Author argues Indian market/Nifty remains overvalued by historical PE and does not expect big returns.
Unpriced research observations (excluded from Calls and Returns):
NIFTY — AVOID Author contends the Indian stock market is still in overvalued territory despite a flat year, citing Nifty's historical PE remaining far from undervalued after a generational post-COVID run. They do not expect the market to give big returns and push back on the narrative that the market is due for a bull run once tariffs are sorted. The rationale is valuation: flat growth and mid/small cap corrections follow prior outsized returns, leaving the index overvalued. Exact non-equity contract requires separate historical validation; no generic proxy.
We are still in overvalued territory and I don’t expect the market to give big returns.