investment in 2025:
1. Tata Motors Limited
With a market capitalization of Rs. 2,70,157.76 crores, the shares of Tata Motors Limited were closed at Rs. 733.90 per equity share, down nearly around 2.48 percent from its previous day’s close price of Rs. 752.55.
The company’s price-to-earnings ratio is 8.07, which is significantly lower than the industry average of 18. In terms of return ratios, the company’s ROCE and ROE should be 20.1 percent and 49.4 percent, respectively
Tata Motors Limited’s revenue from operations has decreased by 3.50 percent from Rs. 1,05,129 crore in Q2 FY24 to Rs. 1,01,450 crore in Q2 FY25. The company’s net profit has decreased from Rs. 3,832 crore in Q2 FY24 to Rs. 3,450 crore in Q2 FY25, which is down by 9.97 percent.
Tata Motors Limited is a leading global automobile manufacturer based in India, producing a wide range of vehicles including cars, trucks, buses, and defense vehicles, while also pioneering electric vehicle solutions.
2. Kiran Vyapar Limited
With a market capitalization of Rs. 709.39 crores, the shares of Kiran Vyapar Limited were closed at Rs. 260 per equity share, down nearly around 0.08 percent from its previous day’s close price of Rs. 260.20.
The company’s price-to-earnings ratio is 8.62, which is significantly lower than the industry average of 21.2. In terms of return ratios, the company’s ROCE and ROE should be 4.14 percent and 3.19 percent, respectively.
Kiran Vyapar Limited’s revenue from operations has increased by 281.82 percent from Rs. 11 crore in Q2 FY24 to Rs. 42 crore in Q2 FY25. The company’s net profit has increased from Rs. 8 crore in Q2 FY24 to Rs. 33 crore in Q2 FY25, which has grown by 312.50 percent.
Kiran Vyapar Limited is a non-deposit-accepting non-banking financial company (NBFC) based in India, primarily engaged in investments, trading in shares and securities, and providing loans and financing services.
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3. Jindal Saw Limited
With a market capitalization of Rs. 15,738.30 crores, the shares of Jindal Saw Limited were closed at Rs. 246.10 per equity share, down nearly around 3.53 percent from its previous day’s close price of Rs. 255.10.
The company’s price-to-earnings ratio is 8.50, which is significantly lower than the industry average of 19. In terms of return ratios, the company’s ROCE and ROE should be 21.4 percent and 17.7 percent, respectively.
Jindal Saw Limited’s revenue from operations has decreased by 6.81 percent from Rs. 5,656 crore in Q3 FY24 to Rs. 5,571 crore in Q3 FY25. The company’s net profit has decreased from Rs. 512 crore in Q2 FY24 to Rs. 479 crore in Q2 FY25, which is down by 6.89 percent.
Jindal Saw Limited is a leading manufacturer and supplier of iron and steel pipes, fittings, and pellets, serving various industries including oil, gas, water supply, and infrastructure globally. The company operates multiple manufacturing facilities across India, the USA, Europe, and the UAE.
4. KNR Constructions Limited
With a market capitalization of Rs. 8,254.24 crores, the shares of KNR Constructions Limited were closed at Rs. 293.50 per equity share, down nearly around 3.02 percent from its previous day’s close price of Rs. 302.65.
The company’s price-to-earnings ratio is 7.55, which is significantly lower than the industry average of 22.9. In terms of return ratios, the company’s ROCE and ROE should be 25.7 percent and 23.7 percent, respectively.
KNR Constructions Limited’s revenue from operations has increased by 87.38 percent from Rs. 1,038 crore in Q2 FY24 to Rs. 1,945 crore in Q2 FY25. The company’s net profit has increased from Rs. 143 crore in Q2 FY24 to Rs. 580 crore in Q2 FY25, which has grown by 305.59 percent.
KNR Constructions Limited is a prominent infrastructure development company based in Hyderabad, India. It specializes in engineering, procurement, and construction (EPC) services for projects including roads, highways, bridges, and irrigation systems.
Written By – Nikhil Naik
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