ABSTRACT

The project entitled equity analysis two different Indian industries is basically useful for
the investors who invest in the stocks in share market. Findings of this study help on
investors to evaluate a particular companys performance in the industry and its share in
movement in the market by using simple techniques.
The analysis is done because the security prices in an effective capital
market fully reflect their investment value as the market as the capability to intanteously
impound the give set of information in to pricing process.
The empirical findings would be useful to investors as it provides
evidence of time varyin nature of the stock market volatility. Investors aim at making
mare profitable and less risky investments. Therefore, the need of study and analyze stock
market, among many

other factors before making investments decisions, but is

impossible to consistently make abnorms returns using trading strategy based on a given
set of information when the markets are efficient.
Thus this study of equity analysis will be an effective guide for investors
of stocks for the profitable investment returns.

CONTENTS
Page Number

Chapter 1

INTRODUCTION

1.1 Introduction to the study

Chapter 2

1.2 Need for the study

1.3 Objectives of the study

1.4 Sources of the data

1.5 Scope of the study

1.6 Limitations of the study

PROFILES
2.1 Industry profile

2.2 Company profile

10

Chapter 3

Theoretical Review

19

Chapter 4

Data Analysis & Interpretation

37

Chapter 5

Findings, Suggestions & Conclusion

70

Bibliography

CHAPTER 1
INTRODUCTION

1.1 Introduction of the study

The stock market has been a part of people's lives throughout the
twentieth century. Millions of people around the world have money
invested in their countries own respective markets. Since the coming of
age of online trading, more people have been investing their money in
stocks than ever before because of the advantages it offers. Online trading
allows people to trade stocks quickly without the help of a broker, letting
the investors have more control over their transactions. The competition
between

companies

has

helped

decrease

the

cost

of

making

the

transactions. In addition to that, ordinary people now have access to

information that could only be seen by broke`. Overall, online trading
saves time, money and gives power to the investor rather than the broker.
The securities can invest in shares, government securities, Derivative
products, commodities
In financial markets, stock is the capital raised by a corporation through
the issuance and distribution of shares. A person or organization which
holds shares of stocks is called a shareholder. The aggregate value of a
corporation's issued shares is its market capitalization. When one buys a
share of a company he becomes a shareholder in that company. Shares are
also known as Equities. Equities have the potential to increase in value
over time. It also provides the portfolio with the growth necessary to
reach the long-term investment goals. Research studies have proved that
the equities have outperformed than most other forms of investments in
the long term. Equities are considered the most challenging and the
rewarding, when compared to other investment options. Research studies
have proved that investments in some shares with a longer tenure of

investment have yielded far superior returns than any other investment.
However, this does not mean all equity investments would guarantee
similar high returns. Equities are high-risk investments. One needs to
study them carefully before investing. Since 1990 till date, Indian stock
market has returned about 17% to investors on an average in terms of
increase in share prices or capital appreciation annually. Besides that on
average stocks have paid 1.5 % dividend annually. Dividend is a
percentage of the face value of a share that a company returns to its
shareholders from its annual profits. Compared to most other forms of
investments, investing in equity shares offers the highest rate of return, if
invested over a longer duration. The first company to issue shares of stock
was the Dutch East India Company, in 1602. The innovation of joint
ownership made a great deal of Europe's economic growth possible
following the Middle Ages.

STRUCTURE OF THE CAPITAL MARKET

1.2 Need for the study:

The need of the study is to describe the techniques and planning in
present investment environment. Apart from this, the objective of this
study is to keenly understand issues, examines all the essential analysis
and techniques as to how to apply them successfully. It incorporates
sections on fundamental analysis in the contexts of various companies in
the stock markets.
The purpose of the study is to supply, inform suitable guidance to
retail investors. For the purpose of study the volatility in the banking
industries stock prices for certain period are considered. For this study the
data collected are return and risk of investing an industrial stock. Equity
analysis and market price of shares of INFOSYS, TCS, WIPRO, HDFC
BANK, ICICI BANK, AXIS BANK are considered for the study.

1.3 Objectives of the study:

To understand what Equity markets are.

To understand the performance of few Indian industry sectors viz. Software &
Banking.

To understand the performance of SIX Indian companies of the above two sectors.

To evaluate the investment prospects of these companies.

1.4 Sources of the data:

Most of the data for the study had been dependent on secondary source
which had been collected from the following:

Newspapers

Books

Internet

BSE

NSE

1.5 Scope of the Study:

This study cover introduction to capital market and trading to serve as basic
material for capital market operations. However basic fundamentals have been brought
out which can be also helpful for the study in large scale studies.

1.6 Limitations:

Duration of the project is only 45 days, so not possible to evaluate

other sector performance also.

There is a time frame for every company, like not taken historical
daily records into consideration.

Analysis based on only correlation to one sector stocks to other

stocks and shown impact of financial results impact only and not
applied any research.

The information which I am going to mention is completely

secondary data.

CHAPTER 2
INDUSTRY PROFILES

2.1 INDUSTRY PROFILE

NATIONAL STOCK EXCHANGE

The National Stock Exchange of India (NSE) situated in Mumbai - is the largest
and most advanced exchange with 1016 companies listed and 726 trading members.
Capital market reforms in India and the launch of the Securities and Exchange Board of
India (SEBI) accelerated the incorporation of the second Indian stock exchange called the
National Stock Exchange (NSE) in 1992. After a few years of operations, the NSE has
become the largest stock exchange in India.
Three segments of the NSE trading platform were established one after another. The
Wholesale Debt Market (WDM) commenced operations in June 1994 and the Capital
Market (CM) segment was opened at the end of 1994. Finally, the Futures and Options

segment began operating in 2000. Today the NSE takes the 14th position in the top 40
futures exchanges in the world.
In 1996, the National Stock Exchange of India launched S&P CNX Nifty and CNX
Junior Indices that make up 100 most liquid stocks in India. CNX Nifty is a diversified
index of 50 stocks from 25 different economy sectors. The Indices are owned and
managed by India Index Services and Products Ltd (IISL) that has a consulting and
licensing agreement with Standard & Poor's.
In 1998, the National Stock Exchange of India launched its web-site and was the first
exchange in India that started trading stock on the Internet in 2000. The NSE has also
proved its leadership in the Indian financial market by gaining many awards such as 'Best
IT Usage Award' by Computer Society in India (in 1996 and 1997) and CHIP Web Award
by CHIP magazine (1999).
The NSE is owned by the group of leading financial institutions such as Indian Bank or
Life Insurance Corporation of India. However, in the totally de-mutualised Exchange, the
ownership as well as the management does not have a right to trade on the Exchange.
Only qualified traders can be involved in the securities trading.
The NSE is one of the few exchanges in the world trading all types of securities on a
single platform, which is divided into three segments: Wholesale Debt Market (WDM),
Capital Market (CM), and Futures & Options (F&O) Market.
Each segment has experienced a significant growth throughout a few years of their
launch. While the WDM segment has accumulated the annual growth of over 36% since
its opening in 1994, the CM segment has increased by even 61% during the same period.
The National Stock Exchange of India has stringent requirements and criteria for the
companies listed on the Exchange. Minimum capital requirements, project appraisal, and
company's track record are just a few of the criteria. In addition, listed companies pay
variable listing fees based on their corporate capital size.

The National Stock Exchange of India Ltd. provides its clients with a single, fully
electronic trading platform that is operated through a VSAT network. Unlike most world
exchanges, the NSE uses the satellite communication system that connects traders from
345 Indian cities. The advanced technologies enable up to 6 million trades to be operated
daily on the NSE trading platform.
NSE Nifty:
The S&P CNX Nifty (nicknamed Nifty 50 or simply Nifty), is the leading index for large
companies on the National Stock Exchange of India. S&P CNX Nifty is a well diversified
50 stock index accounting for 22 sectors of the economy. It is used for a variety of
purposes such as benchmarking fund portfolios, index based derivatives and index funds.
Nifty was developed by the economists Ajay Shah and Susan Thomas, then at IGIDR.
Later on, it came to be owned and managed by India Index Services and Products Ltd.
(IISL), which is a joint venture between NSE and CRISIL. IISL is India's first specialised
company focused upon the index as a core product. IISL have a consulting and licensing
agreement with Standard & Poor's (S&P), who are world leaders in index services.
CNX stands for CRISIL NSE Indices. CNX ensures common branding of indices, to
reflect the identities of both the promoters, i.e. NSE and CRISIL. Thus, 'C' stands for
CRISIL, 'N' stands for NSE and X stands for Exchange or Index. The S&P prefix belongs
to the US-based Standard & Poor's Financial Information Services.
NSE other indices:
S&P CNX Nifty
CNX Nifty Junior
CNX 100
S&P CNX 500
CNX Midcap
S&P CNX Defty
CNX Midcap 200

BOMBAY STOCK EXCHANGE:

The Bombay Stock Exchange Limited (formerly, The Stock Exchange, Mumbai;
popularly called The Bombay Stock Exchange, or BSE) is the oldest stock exchange in
Asia. It is located at Dalal Street, Mumbai, India.
Bombay Stock Exchange was established in 1875. There are around 5,600 Indian
companies listed with the stock exchange, and has a significant trading volume. As of
October2006, the market capitalization of the BSE was about Rs. 33.4 trillion (US $ 730
billion). The BSE SENSEX (Sensitive index), also called the BSE 30, is a widely used
market index in India and Asia. As of 2005, it is among the 5 biggest stock exchanges in
the world in terms of transactions volume.
History:
An informal group of 22 stockbrokers began trading under a banyan tree opposite the
Town Hall of Bombay from the mid-1850s, 1875, was formally organized as the Bombay
Stock Exchange (BSE).In January 1899, the stock exchange moved into the Brokers Hall
after it was inaugurated by James M MacLean. After the First World War, the BSE was
shifted to an old building near the Town Hall. In 1956, the Government of India
recognized the Bombay Stock Exchange as the first stock exchange in the country under
the Securities Contracts (Regulation) Act.1995, when it was replaced by an electronic
(eTrading) system named BOLT, or the BSE Online Trading system. In 2005, the status
of the exchange changed from an Association of Persons (AoP) to a full fledged
corporation under the BSE (Corporatization and Demutualization) Scheme, 2005 (and its
name was changed to The Bombay Stock Exchange Limited).
BSE Sensex:

