Nifty 50 valuation tracker
Where the market's headline valuation sits against its own recent history, recomputed every trading day from NSE's official numbers.
Within one standard deviation of the five-year norm. Valuations are ordinary, neither stretched nor distressed. Today's reading is cheaper than 88% of the 1,326 trading days since April 2021.
Methodology
All three series are the official Nifty 50 numbers NSE publishes at each close, 1,326 trading days of them. The five zones are mechanical: one and two standard deviations either side of the full-window mean, recomputed daily per metric; no committee, no adjustment. Dividend yield reads inverted: a higher yield sits on the cheap side. The window starts in April 2021 because NSE moved index P/E to consolidated earnings around then, and mixing the earlier standalone series would distort the bands. Early-2021 readings are shaped by COVID-depressed trailing earnings, which the bands inherit; we prefer that over quietly trimming data.
What this is, and isn't
A valuation gauge answers one question: how does today's price per rupee of earnings, book value or dividend compare with recent history? It says nothing about where the market goes next month, and a cheap or expensive reading can persist for years. The zone names describe position, not action. Nothing here recommends a scheme. For the arithmetic of what a fair multiple looks like, read20× earnings buys fair value, not a bargain.