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Is It Cheap? · Advanced · Pro filter

P/E vs market-predicted P/E: what it means and how to read it

A model estimates the P/E a company would normally get for its growth, return on equity and size. Positive means it trades cheaper than that.

What is P/E vs market-predicted P/E?

A model estimates the P/E a company would normally get for its growth, return on equity and size. Positive means it trades cheaper than that.

A worked example

The model says a company with this growth, ROE and size normally gets a P/E of 30. At 24 it trades 20% below what the market usually pays.

Why does P/E vs market-predicted P/E matter?

Separates 'cheap for a reason' from 'cheap for no reason'.

How do you read P/E vs market-predicted P/E?

Positive is cheaper than the model expects.

Higher is usually better.

What is a typical P/E vs market-predicted P/E in India today?

The median across the 2061 listed companies that report it, as of 12 Oct 2026. Half sit above each figure and half below.

By company size

Median
Large Cap · 64 companies-2.8%
Mid Cap · 116 companies-13.9%
Small Cap · 1881 companies-8.8%

By industry

Median, largest industries first
Pharmaceuticals · 109-6.4%
Computers - Software & Consulting · 398.1%
Non Banking Financial Company (NBFC) · 47-6.5%
Auto Components & Equipments · 85-5.0%
Power Generation · 1317.5%
Cement & Cement Products · 177.1%
Heavy Electrical Equipment · 24-25.3%
Civil Construction · 56-0.6%
Aerospace & Defense · 18-61.5%
Residential Commercial Projects · 41-2.9%
Compare a company with its own industry before the whole market. Every industry, and each company's rank within it, is in the screener.

Screen 6622 companies on P/E vs market-predicted P/E and every other filter.