Investors should keep an eye on fundamentally strong stocks trading below their three-year average PE. This often means quality companies are temporarily undervalued, offering a chance for attractive returns as prices recover. For investors and the industry, it promotes smarter capital allocation and highlights hidden value opportunities.

1. Bharti Airtel

Global telecom giant providing mobile, broadband, digital TV, and enterprise solutions across Asia and Africa for millions of customers. Committed to innovation and connectivity through 5G, cloud services, and digital platforms.

Bharti Airtel Limited’s stock, with a market capitalisation of Rs. 10,99,365 crores, fell to Rs. 1,925, hitting a low of up to 0.57 percent from its previous closing price of Rs. 1,936.10. The current P/E ratio of 40.15 is significantly lower than its 3-year average P/E of 60.3, indicating the stock is trading at a valuation discount compared to its recent historical average.

In Q4FY25, the company reported revenue of Rs. 47,876 crore, growing 27.3% year-on-year (YoY) from Rs. 37,599 crore in Q4FY24 and rising 6.1% quarter-on-quarter (QoQ) from Rs. 45,129 crore in Q3FY25. Profit for Q4FY25 stood at Rs. 12,476 crore, marking a significant YoY growth of 503.3% compared to Rs. 2,068 crore in Q4FY24, but registering a 22.7% QoQ decline from Rs. 16,135 crore in Q3FY25.

2. Infosys

Indian multinational leader in digital services and consulting, enabling digital transformation for global enterprises across 59 countries since 1981. Focused on next-gen technologies, AI, and sustainability-driven business solutions.

Infosys Limited’s stock, with a market capitalisation of Rs. 6,30,826 crores, fell to Rs. 1,511.30, hitting a low of up to 2.65 percent from its previous closing price of Rs. 1,552.50. Infosys has a current P/E ratio of 24.63, which is lower than its 3-year average P/E of 26.1, suggesting the valuation is getting close to its historical norms.

In Q4FY25, revenue was Rs. 40,925 crore, showing a 7.9% year-on-year (YoY) increase from Rs. 37,923 crore in Q4FY24 and a 2.0% quarter-on-quarter (QoQ) decline from Rs. 41,764 crore in Q3FY25. Profit for Q4FY25 stood at Rs. 7,038 crore, reflecting an 11.8% YoY decrease from Rs. 7,975 crore in Q4FY24 but a 3.2% QoQ increase compared to Rs. 6,822 crore in Q3FY25.

3. Adani Enterprises

Flagship of Adani Group, incubates and operates diverse businesses in infrastructure, energy, logistics, airports, and other key growth sectors. Driving India’s growth story through innovation, scalability, and sustainable development.

Adani Enterprises Limited’s stock, with a market capitalisation of Rs. 2,94,258 crores, fell to Rs. 2,544.10, hitting a low of up to 2.4 percent from its previous closing price of Rs. 2,608.40. With a P/E of 70.60 versus a 3-year average of 100, Adani Enterprises is valued below its recent historical average P/E, reflecting a relative decrease in market valuation.

In Q4FY25, revenue was Rs. 26,966 crore, reflecting a 7.6% year-on-year (YoY) decline from Rs. 29,180 crore in Q4FY24 but marking an 18% quarter-on-quarter (QoQ) increase from Rs. 22,848 crore in Q3FY25. Profit surged to Rs. 4,015 crore in Q4FY25, representing a remarkable 1,040.6% YoY rise compared to Rs. 352 crore in Q4FY24 and a robust 1,653.3% QoQ growth over Rs. 229 crore in Q3FY25. 

Written By Fazal Ul Vahab C H

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