{"id":25020,"date":"2026-03-22T20:36:30","date_gmt":"2026-03-22T15:06:30","guid":{"rendered":"http:\/\/www.sachdevajk.in\/?p=25020"},"modified":"2026-03-22T20:36:30","modified_gmt":"2026-03-22T15:06:30","slug":"relationship-between-nifty-50-and-pidilite-industries-ltd","status":"publish","type":"post","link":"http:\/\/www.sachdevajk.in\/?p=25020","title":{"rendered":"Relationship between Nifty 50 and Pidilite Industries Ltd"},"content":{"rendered":"

Relationship between Nifty 50 and Pidilite Industries Ltd<\/strong><\/span><\/p>\n


Author: Parag Katare – 18

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

Introduction:<\/strong>

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

Pidilite Industries Limited is a leading Indian manufacturer of adhesives, sealants, and construction chemicals, widely recognized for its flagship brand Fevicol. Established in 1959, the company has built a strong presence in both domestic and international markets by offering innovative and high-quality products across various segments such as art materials, industrial adhesives, and waterproofing solutions. Headquartered in Mumbai, Pidilite continues to expand its footprint through consistent research and development and a customer-centric approach. This report analyses Pidilite Industries Ltd\u2019s stock performance and its sensitivity to the broader market index (Nifty 50).<\/span><\/p>\n


Objective:<\/strong> To calculate Beta and observe its significance.

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

Literature review:<\/strong>

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

1: Market Sensitivity of FMCG Stocks
(Sharma et al., 2023) this study examines the relationship between FMCG sector stocks and the broader market indices. The findings suggest that FMCG companies generally exhibit lower volatility compared to the overall market, but certain firms show higher sensitivity depending on growth prospects and market conditions.

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

2: Risk-Return Analysis of Consumer Goods Companies
(IJRAR, 2025) this research evaluates selected consumer goods companies listed on NSE and compares their returns with market benchmarks. The study indicates that companies like Pidilite Industries offer stable returns, though their beta values may vary depending on macroeconomic factors and investor sentiment.<\/span><\/p>\n


Data collection:<\/strong>

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

Data for Nifty 50 and Pidilite Industries Ltd was downloaded by nseindia.com for the period 1\/1\/2025 to 31\/12\/2025. Friday closing price for Nifty 50 and Pidilite Industries Ltd were calculated. Weekly returns of Nifty 50 were taken as x and Weekly return of Pidilite Industries Ltd were taken as y. y was regressed on x.<\/span><\/p>\n


Data Analysis:<\/strong>

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

y= -0.15 + 0.85x

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

N<\/span><\/p>\n<\/td>\n

\n

48<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

R square<\/span><\/p>\n<\/td>\n

\n

0.28<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

F<\/span><\/p>\n<\/td>\n

\n

18.32<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

P-value<\/span><\/p>\n<\/td>\n

\n

2.10E-05<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

J stat<\/span><\/p>\n<\/td>\n

\n

4.28<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

B<\/span><\/p>\n<\/td>\n

\n

0.85<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

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

The above Equation shows the relationship between Nifty 50 and Pidilite Industries Ltd. Positive means their Direct relation which means if Nifty 50 stock rises Pidilite Industries Ltd stock rise and vice versa. If Nifty 50 stock increases by 1 unit, the Pidilite Industries Ltd stock increases by 0.85 unit. Number of observations is 48. t-stat for beta 4.28. The P value is 2.10E-05 less than 0.05 meaning Beta is statistically significant at 5% level. No. of observations are 48. R square is 0.28 meaning 28% of Pidilite Industries Returns is explained by Nifty 50 Returns is the error due to the variable not included in model. F is 18.32 and P value of which 2.10E-05 less than 0.05 meaning Beta is statistically significant at 5% level.<\/span><\/p>\n


Conclusion:<\/strong>

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

B<1, Hence invest for long term as it is less volatile than market.

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

References:<\/strong>

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

Sharma, R., Mehta, S., & Jain, P. (2023). Market sensitivity analysis of FMCG sector stocks in India. Journal of Financial Studies, 10(2), 45-58.

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

IJRAR. (2025). A study on the performance evaluation of selected consumer goods stocks listed on the NSE. International Journal of Research and Analytical Reviews, 12(3), pp. 1-4.<\/span><\/p>\n

\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"

Relationship between Nifty 50 and Pidilite Industries Ltd Author: Parag Katare – 18 Introduction: Pidilite Industries Limited is a leading Indian manufacturer of adhesives, sealants, and construction chemicals, widely recognized for its flagship brand Fevicol. Established in 1959, the company has built a strong presence in both domestic and international markets by offering innovative and… Continue reading Relationship between Nifty 50 and Pidilite Industries Ltd<\/span><\/a><\/p>\n","protected":false},"author":140204,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-25020","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\/25020","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\/140204"}],"replies":[{"embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=25020"}],"version-history":[{"count":1,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/25020\/revisions"}],"predecessor-version":[{"id":25021,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=\/wp\/v2\/posts\/25020\/revisions\/25021"}],"wp:attachment":[{"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=25020"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=25020"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.sachdevajk.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=25020"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}