It Fin Repaired)

INTRODUCTION
OF
TOPIC
-1-
Bhagwan Mahavir College Of Business Administration
Introduction of Fundamental Analysis
Fundamental analysis is the cornerstone of investing. In fact, some would say that you aren't
really investing if you aren't performing fundamental analysis. Because the subject is so broad,
however, it's tough to know where to start. There are an endless number of investment strategies
that are very different from each other, yet almost all use the fundamentals.
The goal of this tutorial is to provide a foundation for understanding fundamental analysis. It's
geared primarily at new investors who don't know a balance sheet from an income statement.
While you may not be a "stock-picker extraordinaire" by the end of this tutorial, you will have a
much more solid grasp of the language and concepts behind security analysis and be able to use
this to further your knowledge in other areas without feeling totally lost.
The biggest part of fundamental analysis involves delving into the financial statements. Also
known as quantitative analysis, this involves looking at revenue, expenses, assets, liabilities and
all the other financial aspects of a company. Fundamental analysts look at this information to
gain insight on a company's future performance. A good part of this tutorial will be spent
learning about the balance sheet, income statement, cash flow statement and how they all fit
together.
But there is more than just number crunching when it comes to analyzing a company. This is
where qualitative analysis comes in - the breakdown of all the intangible, difficult-to-measure
aspects of a company. Finally, we'll wrap up the tutorial with an intro on valuation and point you
in the direction of additional tutorials you might be interested in.
(Also, although it's not required, you might find it helpful to read our Investing 101 tutorial, as
well as our tutorial on Stock Basics, before starting.)
Ready? Let's dive into things with our first section, what is it?
-2-
What is Fundamental Analysis?
Fundamental Analysis is the study of the basic factors affecting a company’s operation and its
future profitability. By evaluating these factors, fundamental analysis attempts to derive the
intrinsic value (or the true underlying value) of a company’s stock.
This includes a study of the above mentioned factors (the economy, the sector in which the
company operates the company’s investments, its profitability, etc.), as well as an analysis of the
company’s financials: The profit and loss account, the balance sheet, and the cash flow
statements.
Fundamental Analysis does not take into consideration any past price movement of the stock.
-3-
RESEARCH METHODOLOGY
-4-
REASEARCH METHODOLOGY
Objective of the Project
Primary Objective:-
To find out the fair valuation of It industries scripts for year 2008-09
Secondary Objective:-
To study the performance of economy & its impact on It industries.
To study the current performance of It industries industry & its future prospects.
To analyze company & its performance.
-5-
Source of the Project
Every project should be done scientifically and to have that system a proper methodology should
be followed to have the proper, logical, rational, systematically analysis of data. So every should
go through the method which can provide optimum result to the leader.
The methods which can be followed to have the perfection in the project are given below:
Primary Sources
When any authorized organization or an investigator or an enumerator collect the data
for the 1st time himself or with help of an institution or an expert than the data collected
are called primary Data.
So data for the analysis is collected from Primary Sources.
Secondary Sources
When an authorized organization or an investigator uses the data already collected by some other
authorized agency or investigator, then such data become secondary data for the user
organization or investigation. Secondary Data are by a large variable from publications or
periodical of authorized agencies or institutions.
The main sources of data collected for this project is Secondary Source. In that also most of data
is collected from the websites.
To study and analyze the external environmental factor (macro) like “Economy as a whole”.
To select a sector, which is most promising i.e. here is It sector is selected.
To study various scripts their balance-sheet, Profit & Loss A/C, Annual A/c etc. in as in-depth
manner by means of ratio analysis to find out sustainability and profitability of a specific
company.
-6-
To study through various other tools like current news about the company etc in order to get a
complete idea of fundamental analysis of IT sector in particular.
To analysis of technical charts of the company.
Providing final conclusion so as to the fundamental & General analysis of IT sector.
Limitation of the Project
To common limitation of the project is that the project is based on future and as we know that the
future is always uncertain, the project predicts all about the future but the preceding the future is
one limitation because of the uncertainty of the future.
In project the ratio analysis & common size statement is calculated but the calculation is also one
limitation. There can be problem of choosing technique for calculation. Manpower can also be a
problem because of limitation of man.
The input by using which the project is made is secondary data & no primary data is used in
making the project. So, there can be fault in secondary data or can be problem in obtaining the
secondary data.
The return or profit has to earn from the stock market, which also belong to certain limitation
like there are different trend in stock market or speculative transaction etc, which can affect the
probability of investors.
This project refers to invest in share of particular company. The company management also one
limitation.
Finally, there is limitation of analysis, which is ration analysis, common size statement and
which are subjective & different people will understand or interpret it differently.
-7-
INTRODUCTION
OF
ARIHANT CAPITAL
MARKET LIMITED
-8-
ABOUT ARIHANT CAPITAL MARKETS LIMITED
Arihant Capital Markets Limited is one of the leading financial services companies in India. We
provide a gamut of products and services including securities and commodities broking,
investment planning, wealth management and merchant banking to a substantial and diversified
clientele that includes individuals, corporations and financial institutions.
We are committed to giving our customers the best services and holding to our core values which
always place our client's interests first. These values are reflected in our Business Principles,
which emphasize integrity, commitment to excellence, innovation and teamwork.
We have presence in 20 states with over 300 offices across the nation. Clients turn to Arihant for
its complete platform of financial services combined with excellent execution.
We have a dedicated institutional team, which caters to mutual fund houses, insurance
companies and almost all the banks active in the capital market segment.
Our goal is to create wealth for our retail and corporate customers through sound financial advice
and appropriate investment strategies.
-9-
ARIHANT STRENGTHS
Trusted Knowledge
30000+inve based
stors,35+ins execution
Ethics with
titutions & excellence
150+associ
ates
ARIHANT LTD.
CAPITAL MARKET
Personalise
Tevvy
d services
chno-sa
Transparen
Integrity cy in
dealings
- 10 -
VISION, PHILOSOPHY, MOTTO ,ASPIRE
Our Vision
“to be a leader in setting standards for quality, investor satisfaction and to enhance the wealth of
our investors”
Our Business Philosophy
 Integrity and transparency in all transactions.

