Interesting Q @Mudit.Kushalvardhan
Such correlation is observed in most stocks like Infy, Wipro even with Apple, Goog etc. However, some are God-gifted like AP, Pidi, Nestle etc. PE expansion went beyond reasonable duration, more than a decade for some minute minorities.
Can we say mean reversion for PE contracted stocks? I have not studied it much hence can’t comment. But interested to know other’s views/data etc.
If I summarise my pov AP, Pidi are exceptional, may not have more such examples. On the other ends not sure whether muthoot does mean reversion…
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