New Delhi, Jan. 25 -- Market corrections usually expose valuation excesses. Stocks that are priced for perfection tend to correct sharply as earnings visibility weakens and risk appetite declines. However, there are always a few companies that hold their ground. Despite trading at high price-to-earnings (P/E) multiples, their stock prices don't fall much even when broader markets turn volatile.

This contrast often creates confusion. On the surface, elevated valuations should make these stocks vulnerable. But markets don't look at valuation in isolation, especially during corrections. Instead, they tend to differentiate between stocks where confidence breaks quickly and those where conviction remains intact.

This is why some high P/E sto...