4 Largecap Growth at Reasonable Price Stocks to Watch for Future Multibagger Potential: LIC, M&M, Hindustan Zinc and Cholamandalam
- October 21, 2026
- Posted by: Manan Bisht
- Category: Best Stocks
LIC Rs 393.35. M&M Rs 2,907. Hindustan Zinc Rs 538.40. Cholamandalam Rs 1,553. Market caps from Rs 1.35 lakh crore to Rs 4.98 lakh crore. Data as of 20 Oct 2026.
Quick Answer
LIC, M&M, Hindustan Zinc and Cholamandalam are the 4 picks in this growth at reasonable price stocks watchlist, with market caps between Rs 1.35 lakh crore and Rs 4.98 lakh crore. LIC stands out for the fastest profit growth, 93.19% a year since FY22, while M&M offers the biggest five-year price gain at 220.52%. PE ratios run from 8.30 to 23.54, so compare each one with its industry PE before investing. All figures are as of 20 October 2026.
Growth at reasonable price stocks to watch for multibagger potential start with a simple filter: size, a clean financial record and earnings that keep growing. LIC, M&M, Hindustan Zinc and Cholamandalam meet that test, with market caps from Rs 1.35 lakh crore to Rs 4.98 lakh crore and LIC offering the fastest profit growth, 93.19% a year since FY22. Each of these companies has a PE ratio below 25, a return on equity of at least 15 per cent and FY26 profit growth of at least 15 per cent, and net profit rose in FY26 and in the latest quarter.
This list covers companies with a PE ratio below 25, a return on equity of at least 15 per cent and FY26 profit growth of at least 15 per cent, 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 growth at reasonable price stocks usually begin with size and balance sheet strength, and this list follows the same logic. All figures are as of 20 October 2026 and are drawn from NSE and BSE data and company filings.
Click Here – Get Free Investment Predictions
What Are Growth at Reasonable Price Stocks and Why Do They Attract Multibagger Interest?
Growth at reasonable price stocks are shares that blend growth with sensible pricing, a style known as GARP. The four here cover insurance, vehicles, zinc and vehicle finance.
This style avoids paying too much for growth. For growth at reasonable price stocks, profit growth, returns and valuation all line up. For growth at reasonable price stocks, checking each result against the latest quarter matters more than any single ratio. The next sections explain what stands out in each of growth at reasonable price stocks, using FY26 and latest quarter data. Prices move daily, so recheck the figures for growth at reasonable price stocks before you decide.
Growth at Reasonable Price Stocks at a Glance: Price, Market Cap, PE, ROE and Price to Book
Prices are closing prices as of 20 October 2026. LIC has the lowest PE of the group at 8.30, while Hindustan Zinc posts the highest return on equity at 61.13%.
| Stock | CMP (Rs) | Market Cap (Rs Cr) | PE | Industry PE | ROE | Price to Book | 52-Week Range (Rs) |
|---|---|---|---|---|---|---|---|
| Life Insurance Corporation of India | 393.35 | 4,98,410 | 8.30 | 10.47 | 32.53% | 2.81 | 360.75 to 468.48 |
| Mahindra & Mahindra | 2,907 | 3,48,064 | 17.19 | 23.82 | 18.37% | 3.74 | 2,744.30 to 3,839.90 |
| Hindustan Zinc | 538.40 | 2,23,984 | 13.12 | 12.27 | 61.13% | 9.90 | 412.25 to 609.05 |
| Cholamandalam Investment and Finance | 1,553 | 1,35,393 | 23.54 | 17.68 | 17.18% | 4.42 | 1,299.40 to 1,952.50 |
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%.
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 17.19 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.
Hindustan Zinc: Return on Equity of 61.13%
Hindustan Zinc is among the world’s largest integrated zinc producers and also produces lead and silver. It reported FY26 revenue of Rs 41,934 crore, up 19.59% year on year, and net profit of Rs 13,832 crore, up 33.60%. Net profit has compounded at 9.48% a year since FY22, while revenue has grown 8.15% a year. Operating margin was 56.75% in FY26. The debt-to-equity ratio is 0.39.
In the June 2026 quarter, revenue rose 74.70% to Rs 14,063 crore and net profit grew 144.81% to Rs 5,469 crore. Foreign investors raised their holding from 1.31% in September 2025 to 2.36% in September 2026. The stock trades at a PE of 13.12 against an industry PE of 12.27, with a return on equity of 61.13%. The dividend yield is 1.89%.
Cholamandalam: 24.75% Profit CAGR Since FY22
Cholamandalam Investment and Finance, part of the Murugappa Group, offers vehicle finance, home loans and loans against property. It reported FY26 total income of Rs 31,538.73 crore, up 20.60% year on year, and net profit of Rs 5,228.88 crore, up 22.74%. Net profit has compounded at 24.75% a year since FY22, while total income has grown 32.50% a year.
The stock trades at a PE of 23.54 against an industry PE of 17.68, with a return on equity of 17.18%. In the June 2026 quarter, total income rose 21.81% to Rs 8,956.68 crore and net profit grew 45.56% to Rs 1,656.22 crore. The share price has gained 165.09% over five years. Domestic institutions raised their holding from 16.06% in June 2025 to 20.62% in June 2026.
