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India's sectoral valuations outstrip Asian counterparts, shows data

The price-to-earnings (P/E) for the industrial and consumer staples sectors has more than doubled that of other Asian markets

The MSCI logo is seen in this June 20, 2017. Photo: Reuters
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If one examines the individual sectors, the valuation differential is more pronounced, except for a few sectors

Samie Modak Mumbai
It is well-known that the Indian markets trade at a significant premium to their Asian peers. The Morgan Stanley Capital International (MSCI) India Index trades at 18.6x its estimated earnings for the year 2024 — nearly 80 per cent more than the 10.5x commanded by the MSCI Asia (excluding Japan) Index. However, if one examines the individual sectors, the valuation differential is more pronounced, except for a few sectors.

For instance, the price-to-earnings (P/E) for the industrial and consumer staples sectors has more than doubled that of other Asian markets.

“Attractive companies in sectors linked to domestic consumption or investments are trading

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First Published: Nov 28 2022 | 6:15 AM IST

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