The BSE SENSEX (also known as the BSE 30) is a value-weighted index composed of
30 scrips, with the base April 1979 = 100. The set of companies which make up the index
has been changed only a few times in the last 20 years. These companies account for
around one-fifth of the market capitalization of the BSE.
SENSEX, first compiled in 1986 was calculated on a "Market Capitalization-Weighted"
methodology of 30 component stocks representing a sample of large, well-established
and financially sound companies. The base year of SENSEX is 1978-79. The index is
widely reported in both domestic and international markets through print as well as
electronic media. SENSEX is not only scientifically designed but also based on globally
accepted construction and review methodology. From September 2003, the SENSEX is
calculated on a free-float market capitalization methodology. The "free-float Market
Capitalization-Weighted" methodology is a widely followed index construction
methodology on which majority of global equity benchmarks are based.
The growth of equity markets in India has been phenomenal in the decade gone by. Right
from early nineties the stock market witnessed heightened activity in terms of various
bull and bear runs. More recently, the bourses in India witnessed a similar frenzy in the
'TMT' sectors. The SENSEX captured all these happenings in the most judicial manner.
One can identify the booms and bust of the Indian equity market through SENSEX.
The values of all BSE indices are updated every 15 seconds during the market hours and
displayed through the BOLT system, BSE website and news wire agencies.
SENSEX calculation:
SENSEX is calculated using a "Market Capitalization-Weighted" methodology.
As per this methodology, the level of index at any point of time reflects the total market
value of 30 component stocks relative to a base period. (The market capitalization of a
company is determined by multiplying the price of its stock by the number of shares
issued by the company). An index of a set of combined variables (such as price and
number of shares) is commonly referred as a 'Composite Index' by statisticians. A single
indexed number is used to represent the results of this calculation in order to make the

value easier to work with and track over time. It is much easier to graph a chart based on
indexed values than one based on actual values.
The base period of SENSEX is 1978-79. The actual total market value of the
stocks in the Index during the base period has been set equal to an indexed value of 100.
This is often indicated by the notation 1978-79=100. The formula used to calculate the
Index is fairly straightforward. However, the calculation of the adjustments to the Index
(commonly called Index maintenance) is more complex.
The calculation of SENSEX involves dividing the total market capitalization of 30
companies in the Index by a number called the Index Divisor. The Divisor is the only link
to the original base period value of the SENSEX. It keeps the Index comparable over
time and is the adjustment point for all Index maintenance adjustments. During market
hours, prices of the index scrips, at which latest trades are executed, are used by the
trading system to calculate SENSEX every 15 seconds and disseminated in real
time.During market hours, prices of the index scrips, at which trades are executed, are
automatically used by the trading computer to calculate the SENSEX every 15 seconds
and continuously updated on all trading workstations connected to the BSE trading
computer in real time.
BSE - other Indices:
Apart from BSE SENSEX, which is the most popular stock index in India, BSE uses
other stock indices as well:
BSE 500
BSE PSU
BSE MIDCAP
BSE SMLCAP
BSE BANKEX

COMPANY PROFILE

COMPANY PROFILE
L&T Finance is one of the leading NBFCs in the country and offers a wide
spectrum of financial products and services for trade, industry and agriculture.
Overview
L&T Finance Limited (LTF) is a subsidiary of Larsen and Toubro. It was
incorporated as a Non Banking Finance Company in November 1994. Through
LTF, L&T aims at making a strong foray in the ever-expanding financial services
sector.
As a business philosophy, we fund income generating assets/activities while
maintaining a clear focus on returns.
LTF offers a spectrum of financial products and services for trade, industry and
agriculture. The company's focus segments are corporate products, construction
equipment, CVs and tractors. Despite the turbulence in the financial services
markets over the past few years, L&T Finance has adapted well to the changing
market dynamics to remain consistently profitable.
Like the rest of the companies in L&T group, LTF is also professionally managed.
LTF shares the professional values and ethos of its parent company, and has
acquired and maintained a reputation for reliability, transparency of operations
and absolute integrity. A steady growth rate validates the trust that industry has
reposed in the company.
Mission :
Our Aim : To be a strategic business partner and a solution provider.
Our Purpose : To nurture human capital and develop leadership for professional
excellence through meritocracy and continuous learning environment.
Our values : Customer orientation, teamwork, trust and transparency.

Vision :
"To be a dominant player in financial services, committed to constant innovation
and sustained customer service to enhance shareholder's wealth. LTF will foster
trust, uphold integrity and radiate positive energy."
About L&T Group
Larsen & Toubro Ltd is a USD 9.8 billion technology, engineering and
construction group with operations spread across the globe. It was ranked as
14th by the Economic Times in their survey of the Top 500 Companies in India.
Another feather in its cap was added when L&T was ranked 47th in the world in
the June 2009 issue of Forbes-Reputation Institutes Worlds Most Reputable
Companies survey. In this survey, L&T was the only engineering and
construction company in the world to have made it to the top 200.
Having established its foothold in engineering and construction, electrical and
electronics, industrial products and information technology, L&T forayed into the
financial services space. Financial Services has been identified as a strategically
important business for L&T Group. It has been L&Ts vision to become a
wholesome player in this area of business. With an entire range of products and
service offerings, L&Ts Financial Services initiative will cater to an entire
spectrum of customers, and their various financial needs.
Management

Chief Executive
Mr. Dinanath Dubhashi holds a B.E. (Mechanical) and has completed his PGDM from IIM,
Bangalore. He has been with L&T finance from April 2007. Prior to taking over as Chief Executive he
occupied various senior level positions in the organization and has been responsible in leading L&T
Finances foray in Retail Finance including Microfinance. He comes with almost 20 years of
experience in various fields of financial services like Retail Financial Services, Corporate Banking,

Cash Management and Trade, Credit Rating and Project Finance from various reputed Indian and
International organizations. Immediately prior to joining L&T Finance, he worked with BNP Paribas
for 10 years in India and abroad heading various important verticals like Cash Management, Trade
Services and Corporate Banking Products. His assignments previous to this were with Birla Sunlife,
Care Ratings and SBI Capital Markets.
Board of Directors
Y. M. Deosthalee, Whole-time Director and CFO, Larsen & Toubro Ltd.
Mr. Deosthalee, aged 64, is the chief financial officer and member of the board of L&T. He is a
chartered accountant by profession. He has a degree in law. He is also a member on the board of
several subsidiary and associate companies of the L&T group. He has been with L&T for the past 36
years. In addition to the finance function, he is also responsible for personnel and human resource
functions, risk management, mergers and acquisitions, concessions business, shared services centre,
providing strategic inputs and helps in business-building of L&T Infotech, amongst other things. He
has

been instrumental

in promoting

the Financial

Services

business

of L&T group.

In 2008, he was appointed as a member on the Advisory Committee for liquidity management set up by
the Finance Ministry. In 2009, he was appointed as a member of the Takeover Regulations Advisory
Committee which has been constituted by SEBI to examine the regulations and suggest amendments.
He is the Co-Chairman of FICCI's Corporate Finance Committee, member of the National Council on
Infrastructure of the Confederation of Indian Industry and a member of the National Council on
Corporate Governance of the Confederation of Indian Industry. He has also won several awards
including the-Best CFO of the Year and also Best CFO in the Capital Goods Sector at the CNBC TV18
Business Leaders Awards in 2009. He has over 40 years of work experience.

N. Sivaraman, Senior Vice President, Financial Services, Larsen & Toubro Ltd.
Mr. Sivaraman, aged 52, is the president and whole-time director of our Company. He has a
bachelors degree in commerce from Madras University. He is a chartered accountant by profession
and is a fellow member of the Institute of Chartered Accountants of India. He has an overall experience

of approximately 28 years with L&T. He has varied experience in all aspects of finance and accounts,
mergers and acquisition and investor relations. Currently, he is heading the financial services business
of L&T. As the head of financial services business he is responsible for and oversees the following
entities L&T Finance Limited, L&T Infrastructure Finance Company Limited, L&T Investment
Management Limited and L&T General Insurance Company Limited. During his career at L&T, Mr.
Sivaraman played a key role in structuring the demerger of the cement business of L&T and inducting
private equity investors in L&T Infrastructure Development Projects Limited.
R. Shankar Raman, Senior Vice President, Finance & Legal, Larsen & Toubro Ltd.
Mr. R. Shankar Raman,aged 52, is the senior vice president (finance and legal) at L&T. He is a
nonexecutive director on the board of our Company and L&T Finance. Mr. Shankar Raman has a
bachelors degree in commerce from Madras University. He is a Chartered and Cost Accountant by
profession. He has approximately 27 years of experience in the field of finance. He has experience in
other varied areas such as audit, accounts, treasury, capital markets, corporate finance, project finance
and general management. He joined L&T group in 1994 for setting up L&T Finance. After six
successful years with L&T Finance, he moved to L&T to oversee the Finance & Accounting functions.
He is on the board of several companies including international subsidiaries within the L&T group. Mr.
Shankar Raman is a member of Western India Regional Council of Confederation of Indian Industries.
Mr. Shankar Raman has participated and presented papers in several conventions / seminars including
international conferences.
Mr. Subramaniam N., Independent Director, Finance & Legal, Larsen & Toubro Ltd.
Mr. Subramaniam N., aged 49, is an independent director on the board of our Company. Mr.
Subramaniam N. has a degree in management and business administration from the Indian
Institute of Management, Ahmedabad. He is a fellow of the Institute of Chartered Accountants
of India, an FCS and ICWA. He has over two decades of experience in the areas of private
equity, investment management, banking, finance, accounts, risk management, system
implementation and corporate governance, MIS and human resource management. He is the
founder and managing partner of MCAP Fund Advisors. He is also a teacher at top tier
business schools and professional institutes.
Mr. P. V. Bhide, Independent Director, Finance & Legal, Larsen & Toubro Ltd.
Mr. P. V. Bhide, aged 61, is an independent director on the Board of our Company. Mr.Bhide
is a retired IAS Officer and holds degrees in MBA, L.L.B and B.Sc. During his career

spanning about four decades he held various positions, including the Secretary, Department
of Revenue, Ministry of Finance, Government of India, Secretary and Joint Secretary,
Department of Disinvestment, Ministry of Finance, Government of India, Additional
Secretary/Spl. Secretary, Ministry of Home Affairs, Government of India, Deputy
Secretary/Director in the Department of Economic Affairs, Ministry of Finance, Government of
India, Director Fund-Bank Division of the Department and Advisor to Indias Executive
Director to the International Board for Reconstruction and Developemnt, Washington D.C,
Secretary, Department of Finance, Government of Andhra Pradesh, Secretary, Department of
Energy, Government of Andhra Pradesh and Managing Director, Godavari Fertilisers and
Chemicals Limited.

Corporate Governance
Code of Conduct
L&T Finance Limited (LTF/the Company) is a professionally managed
Company, having its vision statement committed to constant innovation and
sustained customer service to enhance shareholders wealth.

The Company's philosophy on corporate governance is built on a rich legacy of

fair and transparent governance and disclosure practices. This includes respect
for human values, individual dignity, and adherence to honest, ethical and
professional conduct. This Code of Conduct ensures compliance with the
provisions of Clause 49 of the Listing Agreement with Stock Exchanges.
This Code of Conduct is applicable to the:
Members of the of the Company; and Senior Management, defined as members
of Core Management Team excluding and one level below the Executive
Directors including Functional Heads
The above Senior Managerial Personnel are hereinafter referred to in this Code
of Conduct as "Senior officers".
The Senior officers shall confirm that they have received, read and understood
the Code of Conduct, and agree to comply with the Code in the format specified
on an annual basis.
The Senior officers are expected to comply with all applicable laws, rules and
regulations and all applicable policies and procedures adopted by the Company.
The Senior officers should adhere to and facilitate effective functioning of the
Company's mechanism for redressal of complaints of sexual harassment.
Senior officers will ensure proper usage of authority as delegated to them as per
the Company's rules.
Every Senior officer has to secure, preserve, safeguard and use discreetly,
confidential information in the best interest of the Company. He should not
divulge or communicate such information to third parties except when authorized
for the business reasons. In this regard, Corporate Communication Department
has identified spokespersons authorized to deal with the media.

Senior officers are expected to devote their full attention with integrity and
honesty to the business interests of the Company and are prohibited from
engaging in any activity that interferes with their proper discharge of
responsibilities of the Company, or is in conflict with or prejudicial to the interests
of the Company.
Senior officers should avoid conducting Company business in any significant way
with a relative (as defined in the Companies Act, 1956), or with a business in
which a close relative is associated.
The Senior officers are responsible for effective control and appropriate use of all
Company's resources entrusted to them in the official discharge of their duty.
The Senior officers should abide by 'LTF Securities Dealing Code' in compliance
with the SEBI (Prohibition of Insider Trading) Regulations 1992, as adopted by
the of the Company.

