Calculation of the Nifty and Dabur India
\nAuthor: Dhyey Rupabheda<\/p>\n
Introduction:<\/p>\n
Dabur ltd is an Indian multinational consumer goods company, founded by S. K. Burman and headquartered in Ghaziabad. It manufactures Ayurveda medicine and natural consumer products and is one of the most significant fast moving consumer goods (FMCG) companies in India. Dabur derives around 60% of its revenue from the consumer care business, 11% from the food business, and remaining from the international business unit. <\/p>\n
Objective:<\/p>\n
To calculate the beta of Dabur Industries and its significance<\/p>\n
Data Collection:<\/p>\n
Data of Dabur Industries from 01-01-2022 to 31-12-2022 was downloaded from the NSE website.
\n\u2022\tFriday\u2019s weekly closing prices have been found out.
\n\u2022\tWeekly Return have been calculated with the formula of
\n(Y2-Y1)\/Y1*100
\n\u2022\tThe Weekly Return of Equity has been regressed on the Weekly Return of Nifty<\/p>\n
Data Analysis:<\/p>\n
Weekly Return of Dabur Industries = 490.25+0.034<\/p>\n
Weekly Return of Nifty
\n\u2022\tt-stat = 1.632516
\n\u2022\tR2 = 0.01089
\n\u2022\tF = 2.665109
\n\u2022\tN = 245<\/p>\n
The above equation tells us about the relationship between the Weekly Return of Dabur Industries & Weekly Return of Nifty 50. <\/p>\n
\u2022\tThe number of Observations is 245 and the t-stat is 1.632516
\n\u2022\tThe p-value is .4.39, which is more than 0.05, which means that b is statistically insignificant at 5%. Even if it is more than 0.01, b is statistically insignificant at 1%.
\n\u2022\tR2 is 0.01089, which means that X (nifty) explains 1.089% of Y, and the balance of 27.80% is an error. Error is due to the variables, which are not in the model.
\n\u2022\tF is 2.6651, the P value for which is .4.39> 0.01, which means overall the model is statistically significant.<\/p>\n
Conclusion:<\/p>\n
Since b = 0.22894676 is less than 1, it is statistically insignificant.
\nDabur Industries is not a good option for investment because for every increase in nifty, there will be a decrease in the equity of Dabur Industries.<\/p>\n","protected":false},"excerpt":{"rendered":"
Calculation of the Nifty and Dabur India Author: Dhyey Rupabheda Introduction: Dabur ltd is an Indian multinational consumer goods company, founded by S. K. Burman and headquartered in Ghaziabad. It manufactures Ayurveda medicine and natural consumer products and is one of the most significant fast moving consumer goods (FMCG) companies in India. Dabur derives around… Continue reading Dabur india<\/span><\/a><\/p>\n","protected":false},"author":109593,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[38],"tags":[],"class_list":["post-17050","post","type-post","status-publish","format-standard","hentry","category-finance","entry"],"_links":{"self":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/17050","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/users\/109593"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=17050"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/17050\/revisions"}],"predecessor-version":[{"id":17064,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/17050\/revisions\/17064"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=17050"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=17050"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=17050"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}