Best Low PE Ratio Stocks in India
Most investors keep a close eye on a few key metrics to make sense of the stock market, and the price-to-earnings (P/E) ratio is usually one of them. The PE ratio is an indicator that helps with spotting stocks that might be undervalued or overpriced. In the following sections, we’ll look at what low PE ratio stocks really mean and how they tend to stand out.
Top Low PE Ratio Stocks
Thursday, 19 June, 2025
| symbol | Company | ticker | slug | Sector | Market Price | 52W High | 52W Low | Market Cap (Cr.) | PE Ratio | Industry PE | PB Ratio | Div. Yield (%) | ROE (%) | 1YReturns | 3YReturns | 5YReturns | Market Cap Label | Industry Group | Industry | Sub Industry | percentageChange |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| AXBK | Axis Bank Ltd | AXISBANK | /stocks/axis-bank-AXBK | Private Banks | 1,221.00 | 1,339.65 | 933.50 | 376,866.93 | 13.47 | 16.97 | 2.39 | 0.08 | 18.34 | 2.44 | 94.33 | 201.18 | Largecap | Banks | Banks | Diversified Banks | -0.29 |
| BPCL | Bharat Petroleum Corporation Ltd | BPCL | /stocks/bharat-petroleum-corporation-BPCL | Oil & Gas - Refining & Marketing | 315.85 | 376.00 | 234.01 | 137,270.31 | 10.29 | 19.05 | 1.81 | 3.11 | 41.59 | 0.13 | 113.38 | 70.61 | Largecap | Energy | Oil, Gas & Consumable Fuels | Oil & Gas Refining & Marketing | -0.76 |
| COAL | Coal India Ltd | COALINDIA | /stocks/coal-india-COAL | Mining - Coal | 390.35 | 543.55 | 349.25 | 243,027.19 | 6.87 | 27.47 | 2.91 | 6.72 | 51.52 | -20.18 | 120.72 | 183.68 | Largecap | Energy | Metals & Mining | Coal & Consumable Fuels | -1.56 |
| HALC | Hindalco Industries Ltd | HINDALCO | /stocks/hindalco-industries-HALC | Metals - Aluminium | 645.35 | 772.65 | 546.45 | 145,299.90 | 9.08 | 27.47 | 1.37 | 0.77 | 10.11 | -4.92 | 100.73 | 327.95 | Largecap | Materials | Metals & Mining | Aluminum | -0.62 |
| INBK | Indusind Bank Ltd | INDUSINDBK | /stocks/indusind-bank-INBK | Private Banks | 850.50 | 1,550.00 | 606.00 | 63,979.96 | 24.84 | 16.97 | 1.01 | 0.00 | 15.19 | -43.60 | 8.48 | 70.37 | Midcap | Banks | Banks | Diversified Banks | -1.53 |
| ONGC | Oil and Natural Gas Corporation Ltd | ONGC | /stocks/oil-and-natural-gas-corporation-ONGC | Oil & Gas - Exploration & Production | 250.36 | 345.00 | 205.00 | 323,048.99 | 8.92 | 19.05 | 0.88 | 4.77 | 14.73 | -9.22 | 86.28 | 199.47 | Largecap | Energy | Oil, Gas & Consumable Fuels | Integrated Oil & Gas | 0.48 |
| SBI | State Bank of India | SBIN | /stocks/state-bank-of-india-SBI | Public Banks | 791.90 | 899.00 | 680.00 | 707,276.14 | 9.12 | 16.97 | 1.40 | 2.01 | 16.58 | -6.27 | 82.17 | 340.80 | Largecap | Banks | Banks | Diversified Banks | -0.86 |
| SRTR | Shriram Finance Ltd | SHRIRAMFIN | /stocks/shriram-transport-finance-company-SRTR | Consumer Finance | 662.10 | 730.45 | 493.35 | 127,151.81 | 13.31 | 16.97 | 2.56 | 1.46 | 15.76 | 16.99 | 190.68 | 409.70 | Largecap | Financial Services | Consumer Finance | Consumer Finance | -1.50 |
| TAMO | Tata Motors Ltd | TATAMOTORS | /stocks/tata-motors-TAMO | Four Wheelers | 670.25 | 1,179.00 | 535.75 | 252,787.61 | 9.08 | 37.54 | 2.06 | 0.87 | 25.79 | -32.02 | 75.14 | 595.64 | Largecap | Automobiles & Components | Automobiles | Automobile Manufacturers | 0.31 |
| TISC | Tata Steel Ltd | TATASTEEL | /stocks/tata-steel-TISC | Iron & Steel | 152.11 | 184.60 | 122.62 | 192,458.61 | 56.27 | 27.47 | 2.11 | 2.33 | 3.72 | -16.02 | 76.56 | 378.33 | Largecap | Materials | Metals & Mining | Steel | -0.73 |
Disclaimer
Please note that the above list is for educational purposes only, and is not recommendatory. Please do your own research or consult your financial advisor before investing.
Note: The data on this low PE ratio stocks screener is dynamic in nature and subject to real-time changes. This data is derived from Tickertape Stock Screener.
Low PE Ratio Stocks in India (2025)
What is a PE Ratio?
The price-to-earnings (PE) ratio is a widely used metric that compares a company’s current share price to its earnings per share (EPS). It serves as an indicator of how the market values the company’s earnings. A high PE ratio may suggest that investors expect strong future growth, even if the stock appears expensive relative to its current earnings. Conversely, a low P/E ratio could indicate that a stock is undervalued, particularly when compared to its peers in the same industry or sector.
