4 Largecap DII Backed Reasonable Price to Book Stocks to Watch for Future Multibagger Potential: SBI, M&M, UltraTech Cement and NTPC
- November 4, 2026
- Posted by: Manan Bisht
- Category: Best Stocks
SBI Rs 970.25. M&M Rs 2,908. UltraTech Cement Rs 11,700. NTPC Rs 321.55. Market caps from Rs 3.24 lakh crore to Rs 8.81 lakh crore. Data as of 3 Nov 2026.
Quick Answer
SBI, M&M, UltraTech Cement and NTPC are the 4 picks in this DII backed reasonable price to book stocks watchlist, with market caps between Rs 3.24 lakh crore and Rs 8.81 lakh crore. SBI stands out for the lowest PE of the group at 9.82, while M&M offers the highest return on equity at 18.37%. PE ratios run from 9.82 to 39.45, so compare each one with its industry PE before investing. All figures are as of 3 November 2026.
DII backed reasonable price to book stocks to watch for multibagger potential start with a simple filter: size, a clean financial record and earnings that keep growing. SBI, M&M, UltraTech Cement and NTPC meet that test, with market caps from Rs 3.24 lakh crore to Rs 8.81 lakh crore and SBI offering the lowest PE of the group at 9.82. Each of these companies has a domestic institutional holding of at least 20 per cent and a price to book ratio below 5, a return on equity of at least 10 per cent and profit growth in FY26 and in the latest quarter, and net profit rose in FY26 and in the latest quarter.
This list covers companies with a domestic institutional holding of at least 20 per cent and a price to book ratio below 5, a return on equity of at least 10 per cent and profit growth in FY26 and in the latest quarter, rising profit in FY26 and the latest quarter, market capitalisation above Rs 1,00,000 crore, and complete, verifiable financials, ranked by market capitalisation. Each company has a market cap above Rs 1 lakh crore. Investors screening DII backed reasonable price to book stocks usually begin with size and balance sheet strength, and this list follows the same logic. All figures are as of 3 November 2026 and are drawn from NSE and BSE data and company filings.
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What Are DII Backed Reasonable Price to Book Stocks and Why Do They Attract Multibagger Interest?
DII backed reasonable price to book stocks are shares of large companies in which domestic funds, insurers and mutual funds together own at least twenty per cent of the business and whose shares trade below five times book value. The four here cover public sector banking, cement, power generation and utility vehicles.
Domestic funds invest money from Indian savers and study companies in depth, so a large DII stake in a company priced at a sensible multiple of book value shows steady local trust in the business and its price. For DII backed reasonable price to book stocks, both FY26 and the latest quarter showed growth. Whichever way you read DII backed reasonable price to book stocks, the common thread is rising profit backed by complete financial data. A sensible way to study DII backed reasonable price to book stocks is to look at profit growth, returns and valuation side by side. Below, each of DII backed reasonable price to book stocks gets its own breakdown of growth, returns and valuation. Treat DII backed reasonable price to book stocks as a research list, since share prices and rankings change with every earnings season.
DII Backed Reasonable Price to Book Stocks at a Glance: Price, Market Cap, PE, ROE and Price to Book
Prices are closing prices as of 3 November 2026. SBI has the lowest PE of the group at 9.82, while M&M posts the highest return on equity at 18.37%.
| Stock | CMP (Rs) | Market Cap (Rs Cr) | PE | Industry PE | ROE | Price to Book | 52-Week Range (Rs) |
|---|---|---|---|---|---|---|---|
| State Bank of India | 970.25 | 8,80,981 | 9.82 | 12.05 | 14.29% | 1.50 | 877.05 to 1,234.70 |
| Mahindra & Mahindra | 2,908 | 3,53,399 | 17.45 | 23.82 | 18.37% | 3.80 | 2,744.30 to 3,839.90 |
| UltraTech Cement | 11,700 | 3,38,119 | 39.45 | 29.41 | 10.66% | 4.41 | 10,325.00 to 13,110.00 |
| NTPC | 321.55 | 3,23,542 | 11.42 | 21.61 | 13.31% | 1.59 | 298.00 to 414.40 |
SBI: 23.72% Profit CAGR Since FY22
State Bank of India is the country’s largest lender, with a branch network that reaches every part of India. It reported FY26 total income of Rs 7,12,643.53 crore, up 7.43% year on year, and net profit of Rs 85,168.47 crore, up 7.78%. Net profit has compounded at 23.72% a year since FY22, while total income has grown 15.03% a year.
