Synopsis: Several PSU stocks are currently trading at notable discounts from their 52-week highs. Here are five government-backed companies that have a YoY profit growth of upto 149 percent and trading at a discount of upto 37 percent
Public Sector Undertakings (PSUs) are government-owned entities where the state maintains majority control to ensure that national strategic interests like energy security and defense remain a priority over private profit. These companies often operate in critical sectors and are generally perceived as lower-risk investments due to their strong sovereign backing and essential role in the economy.
The ongoing war between Israel and Iran has severely impacted global markets, with the SENSEX falling to approximately 77,566 points, a decline of about 6 percent since the conflict began. Consequently, here are five PSU stocks currently trading at a discount, offering a safer investment alternative compared to more volatile private-sector equities.
Bharat Dynamics Ltd
Bharat Dynamics is a premier defense public sector undertaking in India, primarily engaged in the manufacturing of guided missiles and allied defense equipment. It serves as the manufacturing base for the Indian Armed Forces, producing advanced weapon systems like the Akash SAM, Astra, and various anti-tank guided missiles (ATGMs).
In the latest quarter, Bharat Dynamics saw a YoY revenue fall of 32 percent, going from Rs 832 Cr in Q3FY25 to Rs 567 Cr in Q3FY26, while the YoY Net Profits fell by 50 percent, going from Rs 147 Cr in Q3FY25 to Rs 73 Cr in Q3FY26. The stock is trading at Rs 1,336, which is 36 percent below the 52-week high of Rs 2,096.
ITI Ltd
ITI Limited is a pioneer in India’s telecommunications manufacturing sector. It provides a diverse range of products including switching, transmission, and access equipment. The company is heavily involved in strategic defense communication projects like ASCON Phase IV and is expanding into emerging technologies such as smart energy meters and microelectronics.
In the latest quarter, ITI Ltd saw a YoY revenue fall of 50 percent, going from Rs 1,035 Cr in Q3FY25 to Rs 515 Cr in Q3FY26, while the company made a Net loss of Rs 49 Cr in Q3FY25 and this number has reduced to Rs 25 Cr in Q3FY26. The stock is trading at Rs 250, which is 33 percent below the 52-week high of Rs 373.
Hindustan Copper Ltd
Hindustan Copper is India’s only vertically integrated copper producer, handling everything from mining and beneficiation to smelting and refining. It holds all the operating mining leases for copper ore in India. The company primarily produces copper cathode and continuous cast copper wire rods used in the electrical and electronic industries.
In the latest quarter, Hindustan Copper saw a YoY revenue growth of 110 percent, going from Rs 328 Cr in Q3FY25 to Rs 687 Cr in Q3FY26, while the YoY Net Profits grew by 149 percent, going from Rs 63 Cr in Q3FY25 to Rs 156 Cr in Q3FY26. The stock is trading at Rs 541, which is 29 percent below the 52-week high of Rs 759.
Indian Railway Catering & Tourism Corporation Ltd
IRCTC or Indian Railway Catering & Tourism Corporation Ltd, is the exclusive provider of online railway ticketing, catering, and packaged drinking water (Rail Neer) for Indian Railways. As a monopoly in these segments, it also operates luxury trains and provides comprehensive tourism services, including domestic and international tour packages, hotel bookings, and air ticketing through its digital platforms.
In the latest quarter, IRCTC saw a YoY revenue growth of 18 percent, going from Rs 1,225 Cr in Q3FY25 to Rs 1,449 Cr in Q3FY26, while the YoY Net Profits grew by 16 percent, going from Rs 341 Cr in Q3FY25 to Rs 394 Cr in Q3FY26. The stock is trading at Rs 540, which is 34 percent below the 52-week high of Rs 820.
Indian Railway Finance Corporation Ltd
IRFC acts as the dedicated market borrowing arm of the Indian Railways. Its primary business involves leasing rolling stock assets (locomotives, coaches, wagons) to the Ministry of Railways and financing other infrastructure projects. It operates on a cost-plus margin model, ensuring consistent profitability with a “Zero NPA” status.
In the latest quarter, IRFC saw a YoY revenue fall of 2 percent, going from Rs 6,763 Cr in Q3FY25 to Rs 6,661 Cr in Q3FY26, while the YoY Net Profits grew by 11 percent, going from Rs 1,631 Cr in Q3FY25 to Rs 1,802 Cr in Q3FY26. The stock is trading at Rs 97, which is 35 percent below the 52-week high of Rs 149.
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
The post IRCTC and 4 Other PSU Stocks Trading at Discounts of Up to 37% to Keep an Eye On appeared first on Trade Brains.