{"id":23091,"date":"2025-12-19T21:28:28","date_gmt":"2025-12-19T15:58:28","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=23091"},"modified":"2025-12-19T21:28:28","modified_gmt":"2025-12-19T15:58:28","slug":"relationship-of-rainbow-children-medicare-limited","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=23091","title":{"rendered":"Relationship of RAINBOW CHILDREN MEDICARE LIMITED"},"content":{"rendered":"

Title:<\/b> Relationship of RAINBOW CHILDREN MEDICARE LIMITED

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Author:<\/b> Rahul Uttam Debnath<\/p>\n

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

The stock market plays a vital role in the economic development of a country by facilitating capital formation and investment opportunities. Stock performance analysis helps investors understand price behavior, risk, and return. This report analyzes the stock performance of RAINBOW<\/b> using historical closing prices and weekly returns.<\/p>\n

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OBJECTIVES OF THE STUDY<\/u><\/b><\/p>\n

To calculate Beta (\u03b2) of RAINBOW CHILDREN MEDICARE LIMITED and observe it\u2019s significance<\/p>\n

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

Historical data of RAINBOW CHILDREN MEDICARE LIMITED and Nifty50 index data was downloded from NSE website for the period 1122024 to 30112025. The data was manipulated to get Friday closing prices<\/p>\n

Data Analysis<\/u><\/b><\/p>\n

a) Regression Statistics<\/p>\n

\u2022 Multiple R = 0.2436
\u2022 This shows a weak positive correlation between the independent variable (Nifty 50 returns) and the dependent variable (Rainbow Children Medicare Limited returns).<\/p>\n

\u2022 R Square = 0.0593
\u2022 About 5.93% of the variation in the dependent variable is explained by the independent variable.<\/p>\n

\u2022 Adjusted R Square = 0.0389
\u2022 After adjusting for degrees of freedom, the model explains only 3.89% variation, indicating a poor fit.<\/p>\n

\u2022 Standard Error = 3.6454
\u2022 This represents the average prediction error in the regression model.<\/p>\n

\u2022 Observations = 48<\/p>\n

\u2022 F value = 2.9019<\/p>\n

\u2022 Significance F = 0.0952
\u2022 Since the significance value is greater than 0.05, the regression model is not statistically significant, meaning the independent variable does not have a strong impact on the dependent variable.<\/p>\n

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Regression Equation<\/p>\n

\u2022 Y = 0.5273 + 0.4818X<\/p>\n

\u2022 Intercept (0.5273)
\u2022 The intercept is not statistically significant (p > 0.05) and has limited interpretational importance.<\/p>\n

\u2022 X Variable (0.4818)
\u2022 P-value = 0.0952 (> 0.05)
\u2022 This indicates a positive but statistically insignificant relationship.
\u2022 For every 1 unit increase in Nifty 50 returns, the returns of Rainbow Children Medicare Limited increase by approximately 0.48 units.<\/p>\n

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

Rainbow Children Medicare Limited shows a weak positive relationship with the Nifty 50. With a Beta of 0.48, the stock is less volatile than the market. The low R-square (5.93%) and insignificant p-value (0.095) indicate that market movements have little influence, and returns are mainly driven by company-specific factors.<\/p>\n

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\u00a0<\/span>REFERENCES<\/u><\/b><\/p>\n