In the June 2026 quarter, total income rose 7.83% to Rs 1,80,061.86 crore and net profit grew 13.65% to Rs 24,579.04 crore. The share price has gained 92.86% over five years. Foreign investors raised their holding from 9.98% in July 2025 to 10.81% in June 2026. The stock trades at a PE of 9.82 against an industry PE of 12.05, below the sector average, with a return on equity of 14.29%. The dividend yield is 1.82%.
M&M: 26.58% Profit CAGR Since FY22
Mahindra & Mahindra is one of the largest SUV makers in India and the country’s largest tractor maker, with financial services and electric vehicles in its portfolio. It reported FY26 revenue of Rs 2,02,084.34 crore, up 25.21% year on year, and net profit of Rs 18,621.71 crore, up 32.32%. Net profit has compounded at 26.58% a year since FY22, while revenue has grown 22.04% a year. Operating margin was 21.19% in FY26.
The stock trades at a PE of 17.45 against an industry PE of 23.82, below the sector average, with a return on equity of 18.37%. In the June 2026 quarter, revenue rose 27.47% to Rs 59,203.60 crore and net profit grew 37.04% to Rs 5,997.56 crore. The share price has gained 220.52% over five years. Domestic institutions raised their holding from 29.59% in June 2025 to 32.65% in June 2026.
UltraTech Cement: Profit Compounding at 3.36% a Year
UltraTech Cement is the largest cement producer in India by capacity, with plants and grinding units across the country. It reported FY26 revenue of Rs 89,089.04 crore, up 16.15% year on year, and net profit of Rs 8,188.35 crore, up 35.58%. Revenue has compounded at 13.81% a year since FY22. Operating margin was 19.71% in FY26. The debt-to-equity ratio is 0.31.
In the June 2026 quarter, revenue rose 15.49% to Rs 24,778.47 crore and net profit grew 17.24% to Rs 2,603.72 crore. Domestic institutions raised their holding from 16.65% in September 2025 to 20.86% in September 2026. The stock trades at a PE of 39.45 against an industry PE of 29.41. The dividend yield is 2.09%.
NTPC: Five-Year Gain of 110.40%
NTPC is India’s largest power generation company and is growing its renewable energy portfolio. It reported FY26 revenue of Rs 1,89,798.56 crore and net profit of Rs 30,009.98 crore, up 48.19%. Net profit has compounded at 18.01% a year since FY22, while revenue has grown 8.89% a year. Operating margin was 32.45% in FY26.
The stock trades at a PE of 11.42 against an industry PE of 21.61, below the sector average, with a return on equity of 13.31%. The dividend yield is 2.70%. In the June 2026 quarter, revenue rose 6.94% to Rs 51,141.51 crore and net profit grew 12.90% to Rs 6,896.44 crore. The share price has gained 110.40% over five years. Domestic institutions raised their holding from 28.92% in June 2025 to 29.44% in June 2026.
DII Backed Reasonable Price to Book Stocks: Financial Comparison on Growth and Margins
The table compares scale and growth across these DII backed reasonable price to book stocks. Latest quarter means the most recent reported quarter for each company, and only metrics that are positive for every company are shown.
| Stock | Total Income (Rs Cr) | Net Profit (Rs Cr) | 4-Year Income CAGR | 4-Year Net Profit CAGR | Latest Quarter Income Growth |
|---|---|---|---|---|---|
| SBI | 7,12,643.53 | 85,168.47 | 15.03% | 23.72% | 7.83% |
| M&M | 2,02,084.34 | 18,621.71 | 22.04% | 26.58% | 27.47% |
| UltraTech Cement | 89,089.04 | 8,188.35 | 13.81% | 3.36% | 15.49% |
| NTPC | 1,89,798.56 | 30,009.98 | 8.89% | 18.01% | 6.94% |
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Institutional Holding in SBI, M&M, UltraTech Cement and NTPC
Institutional holding shows who is backing these DII backed reasonable price to book stocks alongside the promoter. The table uses the latest reported quarter for each. M&M has the deepest institutional backing, with FII and DII together holding 67.54% as of June 2026. Domestic institutions increased their holding over the past year in M&M (from 29.59% to 32.65%), UltraTech Cement (from 16.65% to 20.86%) and NTPC (from 28.92% to 29.44%).
| Stock | Promoter | FII | DII | Public | Quarter |
|---|---|---|---|---|---|
| SBI | 55.47% | 10.81% | 26.64% | 7.08% | June 2026 |
| M&M | 18.45% | 34.89% | 32.65% | 14.01% | June 2026 |
| UltraTech Cement | 58.48% | 12.69% | 20.86% | 7.97% | September 2026 |
| NTPC | 51.10% | 16.30% | 29.44% | 3.15% | June 2026 |
Risks to Weigh in DII Backed Reasonable Price to Book Stocks
Being careful with DII backed reasonable price to book stocks means looking at what can slow the story as well as what can speed it up. Four points matter most:
- Past growth may not repeat.
