Sensex near record, but over a third of it is still available for 'cheap'

According to the analysis, there are 11 stocks in the cheap bucket, 14 in the expensive, and the valuations of the remaining five are in-line with their historical averages

The Sensex on Friday closed at 41,010, only 120 points shy from a fresh all-time high. While the benchmark indices are back near record levels, several of its components are still available “cheap”, compared to historical valuations. Business Standard analysed 12-month forward price-to-earnings (P/E) and price-to-book (P/B) multiples of the 30 Sensex components and compared them to the average 10-year P/E and P/B for the respective stocks. Based on the valuation differential, the stocks were classified cheap, expensive, and in-line.
 
According to the analysis, there are 11 stocks in the cheap bucket, 14 in the expensive, and the valuations