Fair Practices Code

Investors Corporate

Governance

Fair Practices Code

Pursuant to Reserve Bank of India (RBI) s Circular DNBS (PD) CC

No.80/03.10.042 /2005-06 of 28 September 2006, issued to Non-Banking
Financial Companies (NBFCs), we the Board of Directors have adopted a Fair
Practices Code.
The Fair Practices Code, as adopted herein below, is in conformity with the
Guidelines on Fair Practices Code for NBFCs as contained in the aforesaid RBI
Circular.
Fair Practices Code
The Companys business would be conducted in accordance with prevailing
statutory and regulatory requirements, with due focus on efficiency, customer-

orientation and corporate governance principles all of which form part of L&T
FINANCE LIMITED approved Investment and Credit Policy.
In addition, the Company would adhere to the Fair Practices Code in its
functioning, the key elements of which are as follows:
Applications for Loans and their Processing

Loan application forms shall include necessary information, which affects

the interest of the borrower, so that a meaningful comparison with the
terms and conditions offered by other NBFCs can be made and the
borrower can take an informed decision. The loan application form may
also indicate the documents required to be submitted with the application
form.

The Company shall devise a system of giving acknowledgement for

receipt of all loan applications. Further, generally, the time frame within
which the loan application will be disposed of would also be indicated in
the acknowledgement.

Loan Appraisal and Terms/Conditions

The Company shall convey in writing to the borrower by means of

approval letter or otherwise, the amount of loan approved - along with the
terms and conditions, including the annualized rate of interest and method
of application thereof. It would keep the acceptance of these terms and
conditions by the borrower on the Companys files.

Disbursement of Loans including Changes in Terms and Conditions

The Company shall give notice to all its borrowers of any change in the
terms and conditions - including disbursement schedule, interest rates,
service charges, prepayment charges etc. The Company shall also ensure
that changes in interest rates and charges are effected only prospectively.
A suitable provision in this regard shall be incorporated in the loan
agreement.

Decision to recall / accelerate payment or performance under the

agreement shall also be in consonance with the loan agreement.

The Company shall release all securities on repayment of its full dues or
on realization of the outstanding amount of loan subject to any legitimate
right or lien for any other claim the Company may have against its
borrowers. If such right of set off is to be exercised, the borrower shall be
given notice about the same with full particulars about the remaining
claims and the conditions under which the Company is entitled to retain
the securities till the relevant claim is settled/paid.

General

The Company shall refrain from interference in the affairs of the borrower
except for the purposes provided for in the terms and conditions of the
loan agreement (unless new information, not earlier disclosed by the
borrower, has come to the notice of the Company).

In case of receipt of request from the borrower for transfer of borrowal

account, the consent or otherwise - i.e., objection of the Company, if any shall be conveyed to the borrower within 21 days from the date of receipt
of any request. Such transfer shall be as per transparent contractual terms
in consonance with law.

In the matter of recovery of loans, the Company shall not resort to any
harassment such as persistently bothering the borrowers at odd hours,
use of muscle power for recovery of loans, etc.

The Company shall have a Grievance Redressal Forum comprising senior

management team namely, the Manager Under Companies Act,
Company Secretary AND one Director from the board - to resolve disputes
arising, if any, in this regard. The said forum will meet within a period of 3
weeks from the date of receiving any grievance intimation. (It shall ensure
that all disputes arising out of the decisions of lending by the Company's
functionaries are suitably heard and disposed of at least at the next higher
level.) The said forum shall provide the highlights of the issues and

redressal if any to the for their review and compliance at each subsequent
meeting

Contact Us
Registered office
L&T House,
Ballard Estate,
Mumbai - 400 001.
Tel: +91-22 6752 5656
Fax: +91-22 6752 5893
Administrative office
The Metropolitan
8th Floor,
C-26/27, E-Block, Bandra - Kurla complex,
Bandra (East),
Mumbai - 400 051
Tel.: +91-22 6737 2951
Fax: +91-22 6737 2900

CHAPTER 3
Theoretical Review

the concept of capital market is in a way 130 years old. Capital market was known as
share bazaar it was also treated as a satta bazaar starting of capital market concept in
India took place with the birth of Bombay Stock Exchange.
A securities contract (Regulation) Act of 1956 of India was first major step to recognize
capital market. Bombay Stock Exchange got first recognition in 1956 under this act.
Bombay Stock Exchange, which was the major stock exchange, in way had monopoly in
the Indian capital market till the birth of National Stock Exchange. Bombay Stock
Exchange celebrated its 125th jubilee year in the 2000. The capital market, the stock
exchange, the Equity concept was baby till 1960. And the concept of mutual fund was
introduced by the government with the formation of Unit Trust of India in 1963-64.

Capital market in India is a new development compared to the western world. India was
known as under developed country from the view point of economic and industrial
growth. After getting freedom in 1947, India started thinking about planned development
in 1948. The first industrial policy development statement was made on April 6th 1948.
The concept of capital market is directly linked with industrial development of country. It
is also treated as barometer of economic growth. Industrial development started in India
in 19th century, there were very few entrepreneurs known as Tatas, Birlas, etc. who
started industries in their own country i.e. India. In the 20 th century first quarter, this
group started big industries in major metropolitan cities.
Stock exchanges have a very important function to fulfill in the countrys economy. Its
main function is to liquefy capital by enabling a person who has invested money in.
The stock exchange is really an essential pillar of the private sector corporate economy.
The stock exchange provides a market place for purchase and sale of securities i.e.
shares, bonds, debentures, etc
The stock exchange provides the linkage between the saving in the house hold sector and
the investment in corporate economy.
By providing a market quotation of the prices of shares and bonds a sort of collective
judgment simultaneously reached by many buyers and sellers in the market. The stock
exchanges serve the role of barometer. Exchanges serve the role of barometer, not only
the state of health of individual companies, but also of the nations economy as a whole.
Another important function that the stock exchange in India discharge is of providing
market for gilt-edged securities i.e. securities issued by the government sectors,
municipalities, improvement trust, and other public bodies.
There are 22 stock exchange in India, the first being the Bombay Stock Exchange
(BSE),which began formal trading in 1875, making it one of the oldest in Asia. Over the
last few years, there has been a rapid change in the Indian securities market, especially in

the secondary market. Advanced technology and online-based transactions have

modernized the stock exchanges. In terms of the number of companies listed and total
market capitalization, the Indian equity market is considered large relative to the
countrys stage of economic development. The number of listed companies increased
from 5,968 in March 1990 to about 10,000 by May 1998 and market capitalization has
grown almost 11 times during the same period. The debt market, however, is almost
nonexistent in India even though there has been a large volume of Government bonds
traded. Banks and financial institutions have been holding a substantial part of these
bonds as statutory liquidity requirement. The portfolio restrictions on financial
institutions statutory liquidity requirement are still in place.
A primary auction market for Government securities has been created and a primary
dealer system was introduced in 1995. There are six authorized primary dealers.
Currently, there are 31 mutual funds, out of which 21 are in the private sector. Mutual
funds were opened to the private sector in 1992. Earlier, in 1987, banks were allowed to
enter this business, breaking the monopoly of the Unit Trust of India (UTI), which
maintains a dominant position. Before 1992, many factors obstructed the expansion of
equity trading. Fresh capital issues were controlled through the Capital Issues Control
Act. Trading practices were not transparent, and there was a large amount of insider
trading. Recognizing the importance of increasing investor protection, several measures
were enacted to improve the fairness of the capital market. The Securities and Exchange
Board of India (SEBI) was established in 1988. Despite the rules it set, problems
continued to exist, including those relating to disclosure criteria, lack of broker capital
adequacy, and poor regulation of merchant bankers and underwriters.
There have been significant reforms in the regulation of the securities market since 1992
in conjunction with overall economic and financial reforms.
In 1992, the SEBI Act was enacted giving SEBI statutory as an apex regulatory body.
And a series of reforms was introduced to improve investor protection.

Automation of stock trading, integration of national markets, and efficiency of

market operations. India has seen a tremendous change in the secondary market for
equity. Its equity market will most likely be comparable with the worlds most advanced
secondary markets within a year or two. The key ingredients that underlie market quality
in Indias equity market are:

Exchange based on open electronic limit order book;

Nationwide integrated market with a large number of informed

and fluency of short or long positions; and

No counter party risk.

traders

CHAPTER 4
Data Analysis &
Interpretation

INFOSYS
Date
18-12-2014
28-11-2014
31-10-2014
30-09-2014
28-08-2014
31-07-2014
30-06-2014
30-05-2014
30-04-2014
31-03-2014
28-02-2014
31-01-2014
31-12-2013
29-11-2013
31-10-2013
30-09-2013
30-08-2013
31-07-2013
28-06-2013
31-05-2013
30-04-2013
28-03-2013
28-02-2013
31-01-2013
31-12-2012
30-11-2012
31-10-2012
28-09-2012
31-08-2012
31-07-2012

Open
4387
4076.9
3722
3610.05
3350
3245
2960.5
3185
3283.05
3825
3685
3492
3352
3300
3030
3077.1
2988
2469
2525
2236
2910.75
2914
2791.1
2327.6
2437
2362
2551.3
2366
2215
2171.25

High
4402.2
4398
4066
3795
3650
3432
3339.4
3340
3388
3849.95
3837.15
3799
3575
3448
3377.7
3188
3130
2991.6
2625
2434.9
2999.55
3009.8
2969.4
2836.95
2453
2480
2620.2
2650
2483
2250

Low
1896.3
4032.45
3572.7
3555.55
3330
3185.8
2950
2880
3142.4
3215.95
3541
3417.85
3318.2
3233
3003
2980.1
2922.1
2392.6
2342.75
2236
2186
2827.55
2741.75
2303.5
2245
2278.8
2060.55
2332.2
2185.1
2101.25

Close
1965.9
4359.85
4051.25
3747.75
3598.8
3367.65
3255.55
2939.4
3180.8
3282.8
3824.85
3701.1
3485.65
3354.55
3309.9
3013
3105.85
2969.65
2498.85
2411.7
2235.45
2889.35
2907
2789.5
2318.7
2436.85
2363
2534.95
2361.65
2226.95

Volume
81238441
19195079
29293763
21413647
16546830
20735657
26870375
27978628
21540122
26291110
15223234
32226814
20750869
14779399
29334123
23679224
23936040
27068475
18892134
18361228
43591396
20026320
18221663
41905688
20885052
15184570
27510851
18675519
16641279
9742441

Intraday performance of INFOSYS from 31-07-2012 to 18-12-2014

INTERPRETATION:
Looking for a target price of Rs 2,020 at least in Infosys . The stock after witnessing a
steep correction seems to have taken good amount of support at Rs 1,930-1,940 odd
levels. Some amounts of build up are also seen getting build in this stock.
If you look at the overall performance of the IT sector, in past couple of days, Infosys is
yet to catch out its peers. So, the stock looks fairly placed for higher targets of Rs 2,020
and above. One can buy this stock keeping a stoploss at Rs 1,920.