 Providing investment solutions based on quality and unbiased research.
 Providing personalized services to all investors, institutions, business associates.
 Achieving success through client's growth.
 Making financial services more affordable
What we aspire
To be the pre-eminent and most trusted provider of financial services.
The values to which we aspire can be summarised in 5 principles:
 Integrity
 Client commitment
 Strive for profitability
 Excellence
 Innovation
Our Motto
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“Our motto is to make our customer smile - To have complete harmony between Quality-in-
Process and continuous improvement to deliver exceptional service that will delight our
Customers and Clients”
Our history
Arihant Capital Markets Limited was established in 1994 by Mr. Ashok Kumar Jain, a Chartered
Accountant. Arihant has followed a consistent growth path and has established itself as one of
the leading broking houses of the country with the support and confidence of its clients,
investors, employees and associates. We pride ourselves on our independence and continuous
service since inception.
Since inception, Arihant is dedicated to creating wealth for clients and over a period of time we
have built a reputation for quality service. We have also refined ourselves as an investment
advisor and are poised to provide complete investment management solutions to our valued
clientele.
- 12 -
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OVERVIEW
“Our success is defined by the success of our clients”
Arihant has developed a diverse and robust portfolio of financial services to help our customers
manage their money in the way that benefits them most.
With more than 500 professionals and staff working in 90 plus cities, Arihant has the resources
and nationwide reach to ensure the highest level of personalized service.
Our fundamental mission is to provide our clients everything they need to do better — as
realizing their strategic visions is our shared objective. Our service achieves these goals by
putting clients at the center of everything we do. Our client-centric approach, ethical and
transparent business practices, research-based advice, implementation of cutting-edge technology
and keeping up-to-date to the ever changing world of finance has helped our clients grow with
the surging Indian economy over the years.
- 14 -
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Our associations
Arihant Capital Markets Limited is listed on the Bombay Stock Exchange since 1993 and since
then the company has grown in leaps and bounds.
We are members of the leading stock exchanges of India:
 National Stock Exchange (NSE)

