📢 Breaking: Nifty’s PE is at 22.1 – Aka the “I’m not expensive but don’t expect discounts” zone.
The index that gives us daily existential crises — Nifty 50 — is sitting pretty at a P/E of 22.1 as of May 14, 2025.
So the million-dollar question is:
Has the bull market officially started?
Or are we just jogging in circles with mutual funds screaming “Wait for correction!”
🧠 First, What the Hell Is PE Ratio Again?
PE = Price / Earnings
| PE Ratio | Market Mood |
|---|---|
| < 18 | Bargain Basement 🔥 |
| 18 – 21 | Fair Valuation ✅ |
| 22 – 25 | Slightly Fancy 😎 |
| > 25 | Bubble Tea Zone 🍡 |
At 22.1, Nifty is not too hot, not too cold – basically the Goldilocks of Valuation.
🪞 Nifty’s Past Life – Historical PE Context:
| Time Period | PE Range |
|---|---|
| 2020 Covid Crash | 18–20 |
| 2021–22 Bull Run | 28–31 |
| 2023 Panic Season | 19–20 |
| Now (May 2025) | 22.1 |
So yes – PE is rising. But is this “new bull market confirmed” or just a bear doing Zumba?
📊 Supporting Bullish Clues:
- 📈 Nifty made a new high recently at 24,800+ before cooling off slightly
- 🔁 FII Flow Positive in April–May: ₹17,500 Cr back in the system
- 🧧 Retail SIPs steady above ₹20K Cr/month
- 🚀 Defence stocks, PSU banks, and infra sector flying like they got rocket fuel from ISRO
😬 But Wait… Warning
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