Discovering 3 Undiscovered Gems In India With Strong Potential

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In the last week, the Indian market has stayed flat while the Information Technology sector gained 4.0%. With the market up 44% over the past year and earnings forecast to grow by 17% annually, identifying stocks with strong potential is crucial for investors looking to capitalize on these favorable conditions.

Top 10 Undiscovered Gems With Strong Fundamentals In India

Name

Debt To Equity

Revenue Growth

Earnings Growth

Health Rating

3B Blackbio Dx

0.38%

-0.26%

-1.39%

★★★★★★

All E Technologies

NA

40.78%

31.63%

★★★★★★

Indo Amines

82.32%

17.15%

20.00%

★★★★★☆

Voith Paper Fabrics India

0.07%

10.95%

9.70%

★★★★★☆

Indo Tech Transformers

2.30%

22.04%

60.31%

★★★★★☆

Piccadily Agro Industries

50.57%

13.86%

42.85%

★★★★★☆

Macpower CNC Machines

0.40%

22.04%

31.09%

★★★★★☆

Nibe

39.26%

80.75%

84.68%

★★★★★☆

Lotus Chocolate

13.51%

28.07%

-10.66%

★★★★★☆

Monarch Networth Capital

32.66%

30.99%

50.24%

★★★★☆☆

Click here to see the full list of 453 stocks from our Indian Undiscovered Gems With Strong Fundamentals screener.

Below we spotlight a couple of our favorites from our exclusive screener.

LT Foods

Simply Wall St Value Rating: ★★★★★★

Overview: LT Foods Limited engages in the milling, processing, and marketing of branded and non-branded basmati rice and rice food products in India, with a market cap of ?114.75 billion.

Operations: The primary revenue stream for LT Foods comes from the manufacture and storage of rice, generating ?81.21 billion. The company has a market cap of ?114.75 billion.

LT Foods has shown impressive performance with earnings growth of 35.7% over the past year, outpacing the food industry's 13.9%. Trading at 4.3% below its fair value, it offers good relative value compared to peers. The company's debt to equity ratio improved from 116.4% to 26.8% in five years, reflecting strong financial management. Recent earnings reported sales of ?20,705 million and net income of ?1,553 million for Q1 FY2025, indicating robust revenue growth and profitability.

NSEI:LTFOODS Debt to Equity as at Aug 2024
NSEI:LTFOODS Debt to Equity as at Aug 2024

Newgen Software Technologies

Simply Wall St Value Rating: ★★★★★★

Overview: Newgen Software Technologies Limited is a software company that offers software products and solutions across India, Europe, the Middle East, Africa, the Asia Pacific, Australia, and the United States with a market cap of ?151.89 billion.

Operations: Newgen Software Technologies generates revenue primarily from its software and programming segment, which amounted to ?13.07 billion. The company's market cap stands at ?151.89 billion.