Showing posts with label High P/E Stocks. Show all posts
Showing posts with label High P/E Stocks. Show all posts

Sunday, 24 June 2018

S&P BSE SENSEX Valuation: All is Fair in Love and Markets

The SENSEX has crossed the 35000 mark and investors are getting a little uneasy. They have voices inside their heads asking "Is the SENSEX running ahead of itself? Should I cash out or should I stay in?" While those are difficult questions to give a definitive answer to, I thought I'd try to come up with a ballpark answer based on market metrics.

Sunday, 8 April 2018

Buying High P/E Stocks: Was Benjamin Graham Wrong?

The 'Price-to-Earnings' Ratio is perhaps the most commonly used Valuation tool in Stock Markets around the world. The concept was popularized by Benjamin Graham of 'The Intelligent Investor' fame. The general notion was that 'Low P/E' stocks produced better returns in the long run. But is that really the case?