{"id":21321,"date":"2024-10-10T07:11:24","date_gmt":"2024-10-10T01:41:24","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=21321"},"modified":"2024-10-10T07:11:24","modified_gmt":"2024-10-10T01:41:24","slug":"relationship-of-tcs-with-nifty-50","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=21321","title":{"rendered":"Relationship of TCS with Nifty 50"},"content":{"rendered":"

TITLE- RELATIONSHIP OF TCS WITH NIFTY 50<\/strong><\/p>\n

Author-TEJAS WAGHMARE<\/strong><\/p>\n

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INTRODUCTION<\/u><\/strong><\/p>\n

Tata Consultancy Services (TCS) is one of the largest IT services companies in the world, headquartered in Mumbai, India. A subsidiary of the Tata Group, TCS provides a range of services including IT consulting, business solutions, and outsourcing. It operates in more than 46 countries.<\/p>\n

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Key Metrics<\/u><\/strong><\/p>\n\n\n\n\n\n\n\n
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Revenue: $27.9 billion<\/strong><\/p>\n<\/td>\n<\/tr>\n

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\u00a0Net Profit: $5.15 billion<\/strong><\/p>\n<\/td>\n<\/tr>\n

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Market Capitalization: Over $180 billion<\/strong><\/p>\n<\/td>\n<\/tr>\n

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Employee Strength: 614,000+ employees<\/strong><\/p>\n<\/td>\n<\/tr>\n

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Operating Margin: ~25%<\/strong><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

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OBJECTIVE<\/u><\/strong><\/p>\n

To find out the beta of TCS and its significance<\/p>\n

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DATA COLLECTION<\/u><\/strong><\/p>\n

Data for Nifty 50 and TCS Ltd was downloaded from NSE India for the Current year i.e. 1-4-23 to 31-3-24<\/p>\n

Data was manipulated to get Friday closing prices and weekly returns were calculated by the formula (Yt-1 \u2013 Yt)\/Yt *100<\/p>\n

The weekly return of TCS was regressed on the weekly return of Nifty 50<\/p>\n

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DATA ANALYSIS<\/u><\/strong><\/p>\n

Weekly return of TCS = -0.037+ 0.805<\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 2.73(T- Stat Weekly return of Nifty 50)<\/p>\n

N=46, R Square= 0.14, F= 7.48, P-Value=0.92<\/p>\n

The above Equation shows the relationship between Nifty 50 and TCS,<\/p>\n

The positive sign means that if Nifty 50 rises, TCS Ltd will also rise. The coefficient of Nifty 50 has the T-Stat = 2.73 and P-value= 0.92, it is more than 0.05 which means Nifty 50 is not statistically significant to increase prices of TCS.<\/p>\n

R-Square= 0.14, meaning .14% of TCS share prices are explained by Nifty 50, 99.95% depends upon other factors like fundamentals.<\/p>\n

F= 7.48 and P-value= 0.92 meaning it is more than 0.05 meaning the overall model is not statistically significant<\/p>\n

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Conclusion<\/u><\/strong><\/p>\n

Weekly co-efficient= 0.8 less than 1 but positive, which means it is good for long-term investment.<\/p>\n

If this value is more than 1 and positive, it is good for short-term investment if the Nifty 50 is low.<\/p>\n

If it is negative, then it is not good to invest in the given stock<\/p>\n

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Roll no-021330124022<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

TITLE- RELATIONSHIP OF TCS WITH NIFTY 50 Author-TEJAS WAGHMARE \u00a0 INTRODUCTION Tata Consultancy Services (TCS) is one of the largest IT services companies in the world, headquartered in Mumbai, India. A subsidiary of the Tata Group, TCS provides a range of services including IT consulting, business solutions, and outsourcing. It operates in more than 46… Continue reading Relationship of TCS with Nifty 50<\/span><\/a><\/p>\n","protected":false},"author":139446,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-21321","post","type-post","status-publish","format-standard","hentry","category-uncategorized","entry"],"_links":{"self":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21321","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\/139446"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=21321"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21321\/revisions"}],"predecessor-version":[{"id":21322,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21321\/revisions\/21322"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=21321"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=21321"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=21321"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}