INFOSYS RESULTS:
Infosys Ltd., incorporated in the year 1981, is a Large Cap company (having a market cap
of Rs 225824.11 Cr.) operating in Information Technology sector.
Infosys Ltd. key Products/Revenue Segments include Software Development Charges
which contributed Rs 42531.00 Cr to Sales Value (95.91% of Total Sales), Software
Products which contributed Rs 1810.00 Cr to Sales Value (4.08% of Total Sales), for the
year ending 31-Mar-2014.
For the quarter ended 30-Sep-2014, the company has reported a Standalone sales of Rs.
11863.00 Cr., up 4.81% from last quarter Sales of Rs. 11319.00 Cr. and up 3.32% from
last year same quarter Sales of Rs. 11482.00 Cr. Company has reported net profit after tax
of Rs. 3365.00 Cr. in latest quarter.
The companys management includes Dr.Vishal Sikka, Mr.John Etchemendy, Mr.K
Parvatheesam, Mr.K V Kamath, Mr.R Seshasayee, Mr.Ravi Venkatesan, Mr.U B Pravin
Rao, Ms.Carol M Browner, Ms.Kiran Mazumdar Shaw, Prof.Jeffrey Sean Lehman,
Mr.Charles Henry Hawkes, Mr.Haragopal Mangipudi, Mr.K Parvatheesam, Mr.Rajiv
Bansal, Mr.Srikantan Moorthy, Mr.Vishnu G Bhat, Ms.Nandita Mohan Gurjar, Dr.Omkar
Goswami.
Company has BSR & Co. as its auditors. As on 30-Sep-2014, the company has a total of
574,236,166 shares outstanding.

PERFORMANCE OF WIPRO FROM 31-07-2012 TO 18-12-2014.

Date
18-12-2014
28-11-2014
31-10-2014
30-09-2014
28-08-2014
31-07-2014
30-06-2014
30-05-2014
30-04-2014
31-03-2014
28-02-2014
31-01-2014
31-12-2013
29-11-2013
31-10-2013
30-09-2013
30-08-2013
31-07-2013
28-06-2013
31-05-2013
30-04-2013
28-03-2013
28-02-2013
31-01-2013
31-12-2012
30-11-2012
31-10-2012
28-09-2012
31-08-2012
31-07-2012

Open
4387
4076.9
3722
3610.05
3350
3245
2960.5
3185
3283.05
3825
3685
3492
3352
3300
3030
3077.1
2988
2469
2525
2236
2910.75
2914
2791.1
2327.6
2437
2362
2551.3
2366
2215
2171.25

High
4402.2
4398
4066
3795
3650
3432
3339.4
3340
3388
3849.95
3837.15
3799
3575
3448
3377.7
3188
3130
2991.6
2625
2434.9
2999.55
3009.8
2969.4
2836.95
2453
2480
2620.2
2650
2483
2250

PERFORMANE GRAPH OF WIPRO

Low
1896.3
4032.45
3572.7
3555.55
3330
3185.8
2950
2880
3142.4
3215.95
3541
3417.85
3318.2
3233
3003
2980.1
2922.1
2392.6
2342.75
2236
2186
2827.55
2741.75
2303.5
2245
2278.8
2060.55
2332.2
2185.1
2101.25

Close
1965.9
4359.85
4051.25
3747.75
3598.8
3367.65
3255.55
2939.4
3180.8
3282.8
3824.85
3701.1
3485.65
3354.55
3309.9
3013
3105.85
2969.65
2498.85
2411.7
2235.45
2889.35
2907
2789.5
2318.7
2436.85
2363
2534.95
2361.65
2226.95

Volume
81238441
19195079
29293763
21413647
16546830
20735657
26870375
27978628
21540122
26291110
15223234
32226814
20750869
14779399
29334123
23679224
23936040
27068475
18892134
18361228
43591396
20026320
18221663
41905688
20885052
15184570
27510851
18675519
16641279
9742441

INTERPRETATION:
"

Wipro has mostly traded in the range of Rs 530 to Rs 600 levels since the last four-five

months, whatever happens to the market. Because of bad news, again it has come down
to Rs 530. So I think it may be a good level again to start forming the long positions in
the stock. Short covering has already started and if you see the moving averages, they
also plays around this level. So it is an important area where we can start picking Wipro
from these levels,"
"On

the short side I would use something which went up today. Wipro I believe would

get a lot of resistance towards Rs 560-570. So keeping a stoploss at Rs 570 I take on a

short position. Targets on Wipro would be Rs 515 in the near term."

WIPRO RESULTS: Moneycontrol Bureau

Wipro Ltd., incorporated in the year 1945, is a Large Cap company (having a market cap
of Rs 132788.75 Cr.) operating in Information Technology sector.
Wipro Ltd. key Products/Revenue Segments include Software Services which contributed
Rs 32861.00 Cr to Sales Value (84.76% of Total Sales), I T Enabled Services which
contributed Rs 2553.20 Cr to Sales Value (6.58% of Total Sales), Networking, Storage
equipment, Servers, Software Licenses which contributed Rs 1524.00 Cr to Sales Value
(3.93% of Total Sales), Mini Computers/Micro Processor Based Systems which
contributed Rs 911.10 Cr to Sales Value (2.35% of Total Sales), Others which contributed
Rs 803.50 Cr to Sales Value (2.07% of Total Sales), Other Services which contributed Rs
112.30 Cr to Sales Value (0.28% of Total Sales), for the year ending 31-Mar-2014.
For the quarter ended 30-Sep-2014, the company has reported a Standalone sales of Rs.
10228.30 Cr., up 2.66% from last quarter Sales of Rs. 9963.40 Cr. and up 6.66% from last
year same quarter Sales of Rs. 9589.50 Cr. Company has reported net profit after tax of
Rs. 1992.00 Cr. in latest quarter.
The companys management includes Mr.V Ramachandran, Dr.Ashok S Ganguly,
Dr.Henning Kagermann, Dr.Jagdish N Sheth, Mr.Alok Bansal, Mr.Angan Arun Guha,
Mr.Arjun Ramaraju, Mr.Azim H Premji, Mr.B C Prabhakar, Mr.Deepak Jain, Mr.Dinakar
Kini, Mr.Gaurav Dhall, Mr.Hariprasad Hegde, Mr.Harsh Bhatia, Mr.Hoshedar Contractor,
Mr.Jatin Pravinchandra Dalal, Mr.M K Sharma, Mr.Narayanan Vaghul, Mr.Pratik Kumar,
Mr.Raja Ukil, Mr.Rishad Premji, Mr.S Jayakrishnan, Mr.Satishchandra Doreswamy,
Mr.Saurabh Govil, Mr.Shyam Saran, Mr.Subhash Khare, Mr.Suresh C Senapaty, Mr.T K
Kurien, Mr.T K Kurien, Mr.V Ramachandran, Mr.Venkat Sriramagiri, Mr.Vishwas
Santurkar, Mr.Vyomesh Joshi, Mr.William Arthur Owens, Ms.Ireena Vittal.
Company has BSR & Co. as its auditors. As on 30-Sep-2014, the company has a total of
2,467,775,393 shares outstanding.

PERFORMANCE OF TCS FROM 1ST October 2014 TO 28th February 2015.

Date

Open
High
Low
Close
%of
Price
Price
Price
Price
change
01-Oct1295
1309.8 1293.05
1302.95
0
14
03-Oct1301
1325
1301
1322.65 1.511954
14
04-Oct1320 1321.65 1308.65
1317.15
-0.41583
14
05-Oct1310.25 1319.35
1055
1304
-0.99837
14
08-Oct1310 1315.25 1285.45
1292.7
-0.86656
14
09-Oct1297.9
1298.8
1285
1294.85 0.166319
14
10-Oct1286 1301.75
1285
1289.35
-0.42476
14
11-Oct1290.25 1301.55 1286.05
1289.45 0.007756
14
12-Oct1278.8 1313.65
1273.2
1298.45 0.697972
14
15-Oct1294
1302.4
1287.5
1294.65
-0.29266
14
16-Oct1297
1310.2
1287.8
1295.9 0.096551
14
17-Oct1301.3
1304.9
1272
1283.15
-0.98387
14
18-Oct1286.25
1311
1280.2
1307.35 1.885984
14
19-Oct1309
1311.4
1282
1289.7
-1.35006
14
22-Oct1325.1
1334.9
1303
1318.9 2.264092
14
23-Oct1324
1324
1311.9
1314.6
-0.32603
14
25-Oct1315
1323.9 1304.25
1315.35 0.057052
14
26-Oct1306.2
1322
1306.2
1315.3
-0.0038
14
29-Oct1311
1319.8
1300.8
1308.4
-0.5246
14
30-Oct1304.4
1322
1304.4
1311.5 0.236931
14
31-Oct1309.1
1316.8
1304
1315.5 0.304994
14
01-Nov1314.9 1320.35
1310.2
1315.25
-0.019
14
02-Nov1324.9
1338
1318.4
1331.2 1.212697
14
05-Nov1335.9 1343.35
1325.3
1329.6
-0.12019

14
06-Nov14
07-Nov14
08-Nov14
09-Nov14
12-Nov14
13-Nov14
15-Nov14
16-Nov14
19-Nov14
20-Nov14
21-Nov14
22-Nov14
23-Nov14
26-Nov14
27-Nov14
29-Nov14
30-Nov14
03-Dec14
04-Dec14
05-Dec14
06-Dec14
07-Dec14
10-Dec14
11-Dec14

1325

1337.4

1319.45

1320.55

-0.68066

1325

1333.35

1321.5

1331.5

0.8292

1324

1334.7

1316.6

1331.2

-0.02253

1330

1333.25

1320.9

1324.95

-0.4695

1320

1348

1320

1334.5

0.720782

1335.15

1337.2

1322.05

1325.3

-0.6894

1320.1

1322

1291

1294.15

-2.35041

1299.8

1306.8

1280.1

1286.8

-0.56794

1290.1

1295

1258.5

1262.35

-1.90006

1275

1282.9

1256.05

1272.8

0.827821

1276.25

1294.7

1276.25

1282.2

0.738529

1282.1

1284.1

1271

1276.45

-0.44845

1282

1291.4

1271.25

1288.6

0.951859

1288

1295.7

1285

1293.7

0.395778

1299.9

1299.9

1288.3

1295.2

0.115947

1310

1312

1292.35

1298.1

0.223904

1295

1325

1291.1

1314

1.224867

1315

1322

1305.2

1316.8

0.21309

1315.1

1321.8

1292.9

1299.45

-1.31759

1300

1307.55

1288.6

1297.9

-0.11928

1295

1295

1269

1280.7

-1.32522

1276.65

1280.7

1257.05

1264.15

-1.29226

1262.1

1266.8

1231.2

1237.2

-2.13187

1235

1243

1210.35

1219.7

-1.41448

12-Dec14
13-Dec14
14-Dec14
17-Dec14
18-Dec14
19-Dec14
20-Dec14
21-Dec14
24-Dec14
26-Dec14
27-Dec14
28-Dec14
31-Dec14
01-Jan15
02-Jan15
03-Jan15
04-Jan15
07-Jan15
08-Jan15
09-Jan15
10-Jan15
11-Jan15
14-Jan15
15-Jan15
16-Jan-

