Title : SUZLON<\/p>\n
Author : Saloni Prasanna Parab<\/p>\n
Introduction : Suzlon Energy’s stock has seen significant volatility over the years. In 2007, the company reached an all-time high of around \u20b9450 per share, driven by the global interest in renewable energy and its aggressive expansion. However, the 2008 financial crisis caused a steep decline, with shares falling to \u20b930-40, worsened by operational challenges. By 2011, Suzlon’s stock remained weak, hovering around \u20b950-60 due to rising debt and inefficiencies. The company’s financial troubles persisted, with its stock dropping to \u20b920-25 in 2015 as it sold a stake in Senvion to manage its debt. In 2020, the pandemic further drove the stock to a low of \u20b92-3, reflecting its continued struggles in a competitive renewable energy market.<\/p>\n
Objective : To find out Beta of Suzlon & it\u2019s significance.<\/p>\n
Data Collection : Data for Nifty50 & Suzlon was downloaded from NSE website, further period 1st<\/sup> April 2023 to 31st<\/sup> March 2024. Data was manipulated to get Friday closing prices & weekly returns were calculated by the Formula : (Yt-1 – Yt)\/Yt*100 Weekly returns of Suzlon was regressed on weekly returns of Nifty50.<\/p>\n Data Analysis : Weekly return of Suzlon = 3.68 + (-3.44)<\/p>\n N = 46, R2 = 0.0036, t stat = (-0.3947), F = 0.1557, P-value = 0.6950<\/p>\n The above equation shows the relationship between Niffty50 & Suzlon. The negative sign before 3.44 means if Nifty raises Suzlon decrease & vice versa. The Coefficient of Nifty50 has t stat = (-0.3947) & the P value of which is 0.6950 meaning Nifty50 is not statistically significant. To increase the prices of Suzlon, R2 is 0.0036 meaning 0.36% of Suzlon prices are explained by Nifty50. 99.9% dependents upon other factors like fundamentals are other factors. F is 0.1557 & the P value of this is 0.6950 meaning it is more than 0.05 meaning the overall\u00a0 model is not statistically significant.<\/p>\n Conclusion :<\/strong><\/p>\n -3.44 coefficient is negative, so avoid this for any investment.<\/p>\n","protected":false},"excerpt":{"rendered":" Title : SUZLON Author : Saloni Prasanna Parab Introduction : Suzlon Energy’s stock has seen significant volatility over the years. In 2007, the company reached an all-time high of around \u20b9450 per share, driven by the global interest in renewable energy and its aggressive expansion. However, the 2008 financial crisis caused a steep decline, with… Continue reading Suzlon<\/span><\/a><\/p>\n","protected":false},"author":139493,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[38],"tags":[],"class_list":["post-21129","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\/21129","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\/139493"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=21129"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21129\/revisions"}],"predecessor-version":[{"id":21130,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21129\/revisions\/21130"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=21129"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=21129"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=21129"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}