There is a famous quote by the world’s richest investor, Warren Buffet that “Be greedy when others are fearful, be fearful when others are greedy.”

India has historically traded at premium multiples compared to other emerging markets. On Price to Earnings (P/E) multiple, currently it is trading at ~80% premium based on consensus estimates. India certainly has been, and is projected to be,

The stock market evoked mixed reactions through the last few months. Up until November 2020 when Nifty regained its previous highs investors watched in amazement and I am sure with a sense of relief. But my interactions suggest that the journey from breaching the previous high to crossing 15,000 in February has largely evoked disbelief.

New Year 2020 began with great promise. Markets were at all-time high in January 2020 with early signs of economic recovery on the back of benign macro indicators, the government’s tax cuts and RBI’s expansionary policy.