The market pays most for the least

Rank these eight by what the market charges for them, then by what they earn on the capital they employ, and the two lists run against each other.

Aether costs 100 times earnings and returns 11.6%. Gujarat Fluorochemicals costs 93 times and returns 9.7% — the lowest return in the sector bar one. The cheapest company on the page, PI Industries at 28 times, earns 15.9%.

Aarti Industries is the sharpest single case: 47 times earnings on a 6.9% return, the weakest of the eight.

Acutaas is the honest exception — 75 times earnings and a 32.3% return, the best in the sector. Dear, and earning it.

Set this beside the first card. The market is paying record multiples for a sector whose profit is below where it stood five years ago.