Growth at Reasonable Price Stocks: Financial Comparison on Growth and Margins
The table compares scale and growth across these growth at reasonable price 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% |
| M&M | 2,02,084.34 | 18,621.71 | 25.21% | 22.04% | 26.58% |
| Hindustan Zinc | 41,934 | 13,832 | 19.59% | 8.15% | 9.48% |
| Cholamandalam | 31,538.73 | 5,228.88 | 20.60% | 32.50% | 24.75% |
Check the Univest Screener for live data on these growth at reasonable price stocks
Institutional Holding in LIC, M&M, Hindustan Zinc and Cholamandalam
Institutional holding shows who is backing these growth at reasonable price 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 LIC (from 1.36% to 6.17%), M&M (from 29.59% to 32.65%) and Cholamandalam (from 16.06% to 20.62%).
| Stock | Promoter | FII | DII | Public | Quarter |
|---|---|---|---|---|---|
| LIC | 90.00% | 1.55% | 6.17% | 2.28% | September 2026 |
| M&M | 18.45% | 34.89% | 32.65% | 14.01% | June 2026 |
| Hindustan Zinc | 60.71% | 2.36% | 4.85% | 32.07% | September 2026 |
| Cholamandalam | 49.22% | 24.45% | 20.62% | 5.70% | June 2026 |
Risks to Weigh in Growth at Reasonable Price Stocks
Being careful with growth at reasonable price 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: Cholamandalam trades at a PE of 23.54 against an industry PE of 17.68, 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 Growth at Reasonable Price Stocks
Picking from growth at reasonable price 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 23.82) 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.
Download the Univest iOS App or Univest Android App to track LIC, M&M, Hindustan Zinc and Cholamandalam live prices.
Conclusion
Among growth at reasonable price stocks, LIC stands out for the fastest profit growth, 93.19% a year since FY22, M&M for the biggest five-year price gain at 220.52%, Hindustan Zinc for the highest return on equity at 61.13% and Cholamandalam for 20.60% 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 growth at reasonable price 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 Growth at Reasonable Price Stocks to Watch
Which are the best growth at reasonable price stocks to watch for multibagger potential?
Ans. LIC, M&M, Hindustan Zinc and Cholamandalam are the 4 names this list highlights, with market caps of Rs 4,98,410 crore, Rs 3,48,064 crore, Rs 2,23,984 crore and Rs 1,35,393 crore respectively. LIC is notable for the fastest profit growth, 93.19% a year since FY22. M&M stands out for the biggest five-year price gain at 220.52%. Hindustan Zinc offers the highest return on equity at 61.13%. Cholamandalam brings 20.60% revenue growth in FY26. These are watchlist names for growth at reasonable price stocks, not recommendations, so match each one to your own risk profile and time horizon.
Is Hindustan Zinc a good stock for long-term investors?
Ans. Hindustan Zinc has a return on equity of 61.13%, a PE of 13.12 against an industry PE of 12.27 and a market cap of Rs 2,23,984 crore. Net profit has compounded at 9.48% a year since FY22, and FY26 revenue rose 19.59% while June 2026 quarter net profit grew 144.81%. Long-term returns in growth at reasonable price stocks depend on earnings growth and the price paid at entry, so staggering purchases and consulting a SEBI-registered advisor is sensible.
Can LIC become a multibagger from here?
Ans. LIC has a market cap of Rs 4,98,410 crore. A multibagger outcome in growth at reasonable price stocks requires earnings to keep growing faster than the market for several years. Net profit has compounded at 93.19% a year since FY22, and FY26 revenue rose 10.23%. At a PE of 8.30 against an industry PE of 10.47, valuation should be checked against that growth before investing.
What is the market cap of LIC, M&M, Hindustan Zinc and Cholamandalam?
Ans. As of 20 October 2026, LIC has a market cap of Rs 4,98,410 crore, M&M has a market cap of Rs 3,48,064 crore, Hindustan Zinc has a market cap of Rs 2,23,984 crore and Cholamandalam has a market cap of Rs 1,35,393 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 growth at reasonable price stocks.
What are the risks of investing in growth at reasonable price 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. Cholamandalam trades at a PE of 23.54 against an industry PE of 17.68, so earnings growth needs to hold up.
Why is Cholamandalam trading at a PE of 23.54?
Ans. Cholamandalam’s PE of 23.54 compares with an industry PE of 17.68. The market is paying a premium for a return on equity of 17.18%, profit growth of 24.75% a year since FY22 and latest-quarter profit growth of 45.56%, which also means the stock is more sensitive if growth slows. Investors in growth at reasonable price 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 LIC, M&M, Hindustan Zinc and Cholamandalam?
Ans. As of the latest reported quarter, FII and DII together hold 7.72% of LIC (1.55% and 6.17%), 67.54% of M&M (34.89% and 32.65%), 7.21% of Hindustan Zinc (2.36% and 4.85%) and 45.07% of Cholamandalam (24.45% and 20.62%). Rising institutional holding is a useful signal in growth at reasonable price stocks, though it should be read with earnings trends rather than on its own.
