Most sectors in Indian stock market trading at premium to historical averages


    Mumbai, April 6 | As the Indian stock market went on an unprecedented bull run amid the pandemic, around two-third of the sectors are currently trading at a premium to their historical averages, showed a report by Motilal Oswal Financial Services.

    After the sharp rebound, the Nifty now trades at a 12-month forward P/E (price-to-earning ratio) of 20.7x, 10 per cent above its historical average of 18.8x, said the Bear & Bulls report.

    Health care and auto now trade in a reasonable range to their long period average (LPA) valuations, while technology, after the sharp run, trades at a 40 per cent premium to its LPA. Consumer goods still trade at a decent premium to its LPA, but this premium has shrunk in the last one-year.

    “Private Financials are trading at a premium to its LPA on a P/B basis. Oil and Gas is trading at 14.1x, at a 17 per cent premium owning to RIL. Excluding RIL, Oil and Gas P/E will be at 8.3x, a discount of 20 per cent to its LPA,” it said.

    Further, the market capitalisation-to-GDP ratio is at a new year-end high of 106 per cent.

    Noting that all sectors delivered positive returns in FY21, the Motilal Oswal report said that the top gainers in the sectoral space were metals (up 151 per cent), autos (108 per cent), technology (103 per cent), capitalgGoods (+92 per cent), and real estate (90 per ecnt), while consumer goods underperformed.

    The theme of FY21 was high beta, cyclicals, and value. Quality and defensive themes, the flavor of the past few years, took a breather. The breadth was positive in FY21, with 49 Nifty stocks closing higher, it said.

    Source: IANS

    Next Story

    Social Media Expert And Founder Of Aapno Rajasthan Durgesh Dhaker Gives His Two Cents On Growing One's Reach Online

    Social Media Expert And Founder Of Aapno Rajasthan Durgesh Dhaker Gives His Two Cents On Growing One's Reach Online

    “Work and you’ll get what you need; work harder and you’ll get what you want”.

    The above-mentioned quote speaks volumes about the courage of those who have made substantial breakthroughs in their life with hardwork and dedication.

    One such committed individual who is preparing several notable names with their social media reach is Durgesh Dhaker. An agile and someone who keeps himself upbeat with the happenings in the country, Durgesh has acquired expertise in carving the social media strategies for various stalwarts. He is also the founder of Aapno Rajasthan

    facebook page with more than 1 million likes which he gain within very short time with his expertise.

    Coming from the beautiful city of Chittorgarh in the land of Rajasthan, Durgesh Dhaker is making his parents and fellows pride of his strides and success acquired through hustling with perseverance. His social media expertise enables him to give his top tips for growing one’s social media presence, it is as below-

    1-Create a network

    Social media comprises of a huge number of people who need to build their reach, subsequently, it turns into a fiercely cutthroat spot where every individual is attempting to draw in mass consideration, thus it is basic that we upgrade our activities to pick a specialty which suits our inclinations, it ought to be something that you are prepared to deal with for quite a while of your life.

    Zero in on making an intuitive substance that can be discovered when somebody looks for it, the most ideal approach to do is to is utilize significant hashtags on Facebook, Twitter, etc.

    2-Create steady, quality posts that are relatable

    Today, the web has enough data however we can help our supporters discover quality data that isn’t excess by posting relatable substance according to our niche, recall, forthright, valuable, and quality substance is as yet restricted on the web, consequently assuming you give individuals what they are searching for reliably, gradually and slowly, you will see considerable development in individuals who follow you.

    3-Social media showcasing/connecting websites

    Social media marketing is perhaps the most ideal approach to get ideal reach online, to see speedy outcomes, posting cool videos, and opinion on the latest happenings are some methods which can be deployed. If one has a website on their name or related to their field of work then those can be attached on social media profiles to promote them better.

    In a nutshell, we can conclude that, according to Durgesh Dhaker, the top way to grow your social media presence is by being relevant and consistent with the content that is suited to the tastes of your target audience, linking several web pages and blogs to boost traffic and last but not the least correct marketing of your content that can lead to conversions.


    Please enter your comment!
    Please enter your name here