1224.9

1241

1221.1

1225.8

0.500123

1230.1

1234.6

1217.1

1222.55

-0.26513

1217

1245

1216.15

1242.9

1.664554

1239.15

1248.9

1202.1

1205.5

-3.00909

1214.7

1225

1197

1210.65

0.427209

1216.1

1236.55

1216.1

1232.65

1.817206

1227.15

1255

1227.15

1252.05

1.573845

1250

1264.4

1237.7

1258.7

0.531129

1262

1271.1

1260.1

1266.2

0.595853

1267

1269.15

1255.3

1262.2

-0.31591

1264.9

1264.9

1247.65

1250.95

-0.8913

1254

1272

1250.75

1267.5

1.322995

1261

1265.6

1252

1255.85

-0.91913

1266.95

1267.9

1260

1264.15

0.660907

1267

1272.4

1255.55

1263.3

-0.06724

1265

1284

1259.95

1280.6

1.369429

1285

1301

1280.9

1299.2

1.452444

1300

1304

1290.25

1294.85

-0.33482

1295

1304.3

1294.3

1300.25

0.417037

1301

1307.4

1273.15

1276.6

-1.81888

1279.9

1282.1

1255.3

1258.4

-1.42566

1290

1322.5

1290

1306.35

3.810394

1319

1348.45

1307.35

1334.5

2.154859

1390

1400

1327

1337.45

0.221057

1336.9

1355

1309

1347.75

0.770122

15
17-Jan15
18-Jan15
21-Jan15
22-Jan15
23-Jan15
24-Jan15
25-Jan15
28-Jan15
29-Jan15
30-Jan15
31-Jan15
01-Feb15
04-Feb15
05-Feb15
06-Feb15
07-Feb15
08-Feb15
11-Feb15
12-Feb15
13-Feb15
14-Feb15
15-Feb15
18-Feb15
19-Feb15

1349.7

1371.8

1343

1362

1.057318

1362.5

1366.05

1338.05

1351

-0.80764

1352.5

1354.9

1327.1

1330

-1.5544

1326

1331.7

1308.1

1317.5

-0.93985

1315.75

1323.75

1298.4

1311.95

-0.42125

1305

1336.9

1305

1328.55

1.265292

1323.75

1345

1323.75

1340.5

0.899477

1340.3

1349.95

1337.95

1345.05

0.339426

1341.2

1356.55

1340.3

1344.95

-0.00743

1341

1349.85

1335.8

1346.15

0.089223

1348.85

1352.45

1326.4

1344.15

-0.14857

1344

1352

1342.15

1348.1

0.293866

1349

1367.8

1345.15

1356.35

0.611972

1345.1

1365

1345.1

1360.05

0.272791

1362.5

1375.9

1362

1370.55

0.77203

1361

1390

1361

1387.15

1.211193

1386

1437

1385.1

1422.6

2.5556

1424

1428.9

1412.25

1414.7

-0.55532

1409.05

1415

1401.85

1410.05

-0.32869

1409.8

1441.65

1405.1

1435.4

1.797809

1430.1

1455.8

1429

1447.7

0.856904

1444

1451.8

1430.65

1442.15

-0.38337

1440.1

1441.9

1420

1425.35

-1.16493

1421.6

1448.9

1412.7

1443.55

1.276879

20-Feb15
21-Feb15
22-Feb15
25-Feb15
26-Feb15
27-Feb15
28-Feb15

1441.5

1457

1441.5

1452.8

0.640781

1440.7

1456.85

1440.7

1451.05

-0.12046

1450

1464.05

1442.3

1455.1

0.279108

1453

1475

1451.5

1473.7

1.278263

1467

1499.95

1466

1496.4

1.540341

1495.25

1503.05

1477.3

1483.2

-0.88212

1486.25

1525

1485.25

1517

2.278857

PERFORMACNE OF TCS

GROWTH = 1517-1502.95*100
1302.95
=

16.4%

DATA INTERPRETATION: Above data indicating performance of TCS for the given
period. Graph has taken with daily closing prices of the stock. And one can easily
understand if any investments, investing for short term, he has to ready to bear volatility.
Other than financial results few times changes in management and business risk also

become a cause to fall a stock. IT sector has international exposure when major
fluctuation happens in currency (dollar) it may be a cause for volatility. For the given
period TCS has given 16.4 % returns. In last 5 financial years also TCS has given better
returns when compare to all competitive IT stocks.
TCS RESULTS:
Money control Bureau
Tata Consultancy Services (TCS) topped market expectations on Monday with a third
quarter net profit of Rs 3,551 crore, up 1 percent (up 23 percent from a year ago), helped
by new deal wins. The India's largest software services exporter's revenue rose 3 percent
sequentially (22 percent year-on-year) to Rs 16,070 crore.
Dollar revenues increased 3 percent to USD 2,948 million.
Analysts on average had expected TCS to report a net profit of Rs 3,410 crore on revenue
of Rs 15,950 crore in Oct-Dec, according to a CNBC-TV18 poll.
TCS met or beat analysts expectations on most parameters in the third quarter, which is
typically a seasonally weak quarter, and its CEO, N Chandrasekaran feels the clients will
continue to invest on tech in 2015.
He once again reiterated that the company hopes to grow ahead of the NASSCOM
guidance of 11-15 percent growth in the current financial year
"While technology budgets are still being set for the next fiscal (year), there is little doubt
that technology is a key resource to help global businesses optimise their operations and
fuel growth in the current economic climate," said N Chandrasekaran, CEO and MD.
TCS' operating margin in the third quarter was up 218 basis points at 29.2%.
"We continue to focus on managing our operations optimally in the face of increased
external volatility. We have increased operating margins significantly by taking the

benefits of growth, exchange movements and by keeping a strong focus on cost

management," said S Mahalingam, CFO.
It signed a multi-year multi-million dollar deal with a North American healthcare
company, a large service management deal with a global financial services company in
the US, it won a contract from a financial institution in Asia to upgrade and maintain
core systems and infrastructure and was selected by a US-based communications
company for a multi-year back-office transaction processing deal, among others.The
company said Europe business grew 18.1%, followed by US at 13.3% and UK grew by
9.5%, in the third quarter. Latin America revenue grew 18.6%, APAC (Asia-Pacific)
region saw a 15.7% growth, while revenues from India, were up 14.8%, it said.
"All industry sectors have shown strong growth with all sectors growing at more than
double digits except telecom," TCS said.
TCS added 40 new clients in the third quarter and signed 10 large deals during the
quarter. The number of USD 100 million clients rose to 14 from 12, it said.
TCS net added 11,981 employees in Oct-Dec and had 226,751 employees as of Dec 31. It
plans to add 15,000 employees in the current quarter.
The company said attrition rate dropped to 12.8% in the quarter. Attrition in IT services
business was at 11.7%, while BPO (business process outsourcing) attrition was at 22.6%,
it said
PERFORMACNE OF ICICI BANK FROM 1ST October 2014 TO 28th February 2015
Date

Open
High
Low
Close
%of change
Price
Price
Price
Price
01-Oct1060
1060.9
1046
1050.65
0
14
03-Oct1052.2
1063 1046.25
1053 0.22367106
14
1
04-Oct1057.25
1093.9 1057.25
1083.4 2.88698955
14
4
05-Oct1100
1100
866.75
1066.7
14
1.54144360
3
08-Oct1070
1070 1049.25
1052.2
-

14
09-Oct14
10-Oct14

1.35933252
1
1.13571564
3
0.93501855
9
0.35571997
7
1.24769601
6
0.82794927

1060

1073.65

1058.05

1064.15

1056.25

1059.7

1048.65

1054.2

1060

1067.8

1048.2

1057.95

1060.9

1062.9

1043.1

1044.75

15-Oct14
16-Oct14

1045.1

1055.6

1032

1053.4

1061

1062.95

1040.1

1043.25

17-Oct14
18-Oct14
19-Oct14

1053.25

1054.7

1042.1

1049.55

1055.25

1066.8

1052.1

1064.95

1061

1076

1050.1

1057.3

22-Oct14
23-Oct14
25-Oct14
26-Oct14

1052.8

1080.95

1050

1075.6

1078.8

1087.85

1071.8

1079.45

1070.1

1091.9

1070.1

1087.15

1084.8

1102.8

1075.1

1078.35

29-Oct14

1077

1084.4

1063.3

1068.45

30-Oct14

1072

1087.3

1032.65

1045.15

31-Oct14
01-Nov14
02-Nov14
05-Nov14

1046

1054.9

1035.75

1050.2

1052

1061

1045.3

1057.35

0.96354661
1
0.60388209
9
1.46729550
8
0.71834358
4
1.73082379
6
0.35793975
5
0.71332623
1
0.80945591
7
0.91806927
2
2.18072909
4
0.48318423
2
0.6808227

1072

1082.35

1065.6

1079.65

2.1090462

1076

1080.9

1067.45

1077.65

06-Nov-

1071.5

1087.5

1068.2

1080.7

0.18524521
8
0.28302324

11-Oct14
12-Oct14

14
07-Nov14
08-Nov14

1086.1

1099.75

1080.05

1092.95

1080

1082.9

1071.2

1076

09-Nov14
12-Nov14

1076.3

1078

1054.5

1059.2

1061.5

1070.9

1053.15

1058.4

13-Nov14
15-Nov14

1059.85

1063

1055.05

1059.75

1054.8

1057.35

1043.45

1054.65

16-Nov14

1047.6

1052.05

1022

1027.3

19-Nov14

1028.1

1033.4

1016.2

1021.15

20-Nov14
21-Nov14
22-Nov14

1030.8

1034.15

1015

1024.1

1030

1047

1026.55

1044.45

1045.5

1054

1030

1032.6

23-Nov14

1037.6

1038.95

1020.2

1025.1

26-Nov14

1035

1035

1015

1018.3

27-Nov14
29-Nov14
30-Nov14
03-Dec14
04-Dec14
05-Dec14
06-Dec14

1030.4

1037.25

1025.25

1034.1

1050

1086

1045.65

1081.75

1100

1104.95

1090.7

1099.85

1095

1113.65

1093.2

1102.3

1102

1122.6

1095.55

1119.35

1121.9

1128

1108.15

1119.8

1132

1143

1102

1135.7

5
1.13352456
7
1.55084862
1
1.56133829
0.07552870
1
0.12755102
0.48124557
7
2.59327739
1
0.59865667
3
0.28888997
7
1.98711063
4
1.13456843
3
0.72632190
6
0.66334991
7
1.55160561
7
4.60787157
9
1.67321469
8
0.22275764
9
1.54676585
3
0.04020190
3
1.41989641

07-Dec14

1140.3

1144.45

1122.15

1131.7

10-Dec14

1140

1140.35

1118.2

1121.45

11-Dec14
12-Dec14
13-Dec14
14-Dec14
17-Dec14
18-Dec14
19-Dec14

1124.95

1149.5

1108.4

1122.65

1128.35

1132.8

1106.35

1113.2

1120

1133.45

1115.5

1121.25

1116

1139.45

1113.4

1136.05

1130.25

1149

1130.25

1144.1

1147

1153.4

1118.8

1148.95

1155.1

1158.65

1133.05

1138.75

20-Dec14
21-Dec14

1144.8

1145

1130.1

1139.65

1133.9

1139

1117.2

1123.9

24-Dec14
26-Dec14
27-Dec14

1129.7

1130

1114.2

1121.5

1126

1150

1121

1148.65

1152.25

1153.8

1132.5

1136.45

28-Dec14
31-Dec14

1142.6

1146.5

1129.8

1141.55

1141.5

1143.9

1134.2

1138.25

01-Jan15
02-Jan15
03-Jan15

1146.4

1161.95

1143.1

1158.45

1170

1177

1165

1174

1177.05

1178

1165.3

1172.05

1172.9

1184.9

1165.05

1182.4

1188

1188

1177

1182.15

04-Jan15
07-Jan15

0.35220568
8
0.90571706
3
0.10700432
5
0.84175834
0.72314049
6
1.31995540
7
0.70859557
2
0.42391399
4
0.88776709
2
0.07903402
9
1.38200324
7
0.21354213
2.42086491
3
1.06211639
8
0.44876589
4
0.28908063
6
1.77465407
4
1.34231084
6
0.16609880
7
0.88306812
8
0.02114343