- Share prices can move sharply in either direction.
- Valuation: UltraTech Cement trades at a PE of 39.45 against an industry PE of 29.41, so earnings need to keep growing to support the price.
- Concentration: Holding all 4 names puts the allocation in one sector, so size each position to match your risk appetite.
How to Choose Between DII Backed Reasonable Price to Book Stocks
Picking from DII backed reasonable price to book stocks comes down to four checks, applied in order.
- Check asset quality and net interest margin first, then return on equity and price to book. Debt-to-equity does not apply to lenders.
- Compare each PE with the industry PE (12.05 to 29.41) and ask whether the growth rate justifies any gap.
- Track net profit growth, the operating margin and the return on equity in every quarterly result.
- Stagger entries across quarters and review institutional holding every reporting season.
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Conclusion
Among DII backed reasonable price to book stocks, SBI stands out for the lowest PE of the group at 9.82, M&M for the highest return on equity at 18.37%, UltraTech Cement for 16.15% revenue growth in FY26 and NTPC for 6.94% revenue growth in the June 2026 quarter. 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 DII backed reasonable price to book 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 DII Backed Reasonable Price to Book Stocks to Watch
Which are the best DII backed reasonable price to book stocks to watch for multibagger potential?
Ans. SBI, M&M, UltraTech Cement and NTPC are the 4 names this list highlights, with market caps of Rs 8,80,981 crore, Rs 3,53,399 crore, Rs 3,38,119 crore and Rs 3,23,542 crore respectively. SBI is notable for the lowest PE of the group at 9.82. M&M stands out for the highest return on equity at 18.37%. UltraTech Cement offers 16.15% revenue growth in FY26. NTPC brings 6.94% revenue growth in the June 2026 quarter. These are watchlist names for DII backed reasonable price to book stocks, not recommendations, so match each one to your own risk profile and time horizon.
Is M&M a good stock for long-term investors?
Ans. M&M has a return on equity of 18.37%, a PE of 17.45 against an industry PE of 23.82 and a market cap of Rs 3,53,399 crore. Net profit has compounded at 26.58% a year since FY22, and FY26 revenue rose 25.21% while June 2026 quarter net profit grew 37.04%. Long-term returns in DII backed reasonable price to book stocks depend on earnings growth and the price paid at entry, so staggering purchases and consulting a SEBI-registered advisor is sensible.
Can SBI become a multibagger from here?
Ans. SBI has already gained 92.86% in five years, so another multi-fold move would need sustained earnings growth. A multibagger outcome in DII backed reasonable price to book stocks requires earnings to keep growing faster than the market for several years. Net profit has compounded at 23.72% a year since FY22, and FY26 revenue rose 7.43%. At a PE of 9.82 against an industry PE of 12.05, valuation should be checked against that growth before investing.
What is the market cap of SBI, M&M, UltraTech Cement and NTPC?
Ans. As of 3 November 2026, SBI has a market cap of Rs 8,80,981 crore, M&M has a market cap of Rs 3,53,399 crore, UltraTech Cement has a market cap of Rs 3,38,119 crore and NTPC has a market cap of Rs 3,23,542 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 DII backed reasonable price to book stocks.
What are the risks of investing in DII backed reasonable price to book stocks?
Ans. The main risks are market swings, slower growth than expected and valuations that already reflect good news. Companies with strong balance sheets and steady earnings handle these better. UltraTech Cement trades at a PE of 39.45 against an industry PE of 29.41, so earnings growth needs to hold up.
Why is UltraTech Cement trading at a PE of 39.45?
Ans. UltraTech Cement’s PE of 39.45 compares with an industry PE of 29.41. The market is paying a premium for latest-quarter profit growth of 17.24% and FY26 revenue growth of 16.15%, which also means the stock is more sensitive if growth slows. Investors in DII backed reasonable price to book stocks who are comfortable with higher valuation risk may prefer to stagger purchases instead of investing in one go.
How much do institutions hold in SBI, M&M, UltraTech Cement and NTPC?
Ans. As of the latest reported quarter, FII and DII together hold 37.45% of SBI (10.81% and 26.64%), 67.54% of M&M (34.89% and 32.65%), 33.55% of UltraTech Cement (12.69% and 20.86%) and 45.74% of NTPC (16.30% and 29.44%). Rising institutional holding is a useful signal in DII backed reasonable price to book stocks, though it should be read with earnings trends rather than on its own.