 Bombay Stock Exchange Limited (BSE)
We are a depository participant with:
 National Securities Depositories Limited (NSDL)

 Central Depository Services Ltd. (CDSL)
We are members of leading commodities exchanges in India:
 National Commodities Exchange (NCDEX)

 Multi Commodities Exchange (MCX)
We are registered with the SEBI for Portfolio Management Services (PMS) and
are a Category - I Merchant Banker.
- 16 -
SERVICES PROVIDED BY ARIHANT
Arihant, provides variety of services which have been proved user friendly and customer
oriented services. That includes
 Equity (NSE and BSE)

 Derivatives
 Online Trading (NSE, BSE, F&O, IPO)
 Commodities (NCDEX, MCX)
 Depository (NSDL, CDSL)
 Mutual Funds and IPO
 HNI Services (PCG and PMS)
COMPANY PROFILE
ARIHANT CAPITAL MARKET LTD. ADDRESS
E/5, Ratlam Kothi Area
Indore
452001
Tel:(0731) 251 9610-11-12, 3048915
Fax: (0731)251 9817
www.Arihantcapital.com
- 17 -
KEY EXECUTIVES
Mr.Ashok.jain
chairman
Mr.Ashish.Maheshwari
Director
Mr.Anita.Gandhi
Head-institutional-business
Mr.Ashok.Lunawat
President-Research
Mr.Arpit.Agrawal
CEO-Head PMS
Mr.Rakesh.Garg
COO
- 18 -
2.1 INVESTMENT
Introduction of Investment.
Introduction of Capital Market.
- 19 -
 What is Investment :
Investment is the Employment of Funds with the aim of achiving additional income or growth in
value. The essential quality of an interest is that it involves “Waitaing” for a reword. It Involves
the commitment of resource which have been saved or put away from current consumption in
the hope that benefits will acquire in future.
The term investment refers to fund investment in various securities consist of Government &
semi- Government, Security loan, Debentures of local authorities, such as Port trust, Muncipal
Corporation & Debentures & Shares of Companies, Investment respents legal assets of Special
nature. There are various forms of investment available with their relative merits & demerits.
 Economic Investment
 Commitment Investment
 Financial Investment
(A) Economic Investment :
Economic Investment means the net additional to the capital stock of the society which consists
of Goods and Service that are used in the Production of other Goods and Service. Addition to
the capital stock means an increase in buildings, Plante, Equipment and Inventories over the
amount of Goods and Service that existed.
(B) Commitment Investment :
Commitment Investmen refers to money commitment to satisfy Personal desires since no rate of
return is involved in such investment nor capital growth is expected.
- 20 -
For ex: Commitment of money to a new car is certainly an investment from an individual point
of view.
(C) Financial Investment :
It involves the investment of funds in various assets, such as Stock, Bonds, Real Estate and
Mortgages etc. Investment is the employment of funds with the aim of achieving additional
income or growth in value. It involves the commitment of resources which have been saved or
put away from current consumption in the future investment involves long term commitment of
funds and waiting for a reward in the future.
 Importance Of Investment
 Incresses in life Expectancy

 Incressing Rate of Taxation
 Interest Rates
 Inflation
 Income
 Investment Channels
- 21 -
 Investment Process
(Step-1) Framing of Investment Policy
o Determination of Investment amount

o Determination of Protfolioi Objectives
o Identification of Potential Investment Assets
o Allocation of wealth to Assets Cutegories
(Step-2) Valuation of Investment
o Valuation of Stocks
o Valuation of Debentures
o Valuation of Bonds
o Valuation of Other Assets
(Step-3) Investment Analysis
o Equity Analysis
o Screening of Industries
o Analysis of Industries
o Quantitative Analysis Of Stocks
(A) Debentures and Bonds Analysis
o Analysis Of Yield Structure

o Consideration Of Debentures
o Quntitative Analysis Of Debenturs
(B) Other Assets Analysis

