Relationship of Glenmark Pharmaceuticals With Nifty-50<\/p>\n
Authors: Gaurav Chopade.<\/p>\n
Introduction:<\/p>\n
Glenmark Pharmaceuticals, a key player in India’s pharmaceutical industry, shares an intricate relationship with the Nifty-50 index, reflecting its significance within the stock market ecosystem. As a leading pharmaceutical company, Glenmark’s ahperformance and market movements often influence the sentiment and dynamics of the Nifty-50. Its innovative research, diverse portfolio of medications, and global presence contribute to its impact on the broader market. Understanding Glenmark’s correlation with the Nifty-50 provides valuable insights into both the pharmaceutical sector’s trends and the overall market sentiment.<\/p>\n
Objective: To calculate \u03b2 (Beta) & find its significance.<\/p>\n
Data Collection:<\/p>\n
Data for NIFTY 50 and Glenmark Pharmaceuticals was downloaded from NSE website from period \u201c1\/3\/2023 \u2013 28\/2\/2024\u201d.Friday closing prices were calculated and weekly returns were found out .Weekly returns of Glenmark Pharmaceuticals were regressed on NIFTY 50 .<\/p>\n
Data Analysis:<\/p>\n
EQUATION : Glenmark Pharma = -1.387215364 – 0.227970451* (NIFTY 50) (t-stats=-2.07286)<\/p>\n
N =48 , R-Square = 0.005156127 , f = 0.238411 , p-value = 0.043815<\/p>\n
INTERPRETATION :<\/p>\n
The above equation shows the relationship between Glenmark Pharmaceuticals and Nifty-50. A negative coefficient suggests an inverse relationship between Glenmark Pharma’s performance and the Nifty-50 index and vice versa . If nifty-50 price rises by 1 unit then Glenmark Pharmaceuticals price will decrease 0.227970451 units and vice versa . t-stat for \u2018b\u2019 is given in bracket and the p-value for this is 0.043815 which is less than 0.05 meaning b is statistically significant at 5% level of significance meaning Glenmark\u2019s price does play a significant role for price of Nifty-50. Number of observations are 48, R-square is 0.005156127 meaning that 51% Glenmark Pharmaceuticals price explained by price of nifty -50 ,balance 49% is error due to the variables not taken in the model. F is 0.238411 the p \u2013 value for which 0.043815 which is not more than 0.05 so overall the model is statistically significant.<\/p>\n
Conclusion:\u00a0<\/p>\n
As \u03b2 =0.227970451, is less than 1, therefore company is good for long term investment.<\/p>\n","protected":false},"excerpt":{"rendered":"
Relationship of Glenmark Pharmaceuticals With Nifty-50 Authors: Gaurav Chopade. Introduction: Glenmark Pharmaceuticals, a key player in India’s pharmaceutical industry, shares an intricate relationship with the Nifty-50 index, reflecting its significance within the stock market ecosystem. As a leading pharmaceutical company, Glenmark’s ahperformance and market movements often influence the sentiment and dynamics of the Nifty-50. Its… Continue reading Relationship of Glenmark Pharmaceuticals With Nifty-50<\/span><\/a><\/p>\n","protected":false},"author":139272,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[1788],"class_list":["post-20743","post","type-post","status-publish","format-standard","hentry","category-management","tag-kohinoor-business-school","entry"],"_links":{"self":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/20743","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\/139272"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=20743"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/20743\/revisions"}],"predecessor-version":[{"id":20744,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/20743\/revisions\/20744"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=20743"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=20743"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=20743"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}