Nifty Next 50 PE Ratio
Valuation Percentile
Nifty Next 50's PE is cheaper than 99% of the last 5 years.
The Nifty Next 50 PE ratio is 18.08 as of 1 October 2026, about 20% below its 5-year median of 22.63, which places it in significantly undervalued territory on a historical basis.
PE Ratio vs Historical Medians
| Period | Median PE | Current vs Median |
|---|---|---|
| Full history | 19.38 | -6.71% |
| 15 Years | 23.38 | -22.67% |
| 10 Years | 26.69 | -32.26% |
| 7 Years | 24.97 | -27.59% |
| 5 Years | 22.63 | -20.11% |
| 3 Years | 21.94 | -17.59% |
| 1 Year | 19.56 | -7.57% |
Historical PE Ratio
Series start. P/E is published from 1 Jan 1999. Index values go back to 4 Nov 1996.
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 Next 50 earnings grew +18.77% a year over the last 5 years, while the index moved +10.17% a year and its P/E went from 26.3 to 18.1.
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.
Ways to invest in Nifty Next 50
12 ETFs and 19 index funds track this index. Prices and NAVs as of 1 Oct 2026.
ETFs (12)
| ETF | Symbol | Price | NAV | Premium | 1Y |
|---|---|---|---|---|---|
| Nippon India ETF Nifty Next 50 Junior BeES | JUNIORBEES | 750 | - | - | +1.73% |
| ICICI Prudential Nifty Next 50 ETF | NEXT50IETF | 73.48 | - | - | +1.63% |
| Mirae Asset Nifty Next 50 ETF | NEXT50 | 714.04 | - | - | +1.89% |
| SBI Nifty Next 50 ETF | SETFNN50 | 741 | - | - | +1.95% |
| HDFC NIFTY NEXT 50 ETF | HDFCNEXT50 | 70.8 | - | - | +1.57% |
Index funds (19)
| Fund | AMC | NAV | Since |
|---|---|---|---|
| ICICI Prudential Nifty Next 50 Index Fund | ICICI Prudential Asset Management Company Limited | 64.191 Oct 2026 | 2010 |
| LIC MF Nifty Next 50 Index Fund | LIC Mutual Fund Asset Management Limited | 56.71 Oct 2026 | 2010 |
| UTI - Nifty Next 50 Index Fund | UTI Asset Mgmt. Co. Ltd. | 25.641 Oct 2026 | 2018 |
| DSP Nifty Next 50 Index Fund | DSP Asset Managers Private Limited | 27.381 Oct 2026 | 2019 |
| Motilal Oswal Nifty Next 50 Index Fund | Motilal Oswal Asset Management Company Limited | 24.811 Oct 2026 | 2019 |
Listed for information only, not a recommendation. Check expense ratio and tracking difference before investing.
Performance and risk
1-year holding windows since 2002 returned a median of +16.58% (best +199.36%, worst -67.14%).
Today's PE of 18.08 sits in band 2 of 5 of this index's history (PE 14.9 to 18.2). From this band, 5-year forward returns had a median of +15.72% a year and were positive in 100% of windows (1,166 windows since 2002).
View full performance and risk
Returns as of September 2026, from the NSE factsheet for the Nifty Next 50. 1-year returns are absolute; 5-year returns are annualized.
Stocks in the Nifty Next 50
The Nifty Next 50 contains 50 constituents. Its largest sectors by weight are Capital Goods (20.3%) and Financial Services (17.6%).
Recent changes
4 October 2026: Added Hitachi Energy India Ltd., Polycab India Ltd., Vedanta Aluminium Metal Ltd., Vodafone Idea Ltd., Wipro Ltd.. Removed Indian Hotels Co. Ltd., Lodha Developers Ltd., REC Ltd., Shree Cement Ltd., United Spirits Ltd..
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
- Universe
- The review of broad market indices is undertaken semi-annually based on data for six months ending January and July. To be considered for inclusion in Nifty 500 index, companies must form part of eligible universe.
- Selection
- It represents the balance 50 companies from Nifty 100 after excluding the Nifty 50 companies. Cumulative weight of non F&O stocks in the index is capped at 10% on a quarterly rebalance dates. Further, non F&O stocks in the index are individually capped at 4.5% on quarterly rebalance dates.
- Rebalanced
- Quarterly
Summarised from NSE's official methodology document (PDF) for the Nifty Next 50; the PDF is authoritative.
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Frequently Asked Questions
What is the current Nifty Next 50 PE ratio?
As of 1 October 2026, the Nifty Next 50 PE ratio is 18.08. That is about 20% below its 5-year median of 22.63 and about 8% below its 1-year median of 19.56.
Is the Nifty Next 50 undervalued right now?
On a historical basis it screens as significantly undervalued. Its current PE of 18.08 sits below every median window: 1-year (19.56), 3-year (21.94), 5-year (22.63), 7-year (24.97), 10-year (26.69), 15-year (23.38) and full-history (19.38).
What is a normal PE ratio for the Nifty Next 50?
Over the past five years its median PE has been 22.63, and over the past three years 21.94. Today's 18.08 is toward the lower end of that historical range.
How many stocks are in the Nifty Next 50?
The Nifty Next 50 contains 50 stocks. By number of companies, its largest sectors are Financial Services (11 stocks), Capital Goods (10 stocks) and Automobile and Auto Components (4 stocks).
What returns has the Nifty Next 50 delivered?
As of September 2026, the Nifty Next 50 total return (with dividends reinvested) is +3.74% over the past year and +11.44% 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 Next 50?
Over the year to September 2026, the Nifty Next 50 had an annualized volatility (standard deviation of daily returns) of 17.08%. Its beta versus the Nifty 50 is 1.10, meaning it has moved more than the broad market.
What is a typical one-year return for the Nifty Next 50?
Across every one-year holding window since 2002, the Nifty Next 50 total return has a median of +16.58%, with the best window at +199.36% and the worst at -67.14%. Based on NSE Total Returns Index data; a past distribution, not a prediction.
What have 5-year returns been from PE levels like today's?
The Nifty Next 50 currently trades at a PE of 18.08, in band 2 of 5 of its own PE history. Across 1,166 overlapping 5-year windows since 2002 that began in this band, the median forward return was +15.72% a year, positive in 100% of windows. A past distribution, not a prediction.
How fast have Nifty Next 50 earnings grown?
Nifty Next 50 earnings, measured as the index level divided by its P/E, grew +18.77% a year over the last 5 years, while the index itself moved +10.17% a year and its P/E fell from 26.33 to 18.08. Past growth, not a forecast.
How often is the Nifty Next 50 rebalanced?
The Nifty Next 50 is rebalanced quarterly. Details are in the official NSE methodology document.
Last updated: 1 October 2026.