If there are advertises on New IPO after every few days, this is sign of over enthusiasm.
Mr. Market is always irrational over short term and it becomes rational over a longer period. If this longer period gets further longer, people will buy any stocks at any price.
It seems that, while NIFTY P/E is still below 23-24, but many Small Caps and Mid Caps are trading at their life time high P/E or P/B ratios. Eventually this over enthusiasm may lead prices even further.
As a value investor, we need to follow the basics, do fundamental checks and balances before investing in the stocks. Bottom up stock selection is the only approach which can help in such markets.
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