{"id":21193,"date":"2024-10-08T10:31:20","date_gmt":"2024-10-08T05:01:20","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=21193"},"modified":"2024-10-08T10:31:30","modified_gmt":"2024-10-08T05:01:30","slug":"regression-relationship-analysis-of-sun-pharmaceutical-industries-ltd-with-nifty-50","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=21193","title":{"rendered":"Regression relationship analysis of Sun Pharmaceutical Industries Ltd. with Nifty 50"},"content":{"rendered":"

Relation analysis of Sun Pharmaceutical <\/span>Industries<\/span> Ltd. <\/span>w<\/span>ith N<\/span>ifty 50<\/span><\/span>.<\/span><\/span>\u00a0<\/span><\/strong><\/em><\/p>\n

Author: Smriti Ahuja\u00a0<\/p>\n

021330024578 F2 ITM B-School Kharghar, Navi Mumbai.<\/strong><\/em><\/p>\n

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

Sun Pharmaceutical Industries Ltd. (Sun Pharma) is the fourth largest specialty generic pharmaceutical company in the world with global revenues of US$ 5.4 billion. Supported by 43 manufacturing facilities, we provide high-quality, affordable medicines, trusted by healthcare professionals and patients, to more than 100 countries across the globe.<\/span><\/p>\n

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

To find out Beta of Sun Pharmaceutical Industries Limited and its significant.<\/span><\/p>\n

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

Data for Nifty 50 and Sun Pharmaceutical Industries Limited was downloaded from NSE https:\/\/www.nseindia.com\/reports-indices-historical-index-site for the period 01-04-2023 to 31-03-2024. Data was manipulated to get Friday closing prices and weekly returns were calculated by the formula ( Y <\/span>t-1<\/span> -Y <\/span>t\u00a0 <\/span>) \/ Y<\/span> t <\/span>*100 weekly returns of Sun Pharmaceutical were regressed on weekly return of Nifty 50.<\/span><\/p>\n

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

Weekly Return of Sun Pharmaceutical Industries Limited\u00a0<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0= <\/span>0.77 + 0.64 W.R of Nifty 50\u00a0<\/span><\/p>\n

\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0T-stat =\u00a0 ( 2.309)<\/span><\/p>\n

N = 48 , R<\/span> 2 <\/span>\u00a0=\u00a0 0.108 , F = 5.33 ,\u00a0 P Value = 0.025.<\/span><\/p>\n

Data Interpretation<\/strong><\/em>:<\/p>\n

Above equation shows the relationship between Nifty 50 and Sun Pharmaceutical Industries Limited . The positive sign before 0.64\u00a0 means if Nifty rises Sun Pharmaceutical Industries Limited will also rise and vice versa.<\/span><\/p>\n

The coefficient of Nifty 50 has T Stat = 2.309 and the P Value of which is 0.025 which is lower than 0.50 means Nifty 50 is statistically significant to increase the prices of Sun Pharmaceutical Industries Limited.\u00a0<\/span><\/p>\n

\u00a0R<\/span>\u00a0 2<\/span> is 0.108 which means 10.8% of Sun Pharmaceuticals Industries Limited prices are explained by Nifty 50 . 89.2% depends upon other factors like fundamentals.<\/span><\/p>\n

F is 5.33 and the P Value of this 0.025\u00a0 meaning it is less than 0.50 means the overall model is statistically significant.<\/span><\/p>\n

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

When the beta is more than 1 then it is advised to invest for the short term as the beta is more volatile.<\/span><\/p>\n

When the Beta is less than 1 but greater than 0 (1>Beta>0) as in the case of our research problem I.e. Sun Pharmaceutical Industries Ltd. it is advised to invest for the long term as the market volatility is less than one.<\/span><\/p>\n

Hence Sun Pharmaceutical Industries Ltd. is good for long term investment.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Relation analysis of Sun Pharmaceutical Industries Ltd. with Nifty 50.\u00a0 Author: Smriti Ahuja\u00a0 021330024578 F2 ITM B-School Kharghar, Navi Mumbai. Introduction: Sun Pharmaceutical Industries Ltd. (Sun Pharma) is the fourth largest specialty generic pharmaceutical company in the world with global revenues of US$ 5.4 billion. Supported by 43 manufacturing facilities, we provide high-quality, affordable medicines,… Continue reading Regression relationship analysis of Sun Pharmaceutical Industries Ltd. with Nifty 50<\/span><\/a><\/p>\n","protected":false},"author":139440,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[38],"tags":[844],"class_list":["post-21193","post","type-post","status-publish","format-standard","hentry","category-finance","tag-mba-finance","entry"],"_links":{"self":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21193","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\/139440"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=21193"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21193\/revisions"}],"predecessor-version":[{"id":21194,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21193\/revisions\/21194"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=21193"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=21193"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=21193"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}