What are Low PE Ratio Stocks?
them as potentially undervalued, especially when compared to other companies in the same sector. These stocks can offer opportunities for long-term growth and may carry less downside risk during market volatility. Identifying low P/E stocks can help investors find companies that are overlooked or trading below their intrinsic value, while also offering a possible margin of safety.
About the Low PE Ratio Companies
- Tata Steel Ltd: Tata Steel Limited, formerly Tata Iron and Steel Company Limited (TISCo) is recognised as one of the lowest-cost producers of steel globally.
- Bharat Petroleum Corporation Ltd: Bharat Petroleum Corporation Limited (BPCL) is a ‘Maharatna’ and a Fortune Global 500 company.
- Oil and Natural Gas Corporation Ltd: Oil and Natural Gas Corporation (ONGC) is India’s largest producer of crude oil and natural gas.
- Coal India Ltd: Coal India Limited (CIL), established on 1st November 1975, is a major central public sector enterprise under the Ministry of Coal, Government of India.
- Indusind Bank Ltd: IndusInd Bank, established in 1994, is a leading financial services bank in India. The bank has grown steadily.
How to Invest in Low PE Ratio Stocks?
Here is how one can invest in low PE ratio stocks in NSE in India:
- Open a demat/trading/stockbroker account. You can open a demat account with smallcase!
- Conduct thorough research into the Indian low PE ratio stocks that are of interest to you. Investors can use tools like the Tickertape Stock Screener to do this. The screener offers 200+ built-in filters to choose from, and investors can choose the parameters to research.
- Place a ‘Buy’ Order on the low PE ratio stocks of your choosing.
How to Calculate Low PE Ratio Shares?
Here’s how you can calculate the PE ratio of stocks.
| PE Ratio = Market Price per Share / Earnings per Share |
- Compare the Low PE ratio Share: A stock may be considered to have a low PE ratio if its PE ratio is lower than the industry average.
For example, if the average PE ratio of the Nifty 50 index is 25 and a stock has a current market price of Rs. 50 per share and an EPS of Rs. 5, its PE ratio would be 10 since this is lower than the average PE ratio of the Nifty 50.
Benefits of Low PE Ratio Stocks
- Indicates potential undervaluation: A low price-to-earnings (PE) ratio often signals that a stock is trading below its intrinsic value, suggesting potential for upward price correction in the top low PE ratio shares India.
- Opportunities in overlooked sectors: In India, cyclical industries such as manufacturing, infrastructure, or public sector enterprises may show low PE ratios during downturns but recover as the cycle turns.
- Potential for long-term gains: If the company’s fundamentals remain intact, low PE stocks with the lowest PE ratios may deliver superior returns once earnings visibility improves or investor sentiment shifts.
- Appeals to value-oriented strategies: Low price to earnings stocks or the best stock with low PE ratio often align with value investing approaches, which are historically successful in Indian markets over the long term.
Risks of Investing in Low PE Ratio Stocks
- May reflect deeper business problems: A low PE ratio may indicate poor earnings quality, management challenges, or weakening demand for the company’s products or services.
- Risk of value traps: Some low PE stocks and penny stocks with low PE ratios may remain undervalued for long periods or continue declining if earnings do not recover as expected.
- Market sentiment may stay negative: Even fundamentally sound companies can trade at low PE ratios if the broader market perceives them as risky or unattractive.
- PE ratio alone is not sufficient: Relying solely on PE without analysing other factors such as debt levels, cash flows, and industry trends can lead to misleading conclusions.
Factors to Consider When Investing in Low PE Ratio Stocks
- Industry context: PE ratios vary across sectors; comparing within the same industry gives clearer insights.
- Earnings quality: One-time gains or accounting changes can distort earnings and affect the PE ratio.
- Growth outlook: A low PE may reflect limited future growth or business stagnation.
- Debt burden: High debt levels can lead to lower valuations due to financial risk.
- Market sentiment: Negative news or sentiment can temporarily push down a stock’s PE ratio.
To Wrap It Up…
Shares with low PE ratios are often considered undervalued and may offer strong returns. However, relying solely on the PE ratio for investment decisions is not advisable. It’s important to assess a company’s financial health, industry-specific PE ratios, and other fundamental indicators. Additionally, investing in the best low PE stocks in India 2025 carries risks such as market fluctuations and potential losses. To mitigate these risks, consider diversifying your portfolio. At last, don’t forget to consult your financial advisor before making investment decisions.
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Frequently Asked Questions About Low PE Ratio Stocks
1. How can I invest in low PE shares?
If you seek undervalued stocks or high growth low PE stocks nifty 50, consider analysing those with low PE ratios. However, it’s crucial to conduct comprehensive research and PE ratio analysis to verify that the low PE ratios do not indicate potential underlying problems.
2. Is it a good time to explore in low PE stocks?
A low P/E ratio benefits both the business and potential investors. This metric is calculated by dividing a company’s share price by its earnings per share. Although, investors are advised to stay appraised of market conditions before investing.
3. Can low PE stocks be profitable for investors?
Generally, low PE stocks exhibit lower risk and possess a defensive nature, offering stability during market volatility. However, it’s important to do your research or consult a financial advisor before investing.
4. What is a good PE ratio for stocks?
A P/E ratio below 20 often can be considered an ideal PE ratio for stock evaluation. It’s important to note that the average P/E ratio can differ by industry, so what is deemed favourable or unfavourable depends on the comparison context.
