CLSA, Goldman Sachs join growing chorus of India's 'expensive' valuations

CLSA, Goldman Sachs latest to highlight concerns

Goldman Sachs and CLSA have become the latest foreign brokerages to join the growing chorus of India’s rich valuations, following a world-beating 30 per cent rally this year. They join Morgan Stanley, Nomura, and at least three others to sound caution on unfavourable risk-reward, given the high price-to-earnings multiple and growing headwinds.

CLSA’s Chief Equity Strategist Alexander Redman in a note titled Indian Equities: On Borrowed Time highlighted 10 reasons to book profits on domestic equities.

“We call time on the 20-month rally in Indian equities. Our concerns range from elevated energy and broader input price pressures applying downward pressure