16/03/2026
Market Valuations – Sharp Correction Across Segments
Nifty 50
• Current P/E: 20.2
• 5-Year Avg: ~23
• 5-Year Range: 18.9 – 40.7
• Valuations now much closer to the 5-year low than the peak
Nifty Midcap 150
• Current P/E: 30.1
• 5-Year Avg: ~31.8
• 5-Year Range: 21.6 – 74.8
• Earlier valuation froth has normalized, moving toward the lower end of the band
Nifty Smallcap 250
• Current P/E: 24.1
• 5-Year Avg: ~27.7
• 5-Year Range: 16.9 – 48.2
• Segment has seen the sharpest valuation correction
Conclusion
• Across segments, P/E multiples have cooled significantly
• Current valuations are below long-term averages
• Markets now trading closer to historical lows than highs
