Discover IRB Infrastructure Developers And 2 Other Stocks Possibly Trading Below Estimated Value On The Indian Exchange

Over the last 7 days, the Indian market has risen 3.4%, driven by gains in every sector and is up 44% over the last 12 months. In this thriving environment, identifying undervalued stocks like IRB Infrastructure Developers can be key to capitalizing on potential growth opportunities.

Top 10 Undervalued Stocks Based On Cash Flows In India

Name	Current Price	Fair Value (Est)	Discount (Est)
Everest Kanto Cylinder (NSEI:EKC)	₹190.49	₹305.88	37.7%
Krsnaa Diagnostics (NSEI:KRSNAA)	₹728.25	₹1165.33	37.5%
Venus Pipes and Tubes (NSEI:VENUSPIPES)	₹2267.90	₹4383.75	48.3%
IOL Chemicals and Pharmaceuticals (BSE:524164)	₹466.50	₹762.32	38.8%
Updater Services (NSEI:UDS)	₹366.10	₹622.92	41.2%
Prataap Snacks (NSEI:DIAMONDYD)	₹893.40	₹1509.79	40.8%
Patel Engineering (BSE:531120)	₹54.24	₹90.85	40.3%
Rajesh Exports (NSEI:RAJESHEXPO)	₹298.30	₹588.13	49.3%
Mahindra Logistics (NSEI:MAHLOG)	₹512.30	₹999.00	48.7%
Manorama Industries (BSE:541974)	₹881.80	₹1665.51	47.1%

Click here to see the full list of 32 stocks from our Undervalued Indian Stocks Based On Cash Flows screener.

We'll examine a selection from our screener results.

IRB Infrastructure Developers (NSEI:IRB)

Overview: IRB Infrastructure Developers Limited operates in the infrastructure development sector in India, with a market cap of ₹394.59 billion.

Operations: IRB Infrastructure Developers Limited generates revenue primarily from its Construction segment, which accounts for ₹51.92 billion, and BOT/TOT Projects, contributing ₹24.16 billion.

Estimated Discount To Fair Value: 30.2%

IRB Infrastructure Developers is trading at 30.2% below its estimated fair value of ₹93.66, with a current price of ₹65.34, indicating it may be undervalued based on cash flows. Despite forecasted revenue growth of 10.3% per year and significant annual earnings growth of 32%, interest payments are not well covered by earnings, and the company has an unstable dividend track record. Recent Q1 results show increased revenue and net income compared to last year.

• In light of our recent growth report, it seems possible that IRB Infrastructure Developers' financial performance will exceed current levels.
• Take a closer look at IRB Infrastructure Developers' balance sheet health here in our report.

Jindal Steel & Power (NSEI:JINDALSTEL)

Overview: Jindal Steel & Power Limited operates in the steel, mining, and infrastructure sectors in India and internationally, with a market cap of ₹985.15 billion.

Operations: The company's revenue from manufacturing steel products is ₹510.56 billion.

Estimated Discount To Fair Value: 20.3%

Jindal Steel & Power, trading at ₹965.75, is 20.3% below its estimated fair value of ₹1212.16, suggesting it may be undervalued based on cash flows. Despite a slight dip in Q1 net income to ₹13.40 billion from ₹16.87 billion last year, earnings are forecast to grow significantly at 24% annually over the next three years. Production remains stable with 2.05 million tonnes of steel produced in Q1 2024 compared to the previous year’s 2.04 million tonnes.

• Insights from our recent growth report point to a promising forecast for Jindal Steel & Power's business outlook.
• Dive into the specifics of Jindal Steel & Power here with our thorough financial health report.

Piramal Pharma (NSEI:PPLPHARMA)

Overview: Piramal Pharma Limited operates as a pharmaceutical company in North America, Europe, Japan, India, and internationally with a market cap of ₹250.08 billion.

Operations: The company's revenue from its pharmaceutical segment amounts to ₹83.73 billion.

Estimated Discount To Fair Value: 34.9%

Piramal Pharma, trading at ₹188.63, is 34.9% below its estimated fair value of ₹289.56, indicating it may be undervalued based on cash flows. The company’s earnings are forecast to grow significantly at 73.5% annually over the next three years, outpacing the Indian market's growth rate of 16.9%. Despite recent penalties and a net loss reduction from ₹985.8 million to ₹886.4 million in Q1 2024, Piramal Pharma shows promising revenue growth and profitability prospects.

• Our expertly prepared growth report on Piramal Pharma implies its future financial outlook may be stronger than recent results.
• Delve into the full analysis health report here for a deeper understanding of Piramal Pharma.

Summing It All Up

• Embark on your investment journey to our 32 Undervalued Indian Stocks Based On Cash Flows selection here.
• Are any of these part of your asset mix? Tap into the analytical power of Simply Wall St's portfolio to get a 360-degree view on how they're shaping up.
• Invest smarter with the free Simply Wall St app providing detailed insights into every stock market around the globe.

Want To Explore Some Alternatives?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com