Price-to-Earnings, PB Ratio & Dividend Yield
Last updated
Nifty 500 is trading 8.1% below its 3-year median PE of 24.2. The sector is trading near its historical average. Valuations are neither cheap nor expensive.
Based on the last 3 years of Nifty 500 data (avg PE: 24.3), here are the valuation zones:
| Nifty 500 PE Range | Market Valuation | What Investors Typically Do |
|---|---|---|
| Below 21.9 | Undervalued (Buying Zone) | Historically strong entry points for long-term investors |
| 21.9 – 26.8 | Fairly Valued | Continue SIPs and regular investing with normal allocation |
| 26.8 – 29.2 | Getting Expensive | Be cautious, continue SIPs but avoid lump sum investments |
| Above 29.2 | Overvalued (Caution Zone) | Consider booking partial profits |
| Year | Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2026 | 23.9 | 23.8 | 22.0 | 23.0 | 22.9 | 22.3 | — | — | — | — | — | — |
| 2025 | 24.7 | 23.1 | 22.7 | 23.7 | 24.4 | 24.8 | 24.9 | 23.9 | 24.1 | 24.5 | 24.3 | 24.2 |
| 2024 | 24.5 | 24.3 | 24.3 | 25.1 | 24.4 | 25.5 | 26.8 | 26.5 | 27.5 | 26.7 | 25.5 | 26.0 |
| 2023 | 22.5 | 21.7 | 21.2 | 21.5 | 22.4 | 22.9 | 24.3 | 23.3 | 23.6 | 23.0 | 22.1 | 23.8 |
| 2022 | 25.8 | 23.6 | 22.8 | 23.8 | 21.1 | 20.3 | 20.8 | 21.9 | 22.1 | 21.8 | 22.9 | 23.1 |
| 2021 | 44.7 | 43.6 | 43.5 | 35.7 | 32.7 | 31.1 | 29.9 | 27.4 | 27.9 | 28.5 | 26.3 | 25.0 |
| 2020 | 30.9 | 30.6 | 24.3 | 23.1 | 24.0 | 28.0 | 31.4 | 35.6 | 38.0 | 41.6 | 39.2 | 42.2 |
| 2019 | 29.3 | 29.4 | 30.8 | 31.2 | 30.5 | 31.3 | 30.1 | 28.7 | 28.9 | 28.2 | 29.5 | 30.3 |
| 2018 | 32.8 | 30.7 | 29.9 | 30.9 | 30.9 | 31.0 | 32.3 | 33.7 | 33.0 | 28.8 | 29.3 | 29.4 |
| 2017 | 26.1 | 26.7 | 26.9 | 27.2 | 28.0 | 28.0 | 28.7 | 29.1 | 30.1 | 30.6 | 31.3 | 31.7 |
| 2016 | — | — | — | — | — | 25.4 | 26.7 | 27.4 | 28.3 | 27.5 | 25.6 | 24.8 |
Monthly average P/E ratios. Colors relative to 3Y average (24.3): green = below avg, blue = near avg, orange = above avg, red = well above avg.
“—” = PE data unavailable for that month. This happens when aggregate index earnings are negative or near-zero, making the PE ratio undefined.
| Year | PE Avg | PE Low | PE High | PB Avg | DY Avg |
|---|---|---|---|---|---|
| 2026 | 23.12 | 20.96 | 24.69 | 3.55 | 1.16% |
| 2025 | 24.16 | 21.84 | 26.07 | 3.73 | 1.17% |
| 2024 | 25.59 | 23.60 | 28.04 | 4.17 | 1.08% |
| 2023 | 22.72 | 20.75 | 25.00 | 3.98 | 1.32% |
| 2022 | 22.48 | 19.40 | 26.72 | 4.09 | 1.28% |
| 2021 | 32.85 | 24.11 | 46.29 | 4.14 | 1.07% |
| 2020 | 32.62 | 19.45 | 43.39 | 2.99 | 1.41% |
| 2019 | 29.84 | 23.49 | 32.02 | 3.28 | 1.19% |
| 2018 | 31.09 | 27.82 | 34.66 | 3.37 | 1.07% |
| 2017 | 28.70 | 25.50 | 32.55 | 3.27 | 1.05% |
| 2016 | 26.50 | 24.37 | 28.82 | 2.94 | 1.26% |
500 companies in the Nifty 500 index
Represents the top 500 companies listed on NSE, covering about 95% of total market capitalization. The index currently has 500 constituent companies and is categorised under Broad Market on Craytheon.
Current Nifty 500 PE Ratio today 22.3 | PB 3.50 | Div Yield 1.09%
Disclaimer: The information provided on this page is for educational and informational purposes only. It should not be construed as investment advice, a recommendation, or an offer to buy or sell any securities. Past performance and historical PE ratios do not guarantee future results. Always consult a qualified financial advisor before making investment decisions.
Data Source: Indian Stock Exchange