Warren Buffett evaluates stocks based on his value investing philosophy.
Buffett looks for companies that provide a good return on equity over many years, particularly when compared to rival companies in the same industry. He also reviews a company's profit margins to ensure they are healthy and growing.
Besides this, he focuses on companies that provide a unique product or service that gives them a competitive advantage. He also focuses on companies that are undervalued, ie. have a margin of safety.
Here's a list of Indian stocks that could qualify per Warren Buffett's criteria...