What was the 'Nifty 50'

The Nifty 50 was a group of 50 stocks that were most favored by institutional investors in the 1960s and 1970s. Companies in this group were usually characterized by consistent earnings growth and high P/E ratios.

BREAKING DOWN 'Nifty 50'

The nifty-50 stocks got their notoriety in the bull markets of the 1960s and early 1970s. They became known as "one-decision" stocks because investors were told they could buy and hold forever.

Examples of nifty-50 stocks included General Electric, Coca-Cola, and IBM. However, part of this list included companies that have been troubled in the last decade, such as Xerox and Polaroid.

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RELATED FAQS
  1. What is the "Nifty 50"?

    The Nifty 50 was a group of the 50 most popular large cap stocks on the New York Stock Exchange in the 1960s and 1970s. The ... Read Answer >>
  2. How do you compare Dow Jones Industrial Average (DJIA) and Nifty?

    Compare the Dow Jones Industrial Average with the S&P CNX Nifty 50 to see how each represents the broad market in the United ... Read Answer >>
  3. Stocks with high P/E ratios can be overpriced. Is a stock with a lower P/E always ...

    The short answer? No. The long answer? It depends.The price-to-earnings ratio (P/E ratio) is calculated as a stock's current ... Read Answer >>
  4. What does the forward p/e indicate about a company?

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