{"id":21411,"date":"2024-10-10T07:10:53","date_gmt":"2024-10-10T01:40:53","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=21411"},"modified":"2024-10-10T07:10:53","modified_gmt":"2024-10-10T01:40:53","slug":"relationship-of-poonawalla-fincorp-ltd-with-nifty-50","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=21411","title":{"rendered":"Relationship of Poonawalla Fincorp Ltd. with Nifty 50"},"content":{"rendered":"<p><strong>Title<\/strong>: Relationship of Poonawalla Fincorp Ltd. with Nifty 50<\/p>\n<p>\u00a0<\/p>\n<p><strong>Author<\/strong>: Pravin Phulware<\/p>\n<p><strong>\u00a0<\/strong><\/p>\n<p><strong>Introduction<\/strong>: Poonawalla Fincorp is a leading non-banking financial company (NBFC) in India, providing a wide range of financial services including personal loans, business loans, and housing finance. The company focuses on delivering tech-driven and customer-centric financial solutions. The total number of equity shares is 76,65,74,817 with a face value of \u20b92 each. The symbol of the Poonawalla Fincorp share is POONAWALLA.<\/p>\n<p><strong>\u00a0<\/strong><\/p>\n<p><strong>Objective<\/strong>: To find out Beta of Poonawalla Fincorp and its significance.<\/p>\n<p><strong>\u00a0<\/strong><\/p>\n<p><strong>Data Collection: <\/strong>Data of Poonawalla Fincorp and Nifty 50 was downloaded from 01\/05\/23 to 30\/04\/24 taken from NSE, then data is manipulated to get Friday closing prices.<\/p>\n<p>Weekly returns of Nifty 50 were taken as X and weekly return of Poonawalla Fincorp is taken as Y, then weekly returns of both were calculated, Weekly return of Poonawalla Fincorp was regressed on weekly returns of Nifty 50.<\/p>\n<p><strong>Data Analysis: <\/strong><\/p>\n<p>Weekly return of Poonawalla Fincorp = (-0.86) + (0.28) weekly return of Nifty 50<\/p>\n<p>\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\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0(0.59)<\/p>\n<p>\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 N = 48, R square = 0.007, F = 0.35, P value = 0.55\u00a0\u00a0<\/p>\n<p><strong>\u00a0<\/strong><\/p>\n<p><strong>Interpretation<\/strong>: The above equation depicts the relationship between weekly returns of JU Poonawalla Fincorp and weekly returns of Nifty 50.<\/p>\n<p>The plus sign before the coefficient of Nifty 50 tells that if Nifty rises your competition will also rise &amp; vice versa, If Nifty rises by one-unit Poonawalla Fincorp will rise by 0.90-unit, figure in the bracket is T stat for beta.<\/p>\n<p>The p value for which 0.55 which is more than 0.05 meaning beta is statistically not significant at 5% level.<\/p>\n<p>R square is 0.007 meaning 0.7% of company\u2019s return are explained by Nifty 50 the balance 33% may be due to fundamentals.<\/p>\n<p>F is 0.35 &amp; P value is 0.55 meaning overall model is statistically insignificant.\u00a0\u00a0\u00a0\u00a0<\/p>\n<p><strong>\u00a0<\/strong><\/p>\n<p><strong>Conclusion<\/strong>: As beta is 0.28 meaning the value is less than 1, hence invest for long term.\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<\/p>\n<p><strong>\u00a0<\/strong><\/p>\n<p><strong>\u00a0<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Title: Relationship of Poonawalla Fincorp Ltd. with Nifty 50 \u00a0 Author: Pravin Phulware \u00a0 Introduction: Poonawalla Fincorp is a leading non-banking financial company (NBFC) in India, providing a wide range of financial services including personal loans, business loans, and housing finance. The company focuses on delivering tech-driven and customer-centric financial solutions. The total number of&hellip; <a class=\"more-link\" href=\"http:\/\/www.sachdevajk.in\/?p=21411\">Continue reading <span class=\"screen-reader-text\">Relationship of Poonawalla Fincorp Ltd. with Nifty 50<\/span><\/a><\/p>\n","protected":false},"author":139449,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[],"class_list":["post-21411","post","type-post","status-publish","format-standard","hentry","category-management","entry"],"_links":{"self":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21411","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\/139449"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=21411"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21411\/revisions"}],"predecessor-version":[{"id":21412,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/21411\/revisions\/21412"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=21411"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=21411"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=21411"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}