Nifty Midcap 150 P/E at 28.6, near a record index

Thursday's reading

The Nifty Midcap 150 closed at 22,904.25 on Thursday, 10 September 2026, at a price-to-earnings ratio of 28.64. Its price-to-book ratio was 4.32 and its dividend yield 0.58%.

The index has set a run of record closes since June, the highest 23,539.35 on 13 August, and is 2.7% below that now. The daily series is on the Midcap 150 valuation page.

Since June

In the June post the index was at 21,733.05 and the P/E at 27.81. Since then:

• The index rose 5.4%.
• The P/E rose 3.0%.
• Dividing one by the other, the earnings behind the index rose about 2.3%.

The earnings line had one more step down and one up. On 24 July the index slipped 0.1% while the P/E jumped from 28.74 to 30.14, a fall of about 4.7% in the earnings figure. Over the following weeks it climbed back, and on 31 August it rose about 1.9% in a session as the P/E dropped from 29.97 to 29.44 on a flat index.

The Nifty 50 over the same three months rose 1.4%, with its implied earnings up about 2.0%.

Three readings this year

From the March reading to now:

• The index rose 12.5%.
• The P/E fell 5.6%.
• Dividing one by the other, the earnings behind the index rose about 19%.

Over the same six months the Nifty 50 went nowhere, slipping 0.4%. Mid caps have climbed to new highs on the back of profits that grew far faster than large caps' did.

The year-on-year picture is the same. On 10 September 2025 the index closed at 21,498.35 at a P/E of 33.26. Since then the price is up 6.5% and the P/E down 13.9%, which implies earnings up about 24%.

Against its own record

The comparisons start on 31 March 2021, when NSE moved to consolidated earnings: 1,345 sessions to 10 September 2026.

• P/E: 544 sessions closed lower, about the 40th percentile, the same as in June.
• P/B: 771 sessions closed lower, about the 57th percentile.
• Dividend yield: 0.58% is the lowest of the period. It first closed there on 25 August and has matched it on eight sessions since. In March the yield was 0.88%.

On earnings, mid caps are below the middle of their range. On book value they are a little above it, and on dividends at the dear extreme.

Against the Nifty 50

The Nifty 50 closed at a P/E of 19.85 on 10 September, so the Midcap 150's was 1.44 times it. Since 2021 the multiple has ranged from 1.06 to 1.99 with a median of 1.26. It was lower than that on 801 of 1,345 sessions, about 60%.

So the premium narrowed between March and June and has widened a little since. Mid caps still cost more than usual next to large caps, but less than in March.

What this does not tell you

A P/E below median, near a price record, is not a signal. It says profits have grown faster than the price. It does not say whether either continues.

The members change again soon. NSE reviews the index twice a year, in March and September. A new set of companies brings a new earnings figure, so the next reading may not compare cleanly with this one.

Steps in the earnings line are common here. Three times this year the figure moved by roughly 5% or more in one session: on 30 March, 19 May and 24 July. Read any one month's P/E with that in mind.

It is not your mid-cap fund. Funds pick their own stocks at their own weights.

Where to go from here

For how funds in the category have done, see mid-cap fund returns in August and the mid cap fund rankings. For the large-cap index this month, see the September Nifty 50 P/E post.