Title: Relationship between Nifty 50 and Procter and Gamble Hygiene and HealthCare Ltd.
Author: Pranav Zope
Introduction:
Procter & Gamble Hygiene and Health Care Limited is an Indian subsidiary of Procter & Gamble, operating in the FMCG sector with a strong focus on healthcare and hygiene products. The company primarily markets well-known brands such as Whisper, Vicks, and Old Spice in India. These brands have built strong consumer trust and market leadership in their respective categories. The company is listed on Indian stock exchanges and has a wide distribution network across urban and rural markets. It focuses on improving consumers’ health, hygiene, and overall well-being through high-quality and innovative products.
Objective: To calculate beta and observe its significance.
Literature Review:
1) (Jyoti Sharma, 2026) Procter & Gamble highlights its strong global positioning driven by innovation, brand equity, and efficient supply chain management. Studies emphasize the impact of external factors like economic fluctuations, regulatory pressures, and evolving consumer preferences on its performance. Overall, research suggests that digital transformation and sustainability are critical for maintaining long-term competitive advantage in the FMCG sector.
2) (Minnie Sun and Serena Wang, 2022) demonstrates that modern innovation requires a shift from closed R&D systems to open, collaborative ecosystems, as seen in P&G’s “Connect and Develop” strategy. It further shows that structured innovation processes combined with consumer-centric insights enhance efficiency and long-term competitiveness.
Data Collection:
Data for Nifty 50 and Procter and Gamble Hygiene and HealthCare Ltd. were downloaded from nseindia.com for the period 01-01-2025 to 31-12-2025. The data was manipulated to get Friday closing prices of Nifty 50, and Procter and Gamble Hygiene and HealthCare Ltd. Weekly returns were calculated. Weekly returns of Nifty 50 are named as “x” and Procter and Gamble Hygiene and HealthCare Ltd. are named as “y”. y was a regression on x.
Data Analysis:
y= -0.3089 + 0.3869x
N = 48
R square = 0.09
F = 4.6634
P = 3.61E-02
B = 0.3869
T-stat = 2.1595
The above Equation shows the relationship between NIFTY 50 and Procter and Gamble Hygiene and HealthCare Ltd. Positive means their Direct relation, which means if NIFTY 50 stock rises, Procter and Gamble Hygiene and HealthCare Ltd. stock rises, and vice versa. If NIFTY 50 stock increases by 1 unit, the Procter and Gamble Hygiene and HealthCare Ltd. stock increases by 0.3869 units. The number of observations is 48. T-stat for beta is 2.1595. The P value is 3.61E-02, less than 0.05, meaning Beta is statistically significant at 5% level. R-squared is 0.09, meaning 9% of the stock return is explained by 91% is the error due to the variable not included in the model. F is 4.6634 and P value is 3.61E-02, less than 0.05, meaning Beta is statistically significant at 5% level.
Conclusion: Beta value is less than 1, invest in the company for the long term.
Reference:
1) Sharma, J. (2026). Consultation report of Procter & Gamble. SSRN.
2) Sun, M., & Wang, S. (2022). Case 8: The Procter & Gamble Company – A unique innovation approach. In V. Pandiarajan (Ed.), Business Innovation: A Case Study Approach. Routledge.