{"id":18523,"date":"2023-08-24T19:55:19","date_gmt":"2023-08-24T14:25:19","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=18523"},"modified":"2023-08-24T19:55:19","modified_gmt":"2023-08-24T14:25:19","slug":"relationship-of-state-bank-of-india-limited-shares-with-nifty-50","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=18523","title":{"rendered":"Relationship of State Bank of India Limited Shares with Nifty 50"},"content":{"rendered":"

Title<\/span><\/u><\/b>: \u201cRelationship of State Bank of India Limited <\/span>Shares with Nifty 50\u201d<\/span><\/b><\/p>\n

Author<\/span><\/u><\/b>: <\/span><\/b>Snehal Kisan Mane. <\/span><\/p>\n

(MMS First year, Roll no. 0222036)<\/span><\/p>\n

\u00a0<\/span>Kohinoor Business School, Kurla.<\/span><\/p>\n

INTRODUCTION<\/span><\/u><\/b><\/p>\n

State Bank of India (SBI) a Fortune 500 company, is an Indian Multinational, Public Sector Banking and Financial services statutory body headquartered in Mumbai. The rich heritage and legacy of over 200 years, accredits SBI as the most trusted Bank by Indians through generations.<\/span><\/p>\n

SBI, the largest Indian Bank with 1\/4th market share, serves over 48\u00a0crore customers through its vast network of over 22,405 branches, 65,627\u00a0ATMs\/ADWMs, 76,089 BC outlets, with an undeterred focus on innovation, and customer centricity, which stems from the core values of the Bank – Service, Transparency, Ethics, Politeness and Sustainability.<\/span><\/p>\n

The Bank has successfully diversified businesses through its various subsidiaries i.e SBI General Insurance, SBI Life Insurance, SBI Mutual Fund, SBI Card, etc. It has spread its presence globally and operates across time zones through 235\u00a0offices in 29 foreign countries.<\/span><\/p>\n

Growing with times, SBI continues to redefine banking in India, as it aims to offer responsible and sustainable Banking solutions.<\/span><\/p>\n

OBJECTIVE<\/span><\/u><\/b><\/p>\n

Calculate BETA State <\/span>Bank of India and observe its significance.<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

VIEWS & REVIEWS<\/span><\/u><\/b><\/p>\n

Dinesh Kumar Khara Chairman<\/span><\/p>\n

\u00a0<\/span><\/span>Dear Shareholders, it gives me immense pleasure to place before you the highlights of your Bank’s performance during FY2023. Details of the achievements and initiatives taken by your Bank are provided in the Annual Report for FY2023.<\/span><\/p>\n

ECONOMIC OVERVIEW The past year has been another turbulent year with the global economy marred by profound shocks and unprecedented uncertainty. The global economic growth has moderated amidst the prolonged Russia-Ukraine war, even though the effect of the pandemic has receded. Food and energy price shocks affected the general prices, with wage price spiral leading to elevated inflation across countries<\/span><\/p>\n

Shri Challa Sreenivasulu Setty Managing Director<\/span> <\/b><\/p>\n

Against this backdrop of global uncertainties, Indian economy has remained resilient with robust agriculture and services sector. Meanwhile, on the external front, exports of goods and services reached new heights supported by strong demand of Indian services. India\u2019s GDP in FY2023 grew at 7.2%, driven by buoyant investment and private consumption. Looking ahead, real GDP growth is projected at 6.5% in FY2024 (RBI), with economic activity backed by improving rural demand, the Government\u2019s thrust on infrastructure spending, revival in corporate investment, healthy bank credit, and moderating commodity prices<\/span><\/p>\n

DATA COLLECTION <\/span><\/u><\/b><\/p>\n

The data for this period has been download on NSE India site and weekly closing prices were found out. Weekly returns of Nifty 50 and weekly returns of State <\/span>Bank of India were calculated Nifty 50 returns were taken as X and equity returns Y (Y was regressed on X)<\/span><\/span><\/p>\n

\u00a0<\/span><\/p>\n

DATA ANALYSIS<\/span><\/u><\/b><\/p>\n

Equation \u201cY= <\/span>0.253675548<\/span>– <\/span>1.59007394<\/span>(X)\u201d<\/span> (t-stat) =<\/span>7.7476<\/span><\/p>\n

\u00a0n = 50, \u00a0<\/span>R Square =<\/span>0.5555<\/span><\/p>\n

F = <\/span>60.0070<\/span><\/p>\n

The above equation shows the relationship between the closing price of Nifty 50 (x) and the closing price of State bank of India (Y) the negative sign means a negative relationship meaning if \u201cx\u201d rises \u201cy\u201d falls and vice versa. If \u201cx\u201d rises by 1 unit, \u201cy\u201d Rise by <\/span>1.59007394<\/span>, \u201cn\u201d means there are 50 observations, and figures in brackets are t-stat for \u201cb\u201d, so \u201cb\u201d is not as Calculated t-stat for b i.e. <\/span>7.746419328<\/span>is higher than tabulated t(t0.5,49DF=1.677) so reject H0 and accept H1. R2 is <\/span>0.555584411<\/span> means 55.55% of y is explained by x 44.45%. As the calculated value of F =<\/span>60.0070124 <\/span>is more than the tabulated F (F 0.05, 1DF, 49DF) = 4.038, the overall model is statistically significant at the 5% level.<\/span><\/p>\n

So overall the model is statistically significant at the 5% level.<\/span><\/p>\n

\u00a0<\/span><\/p>\n

\u00a0<\/span><\/p>\n

CONCLUSION<\/span><\/u><\/b><\/p>\n

As Beta is <\/span>1.59007394<\/span><\/p>\n

Which is more than 1 So, this share is good for short term. B>1<\/span><\/p>\n

\u00a0<\/span><\/p>\n

\u00a0<\/span><\/span><\/u><\/b><\/p>\n

\u00a0<\/span><\/p>\n

\u00a0<\/span><\/p>\n

\u00a0<\/span><\/p>\n

\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Title: \u201cRelationship of State Bank of India Limited Shares with Nifty 50\u201d Author: Snehal Kisan Mane. (MMS First year, Roll no. 0222036) \u00a0Kohinoor Business School, Kurla. INTRODUCTION State Bank of India (SBI) a Fortune 500 company, is an Indian Multinational, Public Sector Banking and Financial services statutory body headquartered in Mumbai. The rich heritage and… Continue reading Relationship of State Bank of India Limited Shares with Nifty 50<\/span><\/a><\/p>\n","protected":false},"author":138864,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[46],"tags":[],"class_list":["post-18523","post","type-post","status-publish","format-standard","hentry","category-investing","entry"],"_links":{"self":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/18523","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\/138864"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=18523"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/18523\/revisions"}],"predecessor-version":[{"id":18524,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/18523\/revisions\/18524"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=18523"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=18523"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=18523"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}