Nifty & Sector Valuation Comparisons
Evaluate relative valuation premiums and discounts across sectoral indices versus the flagship NIFTY 50 index.
Cross-Sector Valuation Matrix
Valuation spreads measured relative to NIFTY 50 PE of 19.19.
| Sectoral Index | Sector PE | vs Nifty PE (%) | 10Y Percentile | Sector PB | Dividend Yield | Deep Dive |
|---|---|---|---|---|---|---|
| NIFTY AUTO | 29.50 | +53.7% | 82th pctl | 3.97 | 1.15% | Charts → |
| NIFTY BANK | 12.91 | -32.7% | 14th pctl | 1.64 | 0.73% | Charts → |
| NIFTY CONSUMER DURABLES | 57.73 | +200.8% | 86th pctl | 9.26 | 0.42% | Charts → |
| NIFTY FINANCIAL SERVICES | 15.05 | -21.6% | 26th pctl | 2.27 | 1.01% | Charts → |
| NIFTY FMCG | 30.37 | +58.3% | 34th pctl | 7.27 | 1.08% | Charts → |
| NIFTY HEALTHCARE INDEX | 41.91 | +118.4% | 78th pctl | 5.32 | 0.48% | Charts → |
| NIFTY IT | 17.80 | -7.2% | 28th pctl | 4.96 | 2.83% | Charts → |
| NIFTY MEDIA | 40.80 | +112.6% | 68th pctl | 1.68 | 0.48% | Charts → |
| NIFTY METAL | 16.34 | -14.9% | 58th pctl | 2.65 | 1.47% | Charts → |
| NIFTY OIL & GAS | 10.44 | -45.6% | 32th pctl | 1.29 | 1.88% | Charts → |
| NIFTY PHARMA | 40.70 | +112.1% | 85th pctl | 4.95 | 0.54% | Charts → |
| NIFTY PRIVATE BANK | 16.49 | -14.1% | 38th pctl | 1.91 | 0.68% | Charts → |
| NIFTY PSU BANK | 7.15 | -62.7% | 42th pctl | 1.10 | 0.81% | Charts → |
| NIFTY REALTY | 35.36 | +84.3% | 74th pctl | 3.65 | 0.50% | Charts → |
Understanding Sector Valuation Spreads
Valuation spreads evaluate structural premiums across business models. Banking and Financial Services historically trade at a discount to the broader NIFTY 50 PE multiple due to balance-sheet leverage, whereas Consumer, FMCG, and Technology indices typically trade at substantial premiums reflecting high asset-turnover, return on capital (ROCE), and consistent earnings visibility.
Asset-Heavy vs Capital-Light Multiples
When comparing asset-heavy sectors like Metals, Realty, and Oil & Gas, standard Price-to-Earnings ratios should be read in conjunction with Price-to-Book (PB) ratios and commodity cycle positions. High peak-cycle earnings can mechanically compress PE multiples, while trough-cycle downturns often make multiples appear superficially inflated.