3 Largecap Single-digit PE Stocks to Watch for Future Multibagger Potential: LIC, PNB and BPCL
- October 19, 2026
- Posted by: Manan Bisht
- Category: Best Stocks
LIC Rs 397.75. PNB Rs 116.30. BPCL Rs 293.50. Market caps from Rs 1.27 lakh crore to Rs 4.98 lakh crore. Data as of 16 Oct 2026.
Quick Answer
LIC, PNB and BPCL are the 3 picks in this single-digit PE stocks watchlist, with market caps between Rs 1.27 lakh crore and Rs 4.98 lakh crore. LIC stands out for the highest return on equity at 32.53%, while PNB offers the biggest five-year price gain at 169.84%. PE ratios run from 5.98 to 8.30, so compare each one with its industry PE before investing. All figures are as of 16 October 2026.
Single-digit PE stocks to watch for multibagger potential start with a simple filter: size, a clean financial record and earnings that keep growing. LIC, PNB and BPCL meet that test, with market caps from Rs 1.27 lakh crore to Rs 4.98 lakh crore and LIC offering the highest return on equity at 32.53%. Each of these large companies trades at a PE ratio below 10, which means the market pays less than Rs 10 for every Rs 1 of annual profit.
This list covers large companies with a PE ratio below 10, a growing profit record and complete, verifiable financials, ranked by market capitalisation. Each company has a market cap above Rs 1 lakh crore. Investors screening single-digit PE stocks usually begin with size and balance sheet strength, and this list follows the same logic. All figures are as of 16 October 2026 and are drawn from NSE and BSE data and company filings.
Click Here – Get Free Investment Predictions
What Are Single-digit PE Stocks and Why Do They Attract Multibagger Interest?
Single-digit PE stocks are shares that trade at less than ten times their annual earnings. A low multiple means investors pay little for each rupee of profit, which can leave room for a re-rating if earnings keep growing.
For large and well-known companies, a single-digit PE is uncommon. Businesses that combine such a low multiple with solid returns on equity are the ones investors compare in single-digit PE stocks.
Single-digit PE Stocks at a Glance: Price, Market Cap, PE, ROE and Price to Book
Prices are closing prices as of 16 October 2026. PNB has the lowest PE of the group at 5.98, while LIC posts the highest return on equity at 32.53%.
| Stock | CMP (Rs) | Market Cap (Rs Cr) | PE | Industry PE | ROE | Price to Book | 52-Week Range (Rs) |
|---|---|---|---|---|---|---|---|
| Life Insurance Corporation of India | 397.75 | 4,98,410 | 8.30 | 10.47 | 32.53% | 2.81 | 360.75 to 468.48 |
| Punjab National Bank | 116.30 | 1,32,399 | 5.98 | 12.02 | 15.13% | 0.91 | 98.50 to 135.15 |
| Bharat Petroleum Corporation | 293.50 | 1,27,357 | 7.43 | 15.10 | 25.80% | 1.27 | 266.60 to 391.65 |
LIC: 93.19% Profit CAGR Since FY22
LIC is India’s largest life insurer and one of the biggest institutional investors in the stock market, with a vast agent network across the country. It reported FY26 revenue of Rs 9,90,211.25 crore, up 10.23% year on year, and net profit of Rs 57,453.15 crore, up 18.90%. Net profit has compounded at 93.19% a year since FY22, while revenue has grown 7.96% a year. Operating margin was 5.51% in FY26. The debt-to-equity ratio is 0.00, which keeps interest costs low.
In the June 2026 quarter, revenue rose 6.97% to Rs 2,41,166.45 crore and net profit grew 23.98% to Rs 13,584.25 crore. Domestic institutions raised their holding from 1.36% in September 2025 to 6.17% in September 2026. The stock trades at a PE of 8.30 against an industry PE of 10.47, below the sector average, with a return on equity of 32.53%.
PNB: 47.44% Profit CAGR Since FY22
Punjab National Bank is a large public sector bank with a strong presence in northern India and a wide customer base across the country. It reported FY26 total income of Rs 1,49,463.30 crore, up 6.41% year on year, and net profit of Rs 18,466.70 crore. Net profit has compounded at 47.44% a year since FY22, while total income has grown 14.05% a year.
The stock trades at a PE of 5.98 against an industry PE of 12.02, below the sector average, with a return on equity of 15.13%. The dividend yield is 2.60%. Net profit for the June 2026 quarter grew 191.40% to Rs 5,339.15 crore. The share price has gained 169.84% over five years. Domestic institutions raised their holding from 15.54% in September 2025 to 16.13% in September 2026.
BPCL: 21.96% Profit CAGR Since FY22
Bharat Petroleum Corporation refines crude oil and markets petrol, diesel and LPG through a large retail network. It reported FY26 revenue of Rs 4,58,526.79 crore, up 3.52% year on year, and net profit of Rs 25,843.45 crore, up 93.78%. Net profit has compounded at 21.96% a year since FY22, while revenue has grown 7.06% a year. Operating margin was 8.72% in FY26.
Revenue for the June 2026 quarter rose 23.33% to Rs 1,60,776.35 crore. Promoters hold 52.98%, which keeps ownership stable. The stock trades at a PE of 7.43 against an industry PE of 15.10, below the sector average, with a return on equity of 25.80%. The dividend yield is 5.87%.