08-Jan15

1179.15

1182

1170.25

1179.55

09-Jan15
10-Jan15

1178.25

1187.9

1173.7

1180.45

1186.25

1188

1161.25

1179.5

11-Jan15
14-Jan15
15-Jan15
16-Jan15

1184

1184.4

1159.1

1163.55

1165

1192

1165

1185.15

1183.2

1211.15

1174.1

1204.35

1204.35

1207

1176.4

1179.85

17-Jan15

1177.25

1187.2

1158.2

1162.5

18-Jan15
21-Jan15
22-Jan15

1165.5

1186.2

1165.5

1176.2

1180

1182.45

1165

1177.55

1176.2

1194.85

1164

1170.15

23-Jan15
24-Jan15

1175

1192

1161.6

1181

1179.85

1186.65

1157.6

1164.5

1170.2

1180

1163.6

1172.95

1173.6

1194.4

1172.15

1190.25

1195.85

1228

1182

1201.2

1205

1222.55

1203.85

1212.7

1207

1232

1186.3

1191.15

1194

1203.3

1167.65

1171.15

1184

1202.8

1178

1181.75

1166

1179.3

1162.05

1166.05

25-Jan15
28-Jan15
29-Jan15
30-Jan15
31-Jan15
01-Feb15
04-Feb15
05-Feb-

7
0.21993824
8
0.07630028
4
0.08047778
4
1.35226791
1.85638777
9
1.62004809
5
2.03429235
7
1.47052591
4
1.17849462
4
0.11477639
9
0.62842342
2
0.92723155
2
1.39712108
4
0.72563331
9
1.47491367
9
0.91997479
5
0.95737595
7
1.77702647
1.67904965
8
0.90509328
4
-

15
06-Feb15

1173

1173

1150.8

1155.25

07-Feb15

1152.35

1166.95

1136.55

1144.85

08-Feb15

1146.05

1149.75

1124.8

1130.15

11-Feb15
12-Feb15
13-Feb15
14-Feb15

1132.3

1134.35

1117.05

1122.7

1121.5

1134

1114.1

1128.85

1137

1146.4

1131.4

1142.6

1148

1149.8

1120.6

1126.2

15-Feb15

1126

1131

1111.1

1121.85

18-Feb15
19-Feb15
20-Feb15

1124.4

1130

1119.5

1122

1123.25

1134

1114.6

1131.4

1136

1137.85

1118.7

1121.55

21-Feb15

1112.25

1114.35

1076

1079.6

22-Feb15
25-Feb15
26-Feb15

1077.05

1099

1077.05

1092.55

1099

1101.85

1081.2

1093.9

1088

1088.85

1052.55

1064

27-Feb15
28-Feb15

1069.55

1088.95

1069

1083.15

1092

1094.8

1030

1040.4

1.32853818
5
0.92620385
1
0.90023804
4
1.28401100
6
0.65920453
0.54778658
6
1.21805377
2
1.43532294
8
0.38625466
2
0.01337077
1
0.83778966
1
0.87060279
3
3.74035932
4
1.19951834
0.12356413
9
2.73333942
8
1.79981203
3.94682177

PERFORMANCE OF ICICI BANK

Growth =

1040.40 1050.65 *100

1050.65

= - 0.97%
Data interpretation: The above chart indicating performance of ICICI BANK for the
given period. Inflation and interest rates plays major role in banking industry. If
government fails to control inflation, its highly impossible to control interest rates also.
According to RBI data in last three months (January, February & March) inflation
numbers increased by 21.18% because of hike in daily commodity prices.
ICICI bank closed in 1% negative in the above data when compare to starting day to
ending day. In the month of February itself, stock fall close to 14%. As on 25th February
closing, stock is in profit of close to 4% from starting day, but due to budget impact stock
fall above 5% in last 2 days.
ICICI BANK RESULTS
India's largest private sector lender ICICI Bank 's third quarter (October-December)
standalone net profit jumped more than 30% year-on-year to Rs 2,250 crore, driven by
robust net interest income, which increased 29% to Rs 3,500 crore. Other income too
climbed 17% to Rs 2,215 crore adding to the profit margin.

"The rise in profit came on the back of growth and efficiency parameters," Chanda
Kochhar, MD & CEO, ICICI Bank told reporters in a conference call.
"Going forward, we expect slight improvement in net interest margin by a few basis
points. Our growth in loans is well-balanced. We would grow our retail loans at 20%.
Also, there is a room for growing our international business wherein the net interest
margin stood at 1.3%," she said.
Analysts on an average were expecting profit after tax at Rs 2,077 crore and net interest
income at Rs 3,499 crore for the quarter.
The bank expanded its loans by 16% y-o-y to Rs 2.87 lakh crore while the deposits grew
at a slower pace by about 10% to Rs 2.86 lakh crore.
The share of current and savings account (CASA) was at 40.9% as against 40.7% in the
second quarter. CASA is a source of cheap funds for banks. Net interest margin logged a
rise of 37 basis points to 3.07% y-o-y.
Provisions against bad loans inched up to Rs 369 as against Rs 341 crore a year back.
However, the same came down in comparison with the July-September quarter recorded
at Rs 508 crore. Provision coverage ratio stood at 77.7% as on December 31.
"In Q2 provisions were up due to one single corporate account which we had provided
for. Earlier, we had sold our credit exposure in Kingfisher airlines. Currently, we do not
have any plan for selling our (stressed) loan portfolios," Kochhar said.
During the quarter, the gross non-performing asset (NPA) ratio improved from 3.54% to
3.31% quarter-on-quarter. Net NPA ratio was at 0.76% compared with 0.78% a quarter
back. Net restructured book remained at Rs 4,169 crore, little changed from the previous
quarter.
ICICI Bank, according to Kochhar, does not need to raise any equity capital in the near
term. Its capital adequacy ratio was 19.53% of which tier-I (equity capital) was at 13.25%
as on December 31.

At 14.40 hrs, ICICI Bank shares were trading at Rs 1,196, down more than 1% on
NSE. Earlier in the trading session however, those hit 52-week high of Rs 1,232 before
the results announcement.
"There were high hopes of better-than-expected results. Some traders were speculating on
that. Though, the bank has reported good set of numbers but there is nothing to cheer
about it. Some amount of profit booking has led to the fall in share price," said a banking
analyst from a foreign brokerage firm.
PERFORMANCE OF HDFC BANK from October 1st 2014 to 28th February 2015
Date

Open
Price

High
Price

Low
Price

Close
%of
Price
change
620
622.85

01-Oct14
03-Oct14

629

632

624

626.8

617.95

619.45

04-Oct14
05-Oct14

621.5

633.9

621.45

631.3

638

638.65

505.05

622.4

08-Oct14

623.9

623.9

616.55

620.7

09-Oct14
10-Oct14

624.95

630.5

622

625.75

624

624

616.2

617.95

11-Oct14
12-Oct14
15-Oct14
16-Oct14

621.15

627.8

618.45

624.85

630

635

626

631.15

632.4

634.9

622.6

634.15

635.25

635.5

628.1

630.4

17-Oct14

632

632.5

626.5

628.1

18-Oct-

630

637.9

624.45

636.2

0.545877
8
1.912987
33
1.409789
3
0.273136
2
0.813597
55
1.246504
2
1.116595
19
1.008241
98
0.475322
82
0.591342
7
0.364847
7
1.289603

14
19-Oct14

632

635

627

628.5

625.2

640

625.2

639

639.05

639.5

632.5

634.1

25-Oct14
26-Oct14

632.65

641

629

637.35

636.65

639.8

631

637.15

29-Oct14
30-Oct14

637.85

642.5

635.55

640.6

637.05

644.8

630.6

633.65

31-Oct14
01-Nov14

634.1

635.9

630.05

634.2

632.75

635.7

627.5

628.6

638

638

628

630.3

632

636

630.75

635

633.95

641.2

633.95

639.55

639.75

645

636.9

640.05

636.5

641

635.5

639

09-Nov14
12-Nov14
13-Nov14

638.25

643

635

639.35

637.25

653.8

637.25

651.3

651

651.9

646.2

647.05

15-Nov14
16-Nov14

647

647.4

639

646.25

643

648.6

640.15

642.25

19-Nov14

639.75

647.9

639.45

646.75

22-Oct14
23-Oct14

02-Nov14
05-Nov14
06-Nov14
07-Nov14
08-Nov14

57
1.210311
2
1.670644
39
0.766823
2
0.512537
45
0.031379
9
0.541473
75
1.084920
4
0.086798
71
0.883002
2
0.270442
25
0.745676
66
0.716535
43
0.078179
97
0.164049
7
0.054773
08
1.869085
79
0.652541
1
-0.123638
0.618955
5
0.700661
74

20-Nov14
21-Nov14
22-Nov14
23-Nov14
26-Nov14

649.1

655.9

648.25

653.85

655.15

665.5

649.7

663.7

666.8

671.15

664

669.1

669.5

672.6

659.05

669.75

673

673.7

660.1

661.9

27-Nov14
29-Nov14
30-Nov14
03-Dec14

664.9

683.8

664.9

680.5

677.5

703.75

675.4

699.85

701

705.5

689.6

703.95

700

701.15

684

686.95

04-Dec14

684.1

690

681.05

685.15

05-Dec14
06-Dec14
07-Dec14

689

695

687

692.6

695.8

698.5

680.8

694.75

695.25

698

688

693.1

10-Dec14

690

696.5

689.65

693

11-Dec14

695.25

699

686.3

690.85

12-Dec14
13-Dec14

691.25

696

688.5

693.85

693.85

696

689

691.05

14-Dec14

690.05

694.4

685.35

688.75

17-Dec14

687.9

687.9

673.6

676.5

18-Dec14

677.95

682.2

669.75

675.95

1.097796
68
1.506461
73
0.813620
61
0.097145
42
1.172079
1
2.810092
16
2.843497
43
0.585839
82
2.414944
2
0.262027
8
1.087353
13
0.310424
49
0.237495
5
0.014427
9
0.310245
3
0.434247
67
0.403545
4
0.332826
9
1.778584
4
0.081300

19-Dec14
20-Dec14

674.55

689.25

674.5

688

686

687

680.25

683.4

21-Dec14

681

682

674.05

676

24-Dec14
26-Dec14
27-Dec14

680

680.15

671.8

676.1

678.1

684.85

673.1

680.3

684

684

676.7

680.1

28-Dec14

681.1

683

674.15

677.65

31-Dec14
01-Jan15
02-Jan15
03-Jan15

677

680

674

678.6

682.1

685.1

679.65

684.5

689.9

690

683.05

687.35

690

690

680.4

683.35

04-Jan15

685

685

672.8

679.35

07-Jan15

683.7

683.7

666

668.2

08-Jan15
09-Jan15

668

673.4

665.7

670.25

672

672.55

666.05

667.5

10-Jan15
11-Jan15
14-Jan15
15-Jan15

669.5

678

666.5

675.8

676.9

676.9

666.7

669.3

8
1.782676
23
0.668604
7
1.082821
2
0.014792
9
0.621209
88
0.029398
8
0.360241
1
0.140190
36
0.869437
08
0.416362
31
0.581945
2
0.585351
6
1.641274
7
0.306794
37
0.410294
7
1.243445
69
-0.961823

