• Sign Up
  • |
  • Sign In Sign Out
  • |
  • Make us your home
  • |
  • RSS
1 2
1 15
1 4
1 9
1 13
1 25
IPO
1 5015
1 5013
  • Standard Chartered Bank allotted $197.38mn
  • Barclays Capital allotted $155.18mn, DBS allotted $300mn
  • Reallocation as FIIs failed to invest allotted component
  • Reallocates $1.31bn to FIIs for corporate debt invst
  • CNX Midcap down 1.3%, Smallcap Index down 1.8%
  • BSE Advances at 30.24%, Declines at 66.77%
  • Govt wants to focus on construction sector
  • Govt may not give direct sops to auto sector
  • Steel duty cut may provide relief to auto sector
  • Govt may cut excise duty on steel and cement
  • Govt may rejig duty to help SMEs: Ashwini Kumar
  • Anti -dumping laws to be strengthened
  • HCL Technologies announces partnership with Xerox
  • Govt to increase focus on infra spending
  • Banks want realtors to cut prices or sell properties
  • Pressure on RBI to cut rates has somewhat eased
  • Outstanding bank credit on Nov 7 at Rs.27.12 lk cr: NW
  • Banks encouraged to use special refinance facility: RBI
  • Use special refinance to give loans to SMEs: RBI
  • Banks' total deposit grew 20.4% on year to Nov 7: NW
  • Banks' total credit grew 26.5% on year to Nov 7: NW
  • RBI to allocate upto $10bn from FX reserves to fund: Srcs
  • RBI may set up a special $ fund for infra cos: Sources
  • FIIs net sell $91.5mn in equity on Nov 18
  • Power Grid approves 3 investment proposals
  • Approves Rs.7031cr investment in Sasan project
  • MFs net sell Rs.45cr in equity on Nov 18
  • Nifty falls 135 pts from day's high; Down 1.8% at close
  • Sensex sheds earlier gains; Down 1.8% at close
  • CNX Midcaps down 1.3%, Smallcap Index down 1.8%
Updated: 12/10/2008 | 03:37 PM IST
PE of half the Sensex shares drops to 10 or less
Press Trust of India
Sunday, October 12, 2008 (Mumbai)
Comments:
Read (0)
With the stock market taking a severe beating, the PE or Price Earning ratio of 15 out of 30 Sensex shares has dropped to ten or less as of Friday – October 10, according to the data available.

The PE ratio for as many as 11 Sensex shares is in single digits, the data reveals. The PE ratio indicates to what extent market is willing to pay for the company's earnings. PE is typically higher when the market is booming and drops when the sentiment turns bearish. High performing companies generally tend to command higher PE ratios. PE ratio also depends upon liquidity available in the market.

Among the companies whose PE ratios are less than 10 are ICICI Bank (9.9), SBI (9.8), Reliance Comm (8.6), Satyam Computers (9.1), ACC (7.4), Tata Motors (6), DLF (5.9), Hindalco (4.8), Grasim (4.7), Sterlite (4.4). The lowest PE is that of Tata Steel at only (1.7) .

Shares with PE ratio of ten are Reliance Ind (10.9), ONGC (10.5), TCS (10), and Reliance Infra (10.9).

The PE for the Sensex overall was 13.44 as of October 10 largely due to comparatively higher valuations still commanded by shares like HDFC Bank (25.7), the highest among the 30 Sensex shares. Besides, Hindustan Unilever also has high PE of 24.8 and so also BHEL 22.3 and NTPC at 20.2. 

The PE ratio is calculated by dividing the market price of a company's share by the earning per share (EPS). While the earning per share is calculated by dividing the net profit of the company by the number of its shares. 

 

Comments:
Read (0)
Comments
 
Market Watch
Graphs
Stocks
Trading Calls
Hemen Kapadia
Hemen Kapadia
-3.57% status
Current: Rs 233.45
Simi Bhaumik
Simi Bhaumik
0.06% status
Current: Rs 420.1
Stock Recos
I advice the investors to exit the stock
The investors can quit the stock at the resistance level of Rs 220
Buy or Sell
Today's Analyst: Paras Bothra
Query : Kanta Naik, Surat, an investor has 115 Ruchi Soya at Rs 85/share.