Very High P/E Ratio Stocks in India

 

Before investments in Stock market, every advisor will tells you to look for at least 2-3 parameters before making any investments into the stock market. One of these parameters will be company price to earnings ratios. Usually advisors will tell certain limits beyond which stocks are generally considered as very expensive.

Even for a stock P/E above 100 is considered very expensive but you will be surprised to find that there are few stocks where P/E ratios are even above 1000, and even some stocks are having P/E way above 5000 as well. Therefore, you can to be cautious about these stocks and must take advisory from your advisor before even considering for purchasing these stocks.

Few of them are listed below-

1.       Blue Cloud Softech Solutions- P/E Ratio- 8552.4, Market Valuation-417.4 Crores

2.       Swan Energy- P/E Ratio- 1670.5, Market Valuation-6072.7 Crores

3.       FSN E-Commence Venture- P/E Ratio- 1440.3, Market Valuation- 36596.9 Crores

4.       KIOCL Limited- P/E Ratio- 806.2, Market Valuation- 11,334 crores

5.       TCNS Clothing Co. Limited- P/E ratio-526, Market Valuation-2509.1 Crores

6.       Thomas Cook Limited- P/E Ratio- 472.7, Market Valuation-3055.1 Crores

7.       Va Tech Wabag Limited- P/E Ratio- 203.2, Market Valuation-2610.8 Crores

8.       Sunteck Realty Limited- P/E Ratio- 173, Market Valuation-4331.4 crores

9.       Adani Green Energy- P/E Ratio-145.9, Market Valuation-1,42,079.8 Crores

10.   Adani Total Gas- P/E Ratio- 138.5, Market valuation-75,677.9 Crores

When you read the books written by Warren Buffet you will find that he never buys a company which have P/E ratio of above 25-30 and in today world we can see the P/E ratio way above 8000 as well.

In year September 2021, the historical average P/E ratio for the S&P 500 index, which represents a broad range of large U.S. companies, has been around 15 to 25. However, this range can vary over time.