668.15

670.5

667.1

669.3

670.8

675.45

665

668.3

665.55

669.2

657.6

660.5

0.149409
8
-

16-Jan-

15
17-Jan15
18-Jan15

657.7

670.85

654.05

666.8

670

674

655.3

662.85

21-Jan15

660

663.4

654.75

658.55

22-Jan15
23-Jan15
24-Jan15
25-Jan15
28-Jan15
29-Jan15

658.5

661

647.55

653.75

657

663

654.35

656.6

655.6

662.75

655.25

660.3

660.3

667

655.55

665.05

665.25

672

664.45

670.35

670.75

670.9

650

652.45

653

658.4

644

656.65

656.6

657.9

640.1

643.05

01-Feb15

644.8

644.85

636.2

640.15

04-Feb15
05-Feb15

641.15

649.5

640

646.9

636.35

647.2

636.35

644.15

06-Feb15

646.6

646.9

637.2

639.5

07-Feb15
08-Feb15
11-Feb15
12-Feb15
13-Feb15

636.3

643

634.55

641.5

640.5

653.4

640.5

650.05

650

659.95

650

656.95

655.65

667

655.65

665.2

663.3

667.4

659.5

664.2

30-Jan15
31-Jan15

1.167140
5
0.953822
86
0.592381
5
0.648713
9
-0.728874
0.435946
46
0.563508
99
0.719369
98
0.796932
56
2.670246
9
0.643727
49
2.071118
6
0.450975
8
1.054440
37
0.425104
3
0.721881
5
0.312744
33
1.332813
72
1.061456
81
1.255803
33
0.150330

664

678.4

662

674.8

671.7

680.8

668.2

676.75

678

680.9

674

676

19-Feb15

674.5

677.4

671.55

674.8

20-Feb15
21-Feb15
22-Feb15
25-Feb15

677.5

680.8

674.9

676.95

675

677.45

664.05

666.25

7
1.595904
85
0.288974
51
0.110823
8
0.177514
8
0.318612
92
-1.580619

662.2

666.4

657.55

659.3

-1.043152

663.25

665.2

654.1

656.45

26-Feb15

654.8

663

645.4

651.25

27-Feb15

652.3

654

640.9

642.75

28-Feb15

646.95

654.95

619.35

625.35

0.432276
7
0.792139
5
1.305182
3
2.707117
9

14-Feb15
15-Feb15
18-Feb15

PERFORMACNE OF HDFC BANK

Growth =

625.35 622.85 *100

622.85

= 0.40%
DAT A INTERPRETATION: The above chart indicating performance of HDFC bank
for the given period. Where the stock records very low fluctuations ups and downs, but
closed near to open price only. Stock opened at 629 and created a high price of 705.5, in
the end of November created low value of 615.20 and by 28th February stock reached to
625.35. It seems stock has moved 15% from low to high in five months. Where, investors
have low risk and low returns.

HDFC BANK results

Money control Bureau
India's second largest private sector lender HDFC Bank on Friday reported a
persistent 30% year-on-year jump in its third quarter net profit at Rs 1,859 crore, driven
by robust growth in other income and loan expansions. Since the last 30-31 successive
quarters, the net profit growth has been in the range of 30-31%.

During the quarter, net interest income or the difference between interest earned and paid
out, rose nearly 22% to Rs 3,800 crore. Other income increased 27% to Rs 1,800 crore
aided by growth in fee and commission income.
The quarterly numbers were almost in line with analyst expectations barring a small blip
in non-performing assets. Gross non-performing asset (NPA) ratio rose to 1% as against
0.91% in the July-September quarter. Net NPA ratio remained at 0.20%, little changed
from the previous quarter. Provisions and contingencies stood at Rs 307, up by Rs 14
crore from the previous quarter.
"The bank's provisioning policies for specific loan loss provisions remained higher than
regulatory requirements. The NPA coverage ratio based on specific provisions (not
including write-offs, technical or otherwise) was at 80% as on December 31, 2014. Total
restructured loans (including applications received and under process for restructuring)
were at 0.3% of gross advances as of December 31, 2014," HDFC Bank said in a press
release.
During the three month period, the loan book expanded more than 24% y-o-y to Rs 2.41
crore. Retail loans escalated about 30% y-o-y to Rs 1.30 lakh crore. This is way above the
industry credit growth at around 16%. However, the bank refrains from lending long term
significantly. Project finance, launched more than a year back, currently stands around
4% of the loan book.

PERFORMANCE OF SBIN FROM 1ST October 2014 TO 28th February 2015

Date

Open
High
Low
Close
%of
Price
Price
Price
Price
change
01-Oct2242.4
2278.7
2240.2
2270.15
0
14
03-Oct2280.95 2302.35 2253.05
2296.9
1.178336
14
23
04-Oct2310
2349 2304.25
2345.7
2.124602
14
73
05-Oct2350 2362.55
2011.3
2339.45 -0.266445
14

08-Oct14

2340.5

2340.5

2261.3

2269.45

09-Oct14
10-Oct14

2293.9

2306

2257.3

2282.55

2258

2263.85

2218.5

2223.55

11-Oct14
12-Oct14

2227

2283.7

2191.4

2267.15

2269.7

2294.45

2245.1

2251.75

2248

2269.65

2230.8

2264.45

2270.45

2285

2223.9

2228.85

17-Oct14

2246.2

2255.9

2202.1

2214.7

18-Oct14
19-Oct14

2228.35

2283.7

2207

2278.2

2270

2279.85

2234

2257.75

22-Oct14

2227

2259.9

2225.25

2240.95

23-Oct14

2240

2267.95

2230.55

2234.7

25-Oct14

2239.8

2250.35

2195

2199.35

26-Oct14

2185

2204.7

2161

2173.35

29-Oct14

2172.85

2204.45

2156.85

2167.7

30-Oct14

2169

2199.8

2065.55

2074.3

31-Oct14
01-Nov14
02-Nov-

2072

2114.6

2057.55

2110.25

2112

2124.6

2098.45

2115.5

2140

2159

2125.1

2152.45

15-Oct14
16-Oct14

2.992156
3
0.577232
37
2.584828
4
1.960828
41
0.679266
9
0.564005
77
1.572125
7
0.634856
5
2.867205
49
0.897638
5
0.744103
6
0.278899
6
1.581867
8
1.182167
5
0.259967
3
4.308714
3
1.733114
79
0.248785
69
1.746632

14
05-Nov14

2142.9

2153.8

2128.2

2144.75

06-Nov14
07-Nov14
08-Nov14
09-Nov14
12-Nov14
13-Nov14

2130.95

2177.5

2130.95

2173.15

2168.35

2229.7

2164.5

2217

2189

2266.9

2182.25

2242.3

2236.6

2269.35

2148

2155.05

2165.1

2194.9

2124.05

2190.3

2189.9

2190.1

2160

2171.35

15-Nov14

2152

2182

2138.4

2153.7

16-Nov14

2153.7

2169.95

2101.1

2108.45

19-Nov14

2124

2124

2084.4

2093.9

20-Nov14
21-Nov14

2110

2118.8

2053

2066.5

2071

2074.4

2041

2061

22-Nov14
23-Nov14

2067.6

2114.55

2067.6

2098.45

2110

2111.45

2075.3

2089.5

26-Nov14
27-Nov14
29-Nov14
30-Nov14
03-Dec14
04-Dec14
05-Dec-

2096.5

2109.65

2080

2091.9

2101.7

2123.05

2095

2115.15

2128.15

2142

2105.65

2131.85

2149

2187

2145.6

2170.3

2180

2210

2173.5

2204.05

2208

2249.2

2202.4

2239.55

2248

2283

2245.2

2271.8

0.357731
9
1.324163
66
2.017808
25
1.141181
78
-3.891094
1.635692
91
0.865178
3
0.812858
4
2.101035
4
0.690080
4
-1.308563
0.266150
5
1.817079
09
0.426505
3
0.114860
01
1.111429
8
0.789542
11
1.803597
81
1.555084
55
1.610671
26
1.440021

14
06-Dec14
07-Dec14
10-Dec14
11-Dec14

2281

2317.95

2240

2307.2

2316.4

2339.6

2300.05

2316.2

2322.4

2326.8

2301.1

2320.25

2329.7

2338.55

2282.7

2308.8

12-Dec14

2310

2317.95

2286.4

2294.9

13-Dec14

2302.5

2325

2255.1

2262.6

14-Dec14
17-Dec14
18-Dec14
19-Dec14

2266.15

2327

2253.85

2320.25

2318.75

2349

2311.95

2344.3

2350

2382

2279

2372.7

2385

2408.15

2362.75

2372.3

20-Dec14
21-Dec14

2368.45

2398.8

2342.55

2381.25

2355.1

2376.65

2327.5

2334.45

24-Dec14

2340

2359

2325

2331.3

26-Dec14
27-Dec14
28-Dec14

2336.7

2380

2323

2370.85

2370.85

2397.5

2362.7

2388.35

2394

2397.35

2369.1

2379.5

2370

2396.7

2368.65

2385.5

2404.9

2434.05

2397.55

2426.45

2450

2464

2438.15

2450.55

2460

2482.4

2436.2

2471.6

2460

2492.95

2450.65

2486.7

31-Dec14
01-Jan15
02-Jan15
03-Jan15
04-Jan-

43
1.558235
76
0.390083
22
0.174855
37
0.493481
3
0.602044
4
1.407468
7
2.547953
68
1.036526
24
1.211449
05
0.016858
4
0.377271
1.965354
3
0.134935
4
1.696478
36
0.738131
89
0.370548
7
0.252153
81
1.716621
25
0.993220
55
0.858990
84
0.610940

15
07-Jan15

2490

2499

2461.75

2467.6

2468

2500

2463

2493.35

2494

2540

2494

2522.8

2539.95

2551.7

2522.5

2539.1

2549

2550

2483.25

2491.05

14-Jan15
15-Jan15

2491

2519.95

2475.2

2499.75

2505

2517.4

2470.2

2489.85

16-Jan15

2480

2493.5

2424

2432.4

17-Jan15
18-Jan15
21-Jan15
22-Jan15

2425.5

2482.45

2423

2469.85

2485

2517.65

2478.1

2492.05

2495

2511.4

2490.1

2499.45

2490

2509

2454.4

2464.45

23-Jan15
24-Jan15

2471

2492.05

2452.15

2480.4

2480

2484.35

2440.55

2459.15

25-Jan15
28-Jan15

2459.7

2524.8

2448

2513.7

2525

2533.8

2483

2491.55

29-Jan15

2490.55

2535

2455.05

2462.45

30-Jan15

2477

2487

2426.6

2436.1

31-Jan15
01-Feb-

2436

2456.65

2416.15

2438

2431

2452.1

2401

2412.35

08-Jan15
09-Jan15
10-Jan15
11-Jan15

28
0.768086
2
1.043524
07
1.181141
84
0.646107
5
1.892402
8
0.349250
32
0.396039
6
2.307367
9
1.539631
64
0.898840
01
0.296944
28
1.400308
1
0.647203
23
0.856716
7
2.218246
14
0.881171
2
1.167947
7
1.070072
5
0.077993
51
-

