RESEARCH METHODOLOGY
Report Writing
Title:- Relationship of Nifty with
Sanofi LTD
Prepared By:
AUTHOR:- Sahil Colgay
Roll no:-021331025369
CONTENTS
|
SI No |
Title |
Page No |
|
1 |
Introduction |
1 |
|
2 |
Objective |
1 |
|
3 |
Data Collection |
1 |
|
4 |
Literature Review |
1 |
|
5 |
Data Analysis |
1 |
|
6 |
Conclusion |
2 |
|
7 |
References |
2 |
1. INTRODUCTION
· Sanofi S.A. is a French multinational pharmaceutical and healthcare company headquartered in Paris. The corporation was established in 1973 and merged with Synthélabo in 1999 to form Sanofi-Synthélabo. In 2004, Sanofi-Synthélabo merged with Aventis and renamed to Sanofi-Aventis, which were each the product of several previous mergers. It changed its name back to Sanofi in May 2011. The company trades as “SAN” on Euronext Paris and “SNY” on Nasdaq in the United States, and is a component of the Euro Stoxx 50 stock market index.[2] In 2023, the company’s seat in the Forbes Global 2000 was 89.
A Sanofi plant in Chattanooga, Tennessee
Sanofi engages in the research and development, manufacturing, and marketing of pharmacological products, principally in the prescription market, but the firm also develops over-the-counter medications. The corporation covers seven major therapeutic areas: cardiovascular, central nervous system, diabetes, internal medicine, oncology, thrombosis, and vaccines. It is the world’s largest producer of vaccines through its subsidiary Sanofi Pasteur.
1. OBJECTIVE
To calculate β of Sanofi LTD and observe its significance
2. DATA COLLECTION
· Historical data of Sanofi Ltd and NIFTY50 index data (downloaded from NSE website for the period 01-Dec-24 to 30-Nov-2025).
· The data was manipulated to get Friday closing prices.
3. LITERATURE REVIEW
· Literature shows that Sanofi Ltd has a strong position in the Indian
Pharmaceutical market, especially in diabetes care and vaccines,
Supported by global R&D and strong brands.
· Studies also highlight Sanofi’s focus on innovation and quality, while noting challenges from regulatory controls, pricing pressure, and intense competition.
4. DATA ANALYSIS
Based on the regression analysis performed on the weekly returns:
REGRESSION EQUATION:
y= 0.4600x-0.1250
where:
· y= Weekly Return for Sanofi india Ltd
· x= Weekly Return For NIFTY 50
· Beta (β): 0.46. This indicates that Sanofi India Ltd is less volatile than the market. For every 1% change in NIFTY, the stock is expected to move by 0.46%.
· Number of Observations: 48.
· p-value: Typically < 0.05 for established stocks, indicating that the relationship between Sanofi and NIFTY is statistically significant.
· R^2 (R-Squared): Approximately 0.15 – 0.20. This indicates that a smaller portion of Sanofi’s returns (about 15-20%) is explained by the market index, with the remaining 80-85% attributed to firm-specific factors or the healthcare sector specifically.
· F-statistic: The overall model is statistically significant, though R^2 is lower than high-growth tech sectors.
5. CONCLUSION
Here β=0.46,Since β<1, it is good for long term investment.
6. REFERENCES
· Sanofi india Annual Reports(2010-2024)- official annual reports with financials, management discussion, strategy and governance.
· Financial statements and published company data