Relationship of Nifty 50 with Oberoi Realty ltd
By Omkar Madgude
About Oberoi Realty ltd
Enriching, uplifting and inspiring your everyday life with our passionate designs, for over 40 years. At Oberoi Realty, we have mastered the art of creating impeccable standards of lifestyle, sustainably. The future of luxury living is now.
Objectives of this study
To calculate the beta of Oberoi Realty ltd and observe its significance.
Data Collection
The historical data of Oberoi Realty Ltd and nifty 50 index data was downloaded from the website from the period 1/12/24 to 30/11/25. The data was manipulated to get Friday closing prices.
Data Analysis
The intercept = a = 8.2903
Co-effecient = -bx = -0.000314
a + bx = 8.2903-0.000314bx
The above equation tells us the relationship between nifty 50 and equity of Oberoi Realty Ltd, negative sign means if equity of Oberoi Realty Ltd rises, demand will fall and vice versa. If the equity rises by 1 unit, the nifty 50 will fall by 0.000314 units.
t-stat for beta is -0.4345, p value of which is 66.59 is more than 6.659, rather beta is not statistically significant at 1% level. R2 is 0.00408 which means 0.408% of the Oberoi Realty Ltd is explained by nifty 50. F is 0.1888 and the p value is 0.6659, the overall model is statistically significant.
No of observations = 48
R2 = 0.00408
F – value = 0.1888
P value Significance = 0.66592907
Reference
Shreyans Mehta, Jainam Shah September 9,2021
Conclusion
Since beta of Oberoi Realty Ltd is = -0.000314, it indicates that it is more volatile than the nifty 50 market returns, hence it is not suitable for long term investment.