15
04-Feb15

2417.5

2429.25

2345

2352.6

05-Feb15
06-Feb15

2350

2380.6

2328.1

2371.5

2385

2387.9

2342

2348.7

07-Feb15

2334

2364

2320.15

2326.6

08-Feb15

2320

2342.9

2276.1

2286.15

11-Feb15
12-Feb15
13-Feb15

2289.9

2311.9

2277.35

2294.35

2301

2307.6

2278.8

2296.4

2302

2323.25

2242.5

2254.7

14-Feb15

2250

2269

2175

2215.75

15-Feb15
18-Feb15
19-Feb15
20-Feb15

2207

2247.7

2205.15

2233.45

2235

2268.8

2235

2262.7

2268.85

2280

2237

2273.5

2285

2287.15

2246.6

2252.05

21-Feb15

2239.4

2242.95

2200.15

2210.55

22-Feb15

2211

2225.45

2190.05

2196

25-Feb15
26-Feb15

2210

2239

2201.05

2220.9

2208

2216

2188.65

2198.4

27-Feb15
28-Feb-

2212.45

2232.65

2197

2213.4

2234

2236.7

2051

2080.9

1.052091
9
2.476837
9
0.803366
49
0.961416
8
0.940946
1
1.738588
5
0.358681
63
0.089349
92
1.815885
7
1.727502
6
0.798826
58
1.309633
08
0.477305
87
0.943479
2
1.842765
5
0.658207
2
1.133879
78
1.013102
8
0.682314
41
-

15

5.986265
5

PERFORMANCE OF SBIN

DATA INTERPRETATION: The above data indicating performance of SBIN for the
given period. Recorded highest intraday fluctuations and more bearish days than bullish
days, this is the one cause stock fall close to 8.5% in 5 months. One of the major reason
for fall impact of railway budget and Central budget, stock fall 6% at end of February. On
results day also stock moved into negative zone. Here few more causes impacting stock
to fluctuate ups and downs, the same explained graphically with above intraday graph
SBIN RESULTS:
Money control Bureau
India's largest lender, State Bank of India 's (SBI) has posted a better than expected third
quarter (Oct-Dec) performance. State Bank of India has posted a net profit after Minority
Interest of Rs. 46484.40 mn for the quarter ended December 31, 2014 as compared to Rs.
43180.80 mn for the quarter ended December 31, 2013.
Total Income has increased from Rs. 431064.90 mn for the quarter ended December 31,
2013 to Rs. 509421.40 mn for the quarter ended December 31, 2014.

Net NPA ratio increased to 2.58% compared with 2.44%. However, both ratio improved
when it is compared year-on-year basis.
Other income zoomed more than 75% Y-o-Y to Rs 3,648 crore. Net interest margin
(NIM) contracted marginally from 3.77% in Q2 to 3.72% in Q3, 2014-15.
India's largest lender expanded its loan book nearly 16% to Rs 9.78 lakh crore. Gross
non-performing asset ratio increased to 5.30% (at Rs 53,460 crore) as against 5.15% in
the July-September quarter, suggesting that asset quality pain is not yet fully over. Net
NPA ratio increased to 2.58% compared with 2.44%. However, both ratio improved when
it is compared year-on-year basis.
Accordingly, provisions for bad loans upped 46 percent quarter-on-quarter to Rs 2,766
crore. The same was at Rs 3,000 crore (excluding a write-back of investment provision at
Rs 870 crore) a year back.
CORRELATION: Based on above data applied correlation matrix for analysis.
CORRELATION MATRIX AMONG NIFTY, IT SECTOR & IT SECTOR STOCKS
NIFTY

IT

INFOSYS

IT

0.212973

INFOSYS

0.116784

0.950845

WPIRO

0.282876

0.578237

0.483623

TCS

0.132959

0.667839

0.448695

WIPRO

0.32918

WITH NIFTY:
1. Nifty to IT sector correlation is 0.212973 so; its positive correlation
between nifty and IT sector.
2.

Nifty to IT sector companies like Infosys,Wipro,Tcs correlation also

indicating positive correlation

WITH IT SECTOR:

1. IT sector to IT sector companies values also in positive 0.954872, 0.699809 &

0.807348 respectively. Here we can see positive correlation
WITH IT SECTOR COMPANIES:
1. Infosys to Wipro 0.483623, positive correlation and Infosys to TCS 0.448695
positive correlation and Wipro to TCS is 0.32918, indicating positive correlation.

CORRELATION MATRIX AMONG NIFTY, BANKING SECTOR & BANKING

SECTOR STOCKS
NIFTY

BANKING

HDFC

BANKING

0.910833

HDFC

0.555551

0.648717

ICICI

0.81517

0.868226

0.400572

SBI

0.709642

0.77513

0.329788

ICICI

0.552616

Above table indicating correlation between NIFTY to BANKING sector and nifty to
HDFC, ICICI, SBI and inter companies correlation. The correlation values taken with the
help of 5 months data from 01st October 2014 to 28th February 2014.
WITH NIFTY:
1. NIFTY to banking sector correlation is 0.910833. Indicating positive
correlation.
2. NIFTY to all the banking sector companies HDFC, ICICI, SBI correlation
values 0.555551 and 0.81517 and 0.709642 respectively. Here also
indicating positive correlation.
WITH SECTOR:
1. Banking sector to all the companies in the sector correlation values are 0.555551,
0.81517, 0.709642 respectively indicating positive correlation.
WITH BANKING SECTOR COMPANIES:
1. HDFC to ICICI 0.400572 and HDFC to SBI 0.329788 & ICICI to SBI 0.552616,
so inter companies correlation also positive in banking sector.

Correlation with intra sector companies

ICICI

HDFC

SBIN

INFOSYS

-0.04036

-0.05632

-0.04795

WPIRO

0.13021

0.12958

0.105676

TCS

-0.02098

0.121876

-0.10309

WITH INTRA LINKED COMAPNIES

The above table indicating intra companies correlation.
1. ICICI to INFOSYS, negative correlation.
2. ICICI to WIPRO , positive correlation
3. ICICI to TCS , negative correlation
4. HDFC to INFOSYS, negative correlation
5. HDFC to WIPRO, positive correlation.
6. HDFC to TCS, positive correlation
7. SBIN, to INFOSYS, negative correlation.
8. SBI, to WIPRO , positive correlation
9. SBIN ,to TCS, negative correlation.

CHAPTER 5
Findings, Suggestions &
Conclusion

FINDINGS:

All stocks from NSE will not have same weight, based on previous history of
company and traded volume company weight decided by NSE. Reliance group of
stock has more weight in index.

Sector Indices only weight of respective sector stocks only. But nifty is weight of

all sector stocks.

On account of Railway budget market fall close to 80 points and on account of
GENERAL budget, market fall close to 120 points. In special situations market

reacts with high volatility.

Inflation, interest rates, IIP, financial results, international markets and few other

factors like fiis net selling and net buying are major causes for volatility.
Decreased share value is not an impact to decrease profits of company, because in
current market, share price purely based on speculation. If one can observe in
above analysis from 2008 to 2009 FY all stocks and Indices faces fall in their

prices, but the net profit was increased in the all stocks in the given period.
According to previous history about INFOSYS results impact during 2 nd quarter
results announcement stock has shown growth instead of fall. But the same stock

fall after announcement of third quarter results.

The impact of Railway budget and general budget is negative on banking index

and Nifty. Both indices faced selling pressure and fall close to 3 to 5%
ICICI bank has given negative returns for the given period.
On 11th January 2015, IT index moved up 9.33% on account of 3 rd quarter results
of Infosys.

FINDINGS WITH HISTORICAL DATA

o FY2007 TO 2014 Nifty has given 45.74%, IT 28.05% % BANKING has
given 105.90% and recorded as top.
o Infosys has given 49.05%, TCS has given 96.65% and WIPRO has given
41.5% and TCS recorded as top performer.
o SBIN has given 68.3%, HDFC 130.70% & ICICI bank has given 8.5%

and HDFC recorded as top performer.

o Highest performance by HDFC BANK
o Least performance by ICICI BANK.
NIFTY is always an average performance of 50 stocks, during the study nifty has
given only 45.74% where other companies might have given less performance or
high performance than nifty.

Maximum combinations proved positive correlation except few combinations for

the given data from 1st October 2014 to 28th February 2015 with all the sample

three indices and six companies.

Media is playing a vital role in stock market. Because now a days maximum
investors trading on NEWS based. Channels informing the support levels and

resistance levels time to time in the market. There is a chance to avoid high risk.
Infosys has major weight in IT index and also have second priority in Nifty, even
though Infosys unable to give better performance for the given period.

SUGGESTIONS:

Based on my personal experience, I would like to suggest that direct equity

investments need more concentration than any other instruments. If an investor

really has time to monitor his investments then only he should give priority.
Diversified portfolio (Investments) always gives positive returns. Here investor

has to diversify his risk with multiple options.

When blue chip companies announcing financial results its better to enter call

option and put option.

Speculative trading is very risk, when investor follows support and resistance

levels he can avoid unwanted risks.

Better to avoid fresh investment in special situations like announcement of
financial results and budget, where investors have high risk.

CONCLUSION:
Technology stocks bucked the broader market trend as the rupee weakened to its lowest level in 13 months.
Pull-back was seen majors such as InfosysBSE 1.81 % and TCS, which had corrected sharply in the last
few sessions.
The BSE IT Index closed up 1.66 per cent against 1.97 per cent fall in S&P Sensex.
The Indian rupee, alongwith other global currencies, is weakening against the US dollar. Outflows of funds
from riskier assets also put pressure on the Indian rupee.
The partially convertible rupee was at 63.41 per dollar, down 47 paise, against its previous close of
62.94/95. The unit earlier dropped to intraday low of 63.54.
Indian IT companies tend to benefit from a weak rupee as it improves their margins and profitability. Not only
currency, the sector is likely to benefit from pick-up in the US economy.
"We recommended buying TCS, Infosys, Tech Mahindra, HCL Tech, Persistent System and Mindtree
yesterday. These are some of the names in .. the IT pack; as a disclosure, we do have a positive coverage.
From an investment angle one can definitely buy them. It is not only the rupee-dollar equation that we are
banking on, we are more optimistic on the business environment outlook going forward," said Gaurang
Shah, VP, Geojit BNP Paribas Financial Services.
According to P Phani Sekhar, Fund Manager-PMS, Angel Broking, Indian IT can grow 15-17 per cent in
rupee terms and around 10-12 per cent in dollar terms.
"Relatively this is a strong sector and valuations, as compared to say that other defensive like pharma or
FMCG, are much more attractive. Infosys is trading at 14.5 times and TCSBSE 2.03 % at around 17.5 times.
These are not at all difficult multiples when these companies will grow at around 20 per cent," he told ET
Now.
HCL Tech closed at Rs 1,554.40, up 4.58 per cent, on the BSE. It rallied 5.28 per cent to touch intraday high
of Rs 1,564.80.
TCS closed at Rs 2443.15, up 3. ..
Read more at:
http://economictimes.indiatimes.com/articleshow/45531788.cms?
utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

BIBLIOGRAPHY:
Books :

Investment analysis
r.madhumathi.

Security analysis. of icfai.

Financial markets and services. , by gordon & natrajan.

Investment management. , v.k. bhalla.

Research methodology, by c.r.kothari

Websites:
www.nseindia.com
www.bseindia.com
www.sebi.org.in
www.moneycontrol.com

and

portfolio

management.

by m.ranganatham

&