| Index | 12M Forward P/E | 5Y Avg |
|---|---|---|
| Dow Jones | 20.0x | 18.6x |
| Nikkei 225 | 19.5x | 19.4x |
| Nasdaq 100 | 19.1x | 24.5x |
| Nifty 50 | 17.2x | 19.2x |
| DAX | 15.5x | 13.0x |
| CAC 40 | 13.3x | 13.3x |
| Brazil | 7.9x | 7.8x |
Sectoral valuations
The valuation reset is visible across several sectors as well. Nifty IT trades at 17.8x compared with its five-year average of 23.5x, while Nifty Bank is valued at 11.7x versus a historical average of 14.3x. Realty and FMCG stocks are also trading below their long-term averages. Pharma remains one of the few sectors trading above its five-year average valuation.