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Markets are weird, i was going through Barclays report on India Consumer dt 21-Sep-15 and one chart caught my attention, even thought I had idea about the point I never got it to put it in black & white. here is the chart


most of the FMCG/consumer are trading at premium valuation compared to their respective historic averages. I would probably not pay too much attention to ITC, HUL, Titan and Jubliant as their premium is in range of 10%-14%.

While others like Britannia, Marico, Page Industries are trading at 99%, 91% & 71% to their historic valuation.

So I just thought to check performance of same stock post 21-Sep-15 and below is result


Barring Bata, Dabur & Marico every other stock has gone up. makes me wonder how long will premium valuation continue, will Mean reversion take place or as they say “This time it is Different”