Nifty Financial Services 25/50 PE Ratio
Valuation Percentile
Nifty Financial Services 25/50's PB is cheaper than 100% of the last 5 years.
The Nifty Financial Services 25/50 PE ratio is 14.62 as of 1 October 2026, about 14% below its 5-year median of 16.96, which places it in moderately undervalued territory on a historical basis.
PE Ratio vs Historical Medians
| Period | Median PE | Current vs Median |
|---|---|---|
| 5 Years | 16.96 | -13.80% |
| 3 Years | 17.00 | -14.00% |
| 1 Year | 16.77 | -12.85% |
Historical PE Ratio
Series start. P/E is published from 20 May 2020. Index values go back to 1 Jan 2004.
Earnings
Index earnings are the profits behind the index level: the closing value divided by the P/E ratio, in index points. The line moves in steps because it changes only when trailing four-quarter profits are updated or the constituents change. Compare it with price to see whether a move came from earnings or from a change in what investors pay for them.
Nifty Financial Services 25/50 earnings grew +17.49% a year over the last 5 years, while the index moved +7.75% a year and its P/E went from 22.5 to 14.6.
Earnings growth is annualised from the last trading day at or before the start of each window to 1 Oct 2026. Price growth uses the index level over the same two dates, excluding dividends. EPS is undefined on days with no published P/E, so those days are skipped. Past growth, not a forecast.
Performance and risk
1-year holding windows since 2020 returned a median of +16.36% (best +91.15%, worst -9.72%).
Today's PE of 14.62 sits in band 1 of 5 of this index's history (PE below 16.4). From this band, 3-year forward returns had a median of +20.49% a year and were positive in 100% of windows (119 windows since 2020).
View full performance and risk
Returns as of September 2026, from the NSE factsheet for the Nifty Financial Services 25/50. 1-year returns are absolute; 5-year returns are annualized.
Stocks in the Nifty Financial Services 25/50
The Nifty Financial Services 25/50 contains 20 constituents.
Constituent list as of 4 October 2026, sourced from NSE Indices. Weights as of 30 September 2026, from the NSE factsheet.
How this index works
- Selection
- Nifty Financial Services 25/50 is a capped version of Nifty Financial Services index, where 25 refers to the maximum value for the % weight of a single stock and 50 refers to maximum value for the aggregate % weight for all stocks with individual weight more than 5%.
- Rebalanced
- Semi-annually. The review of sectoral indices is undertaken semi-annually based on data for six months ending January and July.
- Weight cap
- For all other sectoral indices, the weight of each stock is capped at 33% and the weight of top 3 stocks is capped at 62%
Summarised from NSE's official methodology document (PDF) for the Nifty Financial Services 25/50; the PDF is authoritative.
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Frequently Asked Questions
What is the current Nifty Financial Services 25/50 PE ratio?
As of 1 October 2026, the Nifty Financial Services 25/50 PE ratio is 14.62. That is about 14% below its 5-year median of 16.96 and about 13% below its 1-year median of 16.77.
Is the Nifty Financial Services 25/50 undervalued right now?
On a historical basis it screens as moderately undervalued. Its current PE of 14.62 sits below every median window: 1-year (16.77), 3-year (17.00) and 5-year (16.96).
What is a normal PE ratio for the Nifty Financial Services 25/50?
Over the past five years its median PE has been 16.96, and over the past three years 17.00. Today's 14.62 is toward the lower end of that historical range.
How many stocks are in the Nifty Financial Services 25/50?
The Nifty Financial Services 25/50 contains 20 stocks. By number of companies, its largest sectors are Financial Services (20 stocks).
What returns has the Nifty Financial Services 25/50 delivered?
As of September 2026, the Nifty Financial Services 25/50 total return (with dividends reinvested) is -4.52% over the past year and +8.79% annualized over the past five years. One-year figures are absolute; multi-year figures are annualized (CAGR). Data from the NSE factsheet.
How volatile is the Nifty Financial Services 25/50?
Over the year to September 2026, the Nifty Financial Services 25/50 had an annualized volatility (standard deviation of daily returns) of 17.35%. Its beta versus the Nifty 50 is 1.20, meaning it has moved more than the broad market.
What is a typical one-year return for the Nifty Financial Services 25/50?
Across every one-year holding window since 2020, the Nifty Financial Services 25/50 total return has a median of +16.36%, with the best window at +91.15% and the worst at -9.72%. Based on NSE Total Returns Index data; a past distribution, not a prediction.
What have 3-year returns been from PE levels like today's?
The Nifty Financial Services 25/50 currently trades at a PE of 14.62, in band 1 of 5 of its own PE history. Across 119 overlapping 3-year windows since 2020 that began in this band, the median forward return was +20.49% a year, positive in 100% of windows. A past distribution, not a prediction.
How fast have Nifty Financial Services 25/50 earnings grown?
Nifty Financial Services 25/50 earnings, measured as the index level divided by its P/E, grew +17.49% a year over the last 5 years, while the index itself moved +7.75% a year and its P/E fell from 22.54 to 14.62. Past growth, not a forecast.
How often is the Nifty Financial Services 25/50 rebalanced?
The Nifty Financial Services 25/50 is rebalanced semi-annually. The review of sectoral indices is undertaken semi-annually based on data for six months ending January and July. Details are in the official NSE methodology document.
Last updated: 1 October 2026.