After losing nearly 5% from their record highs touched in January, BSE Sensex currently trades at 18.12 times, based on one-year forward earnings. After losing nearly 5% from their record highs touched in January, Sensex currently trades at 18.12 times, based on one-year forward earnings. In contrast, one-year forward price to earnings (PE) of MSCI Emerging Markets is 12.25 and that of MSCI World is 15.8. Sectorally, BSE FMCG, BSE Consumer Discretionary Goods and Services, BSE Capital Goods and BSE Healthcare are the most expensive indices with one-year forward PEs at 30.9, 25.5, 24.9 and 22.8, respectively. At current valuations, the cheapest indices are BSE Oil and Gas, BSE Energy and BSE Metal with one-year forward PE at 10.8, 11.7 and 11.9, respectively.

Source: Mint February 09, 2018 04:30 UTC