Archive · 3 Dec 2025
Three Undervalued Metal Stocks with Turnaround Potential
The article discusses three metal companies in India that are currently undervalued but have strong potential for growth.
Maithan Alloys is a ferro-alloys maker with improved financials and low valuations.
Jindal SAW is involved in industrial metals and infrastructure, with improving fundamentals but overlooked by the market.
National Aluminium Company (NALCO) is an integrated aluminium player with high demand potential but is undervalued compared to its peers.
All three companies have strong balance sheets and are well-positioned for long-term growth in India's industrial and infrastructure sectors.
However, the metal sector is volatile, and investors should be aware of potential risks such as fluctuations in demand and rising costs.
Maithan Alloys reported a consolidated net profit of ₹758 crores in FY25, with a 182% YoY jump, but faced a net loss of ₹119 crores in Q2FY26 due to rising power costs and weak demand.
Jindal SAW posted a revenue of ₹4,234 crores in Q2FY26, a 24% YoY drop, and a net profit of ₹139 crores, 70% lower than the same quarter in FY25.
National Aluminium Company (NALCO) reported a revenue of ₹4,292 crores in Q2FY26, a 7.27% YoY rise, and a net profit of ₹1,430 crores, a 37% YoY jump.
All three companies are trading at EV/EBITDA and P/E multiples well below industry averages, indicating potential for a re-rating if demand recovers.
The companies are well-positioned for long-term growth due to India's infrastructure expansion, industrial growth, and energy sector investments.
- Who
- Investors and market analysts
- What
- Three undervalued metal stocks with turnaround potential
- When
- Current financial year and future outlook
- Where
- India
- Why
- Strong fundamentals, low valuations, and strategic significance in infrastructure and industrial growth
- Maithan Alloys
- Ferro-alloys maker with strong fundamentals and low valuations
- Jindal SAW
- Industrial metals and infrastructure proxy with improving fundamentals
- National Aluminium Company
- Integrated aluminium player with high demand potential
- Maithan Alloys Revenue (Q2FY26)
- ₹491 crores
- Maithan Alloys Net Profit (FY25)
- ₹758 crores
- Jindal SAW Revenue (Q2FY26)
- ₹4,234 crores
- Jindal SAW Net Profit (Q2FY26)
- ₹139 crores
- NALCO Revenue (Q2FY26)
- ₹4,292 crores
- NALCO Net Profit (Q2FY26)
- ₹1,430 crores
- Maithan Alloys EV/EBITDA
- 4.51x
- Maithan Alloys P/E
- 6.20x
- Jindal SAW P/E
- 7.63x
- Jindal SAW EV/EBITDA
- 5.3x
- NALCO P/E
- 7.97x
- NALCO EV/EBITDA
- 4.60x