{"id":20462,"date":"2024-03-01T08:24:17","date_gmt":"2024-03-01T02:54:17","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=20462"},"modified":"2024-03-01T08:24:17","modified_gmt":"2024-03-01T02:54:17","slug":"relationship-between-nifty50-apollo-tyre-ltd","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=20462","title":{"rendered":"Relationship between Nifty50 & APOLLO TYRE Ltd"},"content":{"rendered":"

Title: Relationship between Nifty50 & APOLLO TYRE Ltd<\/span><\/span><\/p>\n

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Introduction:<\/span><\/span><\/p>\n

Apollo Tyres Limited is an Indian multinational tyre manufacturing company headquartered in Gurgaon, Haryana. It was incorporated in 1972, and its first plant was commissioned in Perambra in Chalakudy, Kerala. The company now has five manufacturing units in India, one in the Netherlands and one in Hungary. It has a network of nearly 5,000 dealerships in India, of which over 2,500 are exclusive outlets.<\/span><\/span><\/p>\n

The company generates 69% of its revenues from India, 26% from Europe and 5% from other countries.<\/span><\/span><\/p>\n

Apollo announced its entry into the two-wheeler tyre segment with contract manufacturing in March 2016.<\/span><\/span><\/p>\n

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Objective:<\/span><\/span><\/p>\n

To <\/span><\/span>Calculate<\/span><\/span> beta and its significance.<\/span><\/span><\/p>\n

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Views and Reviews:<\/span><\/span><\/p>\n

Several generations of Indian motorists continue to trust Apollo Tyres for ride quality and comfort. The brand has over 5,000 authorized dealerships, including over 2,500 exclusive Apollo Tyre shops across the country. <\/span><\/span><\/p>\n

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Data Collection:<\/span><\/span><\/p>\n

The historical data was collected from the website of NSE India for the period of 01\/10\/2023 to 30\/09\/2023 of Nifty 50 and APOLLO TYRE Ltd.<\/p>\n

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Data Analysis:<\/span><\/span><\/p>\n

Regression Equation: APOLLO TYRE Ltd=<\/span><\/span> 0.297415-0.08983<\/span><\/span>X<\/span><\/span><\/p>\n

of Observations:4<\/span><\/span>8<\/span><\/span><\/p>\n

R Square (Coefficient of Determination): <\/span><\/span>0.001211<\/span><\/span><\/p>\n

Beta coefficient (\u03b2)<\/span><\/span>:<\/span><\/span> 0.297<\/span><\/span><\/p>\n

F: <\/span><\/span>0.057001<\/span><\/span><\/p>\n

P-value: <\/span><\/span>0.266511<\/span><\/span><\/p>\n

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The above equation shows us the relationship between Stock prices changes of Nifty 50 and APOLLO TYRE Ltd. Where APOLLO TYRE Ltd is dependent variable and Nifty 50 is independent variable. The positive sign shows when Nifty50 has risen APOLLO TYRE Ltd has also risen. If Nifty 50 rises by Rs1, APOLLO TYRE Ltd rises by Rs.37.5904. P-value is<\/span><\/span>:<\/span><\/span>0.266511<\/span><\/span> which means Nifty 50 is not statistically significant at 1% level. R square is<\/span><\/span> 0.001211<\/span><\/span> which means <\/span><\/span>0.12<\/span><\/span>% of the price fluctuations of APOLLO TYRE Ltd are dependent on Nifty50. The remaining 9<\/span><\/span>9.88<\/span><\/span>% of the variability is not explained by the model and is attributed to other factors or random variation. F is<\/span><\/span> 0.057001<\/span><\/span> and p-value is <\/span><\/span>0. 266511.The<\/span><\/span>low p-value suggests that the overall regression model is not statistically significant, and we can accept the null hypothesis that all coefficients are equal to zero. which means overall model is not statistically significant at 1%<\/span><\/span>.<\/span><\/span><\/p>\n

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Conclusion:<\/span><\/span><\/p>\n

As Beta is <\/span><\/span>0.297<\/span><\/span>which is less than 1 the APOLLO TYRE Ltd is good for long-term investment.<\/span><\/span><\/p>\n

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References:<\/span><\/span><\/p>\n

https:\/\/www.nseindia.com\/get-quotes\/equity?symbol=APOLLOTYRE<\/span><\/span><\/p>\n

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Title: Relationship between Nifty50 & APOLLO TYRE Ltd \u00a0 \u00a0 Introduction: Apollo Tyres Limited is an Indian multinational tyre manufacturing company headquartered in Gurgaon, Haryana. It was incorporated in 1972, and its first plant was commissioned in Perambra in Chalakudy, Kerala. The company now has five manufacturing units in India, one in the Netherlands and… Continue reading Relationship between Nifty50 & APOLLO TYRE Ltd<\/span><\/a><\/p>\n","protected":false},"author":139401,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[38],"tags":[],"class_list":["post-20462","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\/20462","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\/139401"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=20462"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/20462\/revisions"}],"predecessor-version":[{"id":20463,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/20462\/revisions\/20463"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=20462"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=20462"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=20462"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}