Title:- Relationship of Shoppers Stop Ltd with Nifty 50
Author:- Sejal Thakur
Introduction:
Shoppers Stop is an Indian department store chain, owned by the K Raheja Corp. There are 108 stores across 45 cities in India, with clothing, accessories, handbags, shoes, jewellery, fragrances, cosmetics, health and beauty products, home furnishing, and decor products.
Objective:- To Find out Beta of Shoppers Stop Ltd and its significance.
Data Collection:- NSE and Shoppers Stop Ltd was downloaded from period 01/05/2023 to 30/04/2024 from NSE site. We found Friday weekly closing prices of NSE and Shoppers Stop Ltd. Weekly returns were calculated by the formula (Yt-1 – Yt)/Yt*100 . Weekly Returns of NIFTY is X and Shoppers Stop Ltd is Y
Y is regressed on X.
Data Analysis:- Weekly Return = 0.312+ 0.79 weekly returns of nifty 50, N=48, R2= 0.11, F= 5.50,
P Value=0.03
The above equation shows the relationship between NIFTY 50 Shoppers Stop Ltd positive sign before the coefficient of Nifty 50 tells us that there is a positive relationship if nifty rises 1 unit Adani Ports rises by 0.79 and vice versa.
T Stats(2.34) and P value for which is 0.02 which is less than 0.05 meaning, it is statistically significant. N=48 , R2 =0.11means 11% of Shoppers Stop return are explained by NIFTY 50.
F= 5.50and P value for that is 0.02 is less than 0.05 meaning overall model is statistically significant at 5% level.
Conclusion:- 0.79 < 1 and positive (less than 1) means good for long term investments.