An exploratory study done on 150 children (1 to 5 year) at urban slum of indore to assess the prevalence and cause of PEM. Convenient sampling technique use to select Sample. Children were screened for PEM by anthropometric measurement and also observed for clinical symptoms (PEM) through using checklist and determine PEM grade by IAP classification. Reliability of weighing machine was established by test re-test method and data was analyzed with Chi-square test or Yates correction test. The finding of the study revealed that within 150 children 94 (62.67%) children were underweight [(Grade-I 65), Grade-II 28, Grade-III 1].Prevalence of PEM was higher in children 37-48 months age group, females children, nuclear family, live in 1 room house, children of illiterate mother and father, family monthly income 2000-4000/-, partially immunized, breast feed < 2 year age, not exclusively breast feed, improper complementary feeds, feeding <3 times/day, not use green vegetable, pulses in diet, use unclean, uncovered drinking water. PEM in children is associated with spacing with siblings nearest in age, No. of rooms in house, Mother education, Monthly income of family, Diarrhea, Immunization of child, breast feeding Duration, complimentary feeding start time, No. of feeding per day, Drinking water storage.