Nifty PE crosses 24|A statistically informed entry-exit model!

@gautham1 this is very true.

I’ve recently been reading Tim koller’s Valuation: Measuring & Managing the Value of Companies book based on the linked thread and since it was strongly recommended by Donald sir.

It’s been a very informative read so far. I’m posting some highlighted text from one of the very first pages which do apply to current scenario:

I would urge all serious investors to buy this book or download a legal e-copy. My own understanding differs from some of the previous comments, the Fed or other central banks cannot act as a ‘put’ and cannot inflate asset prices ad infinitum. Asset prices closely align with value/earning power ‘over time’ (say decades). The time frame wherein the prices deviate though can be large (a few years).

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