{"id":23264,"date":"2025-12-21T01:36:15","date_gmt":"2025-12-20T20:06:15","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=23264"},"modified":"2025-12-21T01:36:15","modified_gmt":"2025-12-20T20:06:15","slug":"relationship-of-nifty-50-with-shipping-corporation-of-india","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=23264","title":{"rendered":"RELATIONSHIP OF NIFTY 50 WITH SHIPPING CORPORATION OF INDIA"},"content":{"rendered":"

TOPIC \u2013 RELATIONSHIP OF NIFTY 50 WITH SHIPPING CORPORATION OF INDIA<\/span><\/u><\/h1>\n

\u00a0<\/span><\/p>\n

AUTHOR \u2013 Satwik Bhand<\/span><\/u><\/b><\/u><\/p>\n

\u00a0<\/span><\/p>\n

Introduction <\/span><\/h2>\n

The Shipping Corporation of India (SCI) is a major public sector enterprise engaged in maritime transport services. The company plays a crucial role in India\u2019s international and coastal trade by operating bulk carriers, tankers, container vessels, and offshore support vessels. Since shipping activity is closely connected with global trade, economic growth, and market conditions, the stock performance of SCI is influenced by broader market movements. Studying the relationship between SCI and the Nifty 50 index helps in understanding the systematic risk associated with SCI shares.<\/span><\/p>\n

Objective<\/span><\/h2>\n

The main objective of this study is to calculate the Beta of Shipping Corporation of India with respect to the Nifty 50 and to examine its statistical significance in order to understand the market-related risk of SCI stock.<\/span><\/p>\n

Literature Review<\/span><\/h2>\n

Existing literature on beta analysis highlights beta as a key indicator of systematic risk. Several studies suggest that companies operating in cyclical and trade-dependent sectors show sensitivity to overall market movements. Beta remains an important tool for investors in assessing how individual stocks respond to changes in the market index.<\/p>\n

Previous research on shipping and logistics firms emphasizes the influence of global trade cycles, freight rates, fuel costs, and economic conditions on stock returns. Companies in the shipping sector tend to show moderate exposure to market movements, reinforcing the relevance of beta analysis for firms like Shipping Corporation of India.<\/span><\/p>\n

Data Collection<\/span><\/h2>\n

Historical data for Shipping Corporation of India and Nifty 50 was collected from www.nseindia.com for the period 01-12-2024 to 30-11-2025. Friday closing prices were considered and weekly returns were calculated. Nifty 50 weekly returns were treated as the independent variable, while Shipping Corporation of India weekly returns were treated as the dependent variable. A simple linear regression model was used for analysis.<\/span><\/p>\n

Data Analysis<\/span><\/h2>\n

The regression equation obtained from the analysis is:<\/p>\n

Shipping Corporation of India (Y) = 0.82 \u00d7 Nifty 50 (X) + 0.05<\/p>\n

The beta coefficient was found to be 0.82, with a t-statistic of 4.12 and a p-value of 0.00009. The R\u00b2 value was 0.29, indicating that 29% of the variation in SCI returns is explained by movements in the Nifty 50. The F-statistic of 16.98 confirms the overall significance of the regression model.<\/span><\/p>\n

Conclusion<\/span><\/h2>\n

The Shipping Corporation of India has a beta of 0.82, which is less than 1, indicating that the stock is less volatile than the overall market. This suggests that SCI is relatively defensive in nature and is suitable for risk-averse investors. The stock may provide stable returns during periods of market uncertainty, making it appropriate for long-term investment strategies.<\/span><\/p>\n

References<\/span><\/h2>\n

Patel, A., & Shah, M. (2018). NIFTY 50 Shariah scrips \u2013 A beta analysis. GAP Bodhitaru: A Global Journal of Humanities, 1(2), 36\u201346.<\/p>\n

Raghuram, G., & Gangwar, R. (2019). Logistics and shipping sector performance in India. International Journal of Logistics Systems and Management, 33(2), 155\u2013170.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

TOPIC \u2013 RELATIONSHIP OF NIFTY 50 WITH SHIPPING CORPORATION OF INDIA \u00a0 AUTHOR \u2013 Satwik Bhand \u00a0 Introduction The Shipping Corporation of India (SCI) is a major public sector enterprise engaged in maritime transport services. The company plays a crucial role in India\u2019s international and coastal trade by operating bulk carriers, tankers, container vessels, and… Continue reading RELATIONSHIP OF NIFTY 50 WITH SHIPPING CORPORATION OF INDIA<\/span><\/a><\/p>\n","protected":false},"author":139979,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-23264","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\/23264","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\/139979"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=23264"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/23264\/revisions"}],"predecessor-version":[{"id":23265,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/23264\/revisions\/23265"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=23264"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=23264"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=23264"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}