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o Quntitative Analysis
o Qualitative Analysis
(Step-4) Portfolio Construction

o Determination Of Diversification level
o Consideration Of Investment Timing
o Selection Of Investment Assets
o Allocation Of Funds to Assets
o Evaluation Of Protfolio For Feedback
 Modeals Of Investment
There are different types of Securities conferring sets of rights on the investors and different sets
of condition under which these rights can be exercised. The various avenues for investment
ranging from less-risk to high-risk investment opportunity consist of both security and non-
security forms of investment. All securities forms given below are marketable.
(A) Security Forms Of Investment (Marketable)
a. Corporate Forms Of Investment

o Convertible
o Non- Convertible
b. Public Sector Bonds

o Taxable
o Tax Free
c. Preference Share
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d. Equity Share
o New Issue
o Right Issues
o Bonus Issue
(B) Non - Security Forms Of Investment (Non-Marketable)
a. National Saving Scheme
b. National Saving Certificates
c. Provident Fund
o Statutory Provident Fund
o Recognized Provident Fund
o Un-Recognized Provident Fund
o Public Provident Fund
d. Corporate Fixed Deposits

o Public Sector
o Private Sector
e. Life Insurance Policies
f. Unit Scheme Of Unit Trust Of India

g. Post Office Saving Bank Account
o Recurring Deposits
o Time Deposits
o Monthly income scheme
o Social Security Certificate
h. Others
- 24 -
o Rahat Patras or Relief Funds
o India Vikas Patras
o Deposits in Banks
(i) Recuring Deposits
(ii) Time Deposits
2.2 CAPITAL MARKET
 CONCEPT :
Capital market is the markets for funds which have a long or indefine maturity i.e. It deal with
long term funds. Generally capital market supplies long term and medium term securities and
funds, which have a maturity period of above one year. Capital market generates the funds from
the saver and transfer to user. Generally it done with ordinary share, stocks, debentures and
- 25 -
bonds of corporations and securities of the government .They do so by converting financial
assets into productive physical assets.
Capital market provides a market mechanism for those who have savings and to those who need
funds for productive investments. It diverts resources from wasteful and unproductive channels
to productive investment.
 MEANING OF CAPITAL MARKET
“Capital market refers to the market for rising of financial resources by the business
enterprises, firms, government, semi- government bodies, public sector units and other
organization.”
Capital market is an organized market for long term funds required for meeting long term needs
of business enterprises. It converts savings into profitable investments for industrial
development.
Capital market is a wide term used to comprise all operation in the new issues market and stock
market. New issues made by the companies constitute the Primary marker. While trading in the
existing securities relates to the secondary market. While we can only buy in the Primary market,
we can buy and sell securities in the secondary market. Market comprises some who demand and
other who supply these resources.
- 26 -
THE CAPITAL SHARE MARKET
The origination of the Indian securities market may be traced back to 1875, when 22 enterprising
brokers under a Banyan tree established the Bombay Stock Exchange (BSE). Over the last 125
years, the Indian securities market has evolved continuously to become one of the most dynamic,
modern and efficient securities markets in Asia. Today, Indian markets conform to international
standards both in terms of structure and in terms of operating efficiency.
 Structure and Size of the Markets

