3 Undiscovered Gems In India To Enhance Your Investment Portfolio

Over the past 7 days, the Indian market has risen 1.6%, and in the last year, it has climbed an impressive 44%, with earnings forecast to grow by 17% annually. In this thriving environment, identifying stocks that are poised for growth can significantly enhance your investment portfolio.

Top 10 Undiscovered Gems With Strong Fundamentals In India

Name	Debt To Equity	Revenue Growth	Earnings Growth	Health Rating
Vidhi Specialty Food Ingredients	7.27%	11.00%	4.02%	★★★★★★
3B Blackbio Dx	0.38%	-0.88%	-1.47%	★★★★★★
Yuken India	27.96%	12.35%	-44.41%	★★★★★★
Bharat Rasayan	8.15%	0.10%	-7.93%	★★★★★★
TechNVision Ventures	100.73%	20.37%	68.50%	★★★★★★
Voith Paper Fabrics India	0.07%	10.95%	9.70%	★★★★★☆
Indo Tech Transformers	2.30%	22.05%	60.31%	★★★★★☆
Piccadily Agro Industries	50.57%	13.86%	42.85%	★★★★★☆
Macpower CNC Machines	0.40%	22.04%	31.09%	★★★★★☆
Share India Securities	24.23%	37.59%	48.98%	★★★★☆☆

Click here to see the full list of 475 stocks from our Indian Undiscovered Gems With Strong Fundamentals screener.

We'll examine a selection from our screener results.

Arkade Developers (NSEI:ARKADE)

Simply Wall St Value Rating: ★★★★★☆

Overview: Arkade Developers Limited operates as a real estate development company in India with a market cap of ₹28.89 billion.

Operations: Arkade Developers generates revenue primarily from real estate development, amounting to ₹6.35 billion.

Arkade Developers, a promising player in the real estate sector, has seen its earnings grow by 141.9% over the past year, significantly outpacing the industry average of 24.1%. Trading at 53.9% below its estimated fair value, Arkade's net debt to equity ratio stands at a satisfactory 14.2%. The company's interest payments are well covered by EBIT with a coverage ratio of 12.2x. Recently completing an IPO worth INR 4.1 billion, Arkade reported revenues of INR 6.36 billion and net income of INR 1.23 billion for FY2024, reflecting strong financial health and growth potential in this small-cap segment.

• Click to explore a detailed breakdown of our findings in Arkade Developers' health report.

• Review our historical performance report to gain insights into Arkade Developers''s past performance.

JSW Holdings (NSEI:JSWHL)

Simply Wall St Value Rating: ★★★★★☆

Overview: JSW Holdings Limited, a non-banking financial company, primarily engages in investing and financing activities in India and has a market cap of ₹104.61 billion.

Operations: JSW Holdings generates its revenue primarily from investing and financing activities, amounting to ₹1.71 billion.

JSW Holdings, a small but noteworthy player in India's financial sector, has consistently demonstrated high-quality earnings and positive free cash flow. The company reported a net income of INR 525.81 million for Q1 2024, up from INR 243.57 million the previous year. Additionally, JSW Holdings remains debt-free with no interest coverage concerns and has not carried any debt over the past five years. Despite these strengths, its earnings growth was negative at -47.5% last year compared to the industry average of 63.2%.

• Take a closer look at JSW Holdings' potential here in our health report.

• Assess JSW Holdings' past performance with our detailed historical performance reports.

Marksans Pharma (NSEI:MARKSANS)

Simply Wall St Value Rating: ★★★★★★

Overview: Marksans Pharma Limited, along with its subsidiaries, focuses on the research, manufacturing, marketing, and sale of pharmaceutical formulations across various international markets including the United States, North America, Europe, the United Kingdom, Australia, and New Zealand with a market cap of ₹142.37 billion.

Operations: Marksans Pharma generates revenue primarily from the sale of pharmaceutical formulations, amounting to ₹22.68 billion. The company operates across multiple international markets, contributing significantly to its overall financial performance.

Marksans Pharma has shown impressive financial health, with its debt-to-equity ratio improving from 19.9% to 11.7% over the past five years and earnings growing by 21.7%. The company’s interest payments are well-covered by EBIT, boasting a coverage ratio of 32.2x. Marksans also reported net income of INR 887 million for Q1 FY25, up from INR 687 million last year. Recent USFDA inspection closure adds further credibility to their operational standards.

• Unlock comprehensive insights into our analysis of Marksans Pharma stock in this health report.

• Understand Marksans Pharma's track record by examining our Past report.

Turning Ideas Into Actions

• Dive into all 475 of the Indian Undiscovered Gems With Strong Fundamentals we have identified 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.
• Unlock the power of informed investing with Simply Wall St, your free guide to navigating stock markets worldwide.

Want To Explore Some Alternatives?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
• Find companies with promising cash flow potential yet trading below their fair value.

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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