### 3 Indian Exchange Stocks Possibly Trading At Discounts Up To 42%

Over the last 7 days, the Indian market has risen 3.2%, and over the past 12 months, it is up by an impressive 45%. In this thriving environment, identifying undervalued stocks that may be trading at significant discounts can present attractive opportunities for investors looking to capitalize on potential future growth.

Top 10 Undervalued Stocks Based On Cash Flows In India

Click here to see the full list of 18 stocks from our Undervalued Indian Stocks Based On Cash Flows screener.

Underneath we present a selection of stocks filtered out by our screen.

Godrej Properties (NSEI:GODREJPROP)

Overview: Godrej Properties Limited, along with its subsidiaries, is involved in real estate construction and development activities in India and has a market cap of ₹895.22 billion.

Operations: Revenue segments for Godrej Properties Limited include ₹29.95 billion from Real Estate and ₹406.60 million from Hospitality.

Estimated Discount To Fair Value: 42%

Godrej Properties (₹3219.55) trades significantly below its estimated fair value of ₹5548.42, indicating potential undervaluation based on cash flows. Despite earnings growing 28.7% annually over the past five years and a forecasted revenue growth of 31.8% per year, recent financials show mixed results with Q1 sales down to ₹7,390 million from ₹9,360.9 million last year but net income sharply up to ₹5,200.5 million from ₹1,249.4 million due to large one-off items impacting results.

• In light of our recent growth report, it seems possible that Godrej Properties' financial performance will exceed current levels.
• Get an in-depth perspective on Godrej Properties' balance sheet by reading our health report here.

Kalpataru Projects International (NSEI:KPIL)

Overview: Kalpataru Projects International Limited offers engineering, procurement, and construction services across various sectors including power transmission and distribution, buildings and factories, water, railways, oil and gas, and urban infrastructure with a market cap of ₹222.71 billion.

Operations: The company's revenue segments include ₹194.92 billion from Engineering, Procurement and Construction (EPC) services and ₹2.81 billion from Development Projects.

Estimated Discount To Fair Value: 12.5%

Kalpataru Projects International (₹1370.95) trades below its estimated fair value of ₹1566.98, suggesting potential undervaluation based on cash flows. Despite a 12.9% forecasted annual revenue growth, recent Q1 results show mixed performance with sales rising to ₹45,870 million from ₹42,410 million but net income dropping to ₹930 million from ₹1,150 million year-over-year. Regulatory challenges in Kenya and tax issues in India and Kuwait have not significantly impacted the company's overall financial position.

• Upon reviewing our latest growth report, Kalpataru Projects International's projected financial performance appears quite optimistic.
• Dive into the specifics of Kalpataru Projects International here with our thorough financial health report.

Vedanta (NSEI:VEDL)

Overview: Vedanta Limited, a diversified natural resources company with a market cap of ₹1.76 trillion, explores, extracts, and processes minerals and oil and gas in India and internationally.

Operations: Vedanta Limited generates revenue from various segments including Power (₹61.53 billion), Copper (₹197.30 billion), Iron Ore (₹90.69 billion), Aluminium (₹483.71 billion), Oil and Gas (₹178.37 billion), Zinc - India (₹279.25 billion), and Zinc - International (₹35.56 billion).

Estimated Discount To Fair Value: 37.9%

Vedanta Limited (₹450.75) trades significantly below its estimated fair value of ₹725.30, indicating potential undervaluation based on cash flows. Despite high debt levels and recent regulatory challenges, including a computational error in a tax demand of ₹12.89 billion expected to be rectified to nil, the company's earnings are forecasted to grow substantially at 43.25% per year over the next three years, outpacing the Indian market's growth rate of 16.3%.

• Our earnings growth report unveils the potential for significant increases in Vedanta's future results.
• Click here and access our complete balance sheet health report to understand the dynamics of Vedanta.

Where To Now?

• Explore the 18 names from our Undervalued Indian Stocks Based On Cash Flows screener here.
• Are these companies part of your investment strategy? Use Simply Wall St to consolidate your holdings into a portfolio and gain insights with our comprehensive analysis tools.
• Discover a world of investment opportunities with Simply Wall St's free app and access unparalleled stock analysis across all markets.

Looking For Alternative Opportunities?

• 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.

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