India oversold?

Current valuation levels of Indian shares provide attractive entry points for investors, according to Ambit Capital. The Mumbai-based brokerage studied the performance of the Bombay Stock Exchange (BSE) benchmark, Sensex, for different time periods based on its price-to-earnings (P/E) and price-to-book (P/B) ratios. “Even in the stress case scenario of markets breaching lower from these multiples, empirical evidence weighs heavily in favour of buying now,” said Saurabh Mukherjea, head of institutional equities, Ambit Capital (Click on graphic)