Quant – Navigating Crests & Troughs – Feb’26 sectoral PE trend
Published on 04 Mar 2026
This report reviews one year forward PE and market cap trends across major sectors in Feb’26, benchmarking current valuations against long term averages to assess sector positioning. Overall, valuation patterns were mixed but stable, with Auto, Auto Parts & Equipment, Capital Goods, Cement, Chemicals, Consumer Durables, Hotels, Power, Pharma and Textiles trading at or above their historical averages. Agro Chemicals, Building Materials, FMCG, IT and Hospitals remained slightly below trend, while Real Estate and Retail continued to trade well under long term trends. Defence, Oil & Gas, and Metals & Mining reflected the strongest premium multiples. Out of the 20 sectors analyzed, 7 are currently trading below their long term averages.