Single-digit PE Stocks: Financial Comparison on Growth and Margins
The table compares scale and growth across these single-digit PE stocks. Latest quarter means the most recent reported quarter for each company, and only metrics that are positive for every company are shown.
| Stock | Revenue (Rs Cr) | Net Profit (Rs Cr) | Revenue Growth (YoY) | 4-Year Revenue CAGR | 4-Year Net Profit CAGR |
|---|---|---|---|---|---|
| LIC | 9,90,211.25 | 57,453.15 | 10.23% | 7.96% | 93.19% |
| PNB | 1,49,463.30 | 18,466.70 | 6.41% | 14.05% | 47.44% |
| BPCL | 4,58,526.79 | 25,843.45 | 3.52% | 7.06% | 21.96% |
Check the Univest Screener for live data on these single-digit PE stocks
Institutional Holding in LIC, PNB and BPCL
Institutional holding shows who is backing these single-digit PE stocks alongside the promoter. The table uses the latest reported quarter for each. BPCL has the deepest institutional backing, with FII and DII together holding 38.24% as of September 2026. Domestic institutions increased their holding over the past year in LIC (from 1.36% to 6.17%) and PNB (from 15.54% to 16.13%).
| Stock | Promoter | FII | DII | Public | Quarter |
|---|---|---|---|---|---|
| LIC | 90.00% | 1.55% | 6.17% | 2.28% | September 2026 |
| PNB | 70.08% | 6.66% | 16.13% | 7.13% | September 2026 |
| BPCL | 52.98% | 16.66% | 21.58% | 8.79% | September 2026 |
Risks to Weigh in Single-digit PE Stocks
Being careful with single-digit PE stocks means looking at what can slow the story as well as what can speed it up. Four points matter most:
- A low PE can reflect cyclical or policy-linked earnings.
- Check that profit growth is sustainable.
- Valuation: A low PE can also reflect slower growth, so compare each PE with the growth rate instead of reading it alone.
- Concentration: Holding all 3 names puts the allocation in one sector, so size each position to match your risk appetite.
How to Choose Between Single-digit PE Stocks
Picking from single-digit PE stocks comes down to four checks, applied in order.
- Check balance sheet strength first, and prefer a debt-to-equity ratio below 1 for non-financial companies.
- Compare each PE with the industry PE (10.47 to 15.10) and ask whether the growth rate justifies any gap.
- Track the PE ratio, the return on equity and profit growth in every result.
- Stagger entries across quarters and review institutional holding every reporting season.
Download the Univest iOS App or Univest Android App to track LIC, PNB and BPCL live prices.
Conclusion
Among single-digit PE stocks, LIC stands out for the highest return on equity at 32.53%, PNB for the biggest five-year price gain at 169.84% and BPCL for 3.52% revenue growth in FY26. Which one suits a portfolio depends on how much valuation risk it can carry, so staggering entries and reviewing each quarterly result is a sound habit. Investors comparing single-digit PE stocks should rank them on growth, financial strength and the price paid, and anyone who wants personalised guidance can consult a SEBI-registered advisor before acting.
Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
Frequently Asked Questions on Single-digit PE Stocks to Watch
Which are the best single-digit PE stocks to watch for multibagger potential?
Ans. LIC, PNB and BPCL are the 3 names this list highlights, with market caps of Rs 4,98,410 crore, Rs 1,32,399 crore and Rs 1,27,357 crore respectively. LIC is notable for the highest return on equity at 32.53%. PNB stands out for the biggest five-year price gain at 169.84%. BPCL offers 3.52% revenue growth in FY26. These are watchlist names for single-digit PE stocks, not recommendations, so match each one to your own risk profile and time horizon.
Is LIC a good stock for long-term investors?
Ans. LIC has a return on equity of 32.53%, a PE of 8.30 against an industry PE of 10.47 and a market cap of Rs 4,98,410 crore. Net profit has compounded at 93.19% a year since FY22, and FY26 revenue rose 10.23% while June 2026 quarter net profit grew 23.98%. Long-term returns in single-digit PE stocks depend on earnings growth and the price paid at entry, so staggering purchases and consulting a SEBI-registered advisor is sensible.
Can PNB become a multibagger from here?
Ans. PNB has already gained 169.84% in five years, so another multi-fold move would need sustained earnings growth. A multibagger outcome in single-digit PE stocks requires earnings to keep growing faster than the market for several years. Net profit has compounded at 47.44% a year since FY22, and FY26 revenue rose 6.41%. At a PE of 5.98 against an industry PE of 12.02, valuation should be checked against that growth before investing.
What is the market cap of LIC, PNB and BPCL?
Ans. As of 16 October 2026, LIC has a market cap of Rs 4,98,410 crore, PNB has a market cap of Rs 1,32,399 crore and BPCL has a market cap of Rs 1,27,357 crore. All of them qualify as largecaps. Market cap changes daily with the share price, so check the latest figure on the Univest Screener or on NSE before taking a decision on single-digit PE stocks.
What are the risks of investing in single-digit PE stocks?
Ans. The main risks are cyclical earnings, policy decisions and a low valuation that stays low for long. Companies with steady cash flows and regular dividends handle these better. Comparing each PE with growth gives a fuller picture than the PE alone.
Is PNB trading below its industry PE?
Ans. PNB trades at a PE of 5.98 against an industry PE of 12.02. A lower PE means investors pay less for each rupee of earnings, but it should be read with growth (net profit has compounded at 47.44% a year since FY22 and FY26 revenue rose 6.41%) and balance sheet strength before drawing a conclusion.
How much do institutions hold in LIC, PNB and BPCL?
Ans. As of the latest reported quarter, FII and DII together hold 7.72% of LIC (1.55% and 6.17%), 22.79% of PNB (6.66% and 16.13%) and 38.24% of BPCL (16.66% and 21.58%). Rising institutional holding is a useful signal in single-digit PE stocks, though it should be read with earnings trends rather than on its own.