Corporation of the exchanges assumes the counter-party risk of each member and guarantees
settlement through a fine-tuned risk management system and an innovative method of online
position monitoring. It also ensures the financial settlement of trades on the appointed day and
time irrespective of default by members to deliver the required funds and/or securities with the
help of a settlement guarantee fund. Today India has two national exchanges, the Bombay Stock
Exchange (BSE) and the National Stock Exchange (NSE). Each has fully electronic trading
platforms with around 9400 participating broking outfits. Foreign brokers account for 29 of
these. There are some 9600 companies listed on the respective exchanges with a combined
market capitalization near $125.5bn. Any market that has experienced this sort of growth has an
equally substantial demand for highly efficient settlement procedures. In India 99.9% of the
trades, according to the National Securities Depository, are settled in dematerialized form in a
T+2 rolling settlement environments. In addition, trades are guaranteed by the National Clearing
Corporation of India Ltd (NSCCL) and Bank of India Shareholding Ltd (BOISL), Clearing
Corporation houses of NSE and BSE respectively. The main functions of the Clearing
Corporation are to work out (a) what counter parties owe and (b) what counter parties are due to
- 27 -
receive on the settlement date. Furthermore, each exchange has a Settlement Guarantee Fund to
meet with any unpredictable situation and a negligible trade failure of 0.003%.
 INDIA’S SECURITIES MARKET
A Brief History
“The capital market is one of the most exciting sectors in the financial system, marking an
important contribution to economic development.”
Asia Focus was launched by the Unit Trust of India (UTI) in London in 1986. The success of this
initiative ensured that this fund was followed by numerous others. Indian companies are now
also allowed to raise equity capital in the international market through the issue of GDRs. Today,
there are 498 Foreign Institutional Investors who hold 1325 sub-accounts with a net investment
of approximately $15bn. India’s regulator, the Securities Exchange Board of India (SEBI) is
playing more of a development role rather than being merely a watchdog. Transparency,
competitiveness and equal opportunity to all market participants has been the driving philosophy
behind all the development and regulatory initiatives of SEBI. This makes the market place
attractive for foreign and domestic investors. With SEBI recognizing the benefits of, and actively
campaigning for the adoption of Straight through Processing as the market standard, the market
is making significant progress towards the goal of executing and settling the transactions without
any human intervention – the so called STP nirvana. Successful implementation of STP will
considerably reduce the transaction processing cost in the market, eliminating the manual work
involved in transaction processing. Other aspects of the market such as the increasing
sophistication and range of tradable financial products add to the attractiveness of the market as a
whole. The availability of derivative products including index futures, index options, individual
stock futures and individual stock options re-enforces the overall attractiveness of this market to
foreign and domestic investors. The derivatives market in only two years has shown spectacular
- 28 -
growth. Compared to last financial year the annual turnover grew by over 300%. As if further
evidence was needed of India’s willingness to embrace change, the availability of Internet
trading and dual fungibles of American Depository Receipts (ADRs) and Global Depository
Receipts (GDRs) provides a clear indication of the vibrancy and dynamism of the Indian
securities market.
CHART OF CAPITAL MARKET
CAPITAL MARKET
INDUSTRIAL GOVERNMENT LONG TERM

SECURITIES SECURITIES LOANS
MARKET MARKET MARKET
Primary Market
Secondary Market
- 29 -
TYPES OF SECURITIES MARKET
The securities market can be divided in to three part:
1.) Industrial securities market

2.) Government securities market
3.) Long term loans market
INDUSTRIAL SECURITIES MARKET
The industrial securities market consists of two complementary parts i.e. the New Issue Market,
and Secondary Market.
It is a market for industrial securities namely:

(i) Equity shares or ordinary shares or common stock.
(ii) Preference shares
(iii) Debenture or Bonds.
The corporate sector raises their capital through these above three types of securities. This is the
physical or tangible asset through which the market functions.
Company raises it capital in the primary market though:
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1) Primary Market :
Primary market is the market for those securities which are issued first time in the market for the
public. The New Issue Market deals with new securities i.e. securities which were not previously
availably and are offered to the investing public for the first time. Primary market is a market for
New issues or New financial claims. Hence, it is called New Issue Market. The market,
therefore, derives its name from the fact that it makes available a New Block of Securities for
public subscription. In the Primary market, borrowers exchange new financial securities for long
term funds. It facilitates capital formulation.
Companies raise ite capital in the primary market though:
(i) Public Issue
(ii) Right Issue
(iii) Primary placement/subscription
The most popular method of raising capital is sale of securities to the public by new companies is
called Public Issue. Right Issue means, when existing company first offered. The security to
existing shareholders on a Pre –emptive bases, while company want to raise additional capital is
called capital is called Right Issue. Private placement imagine private sale of securities to small
group investors.
2) Secondary Market :
Secondary market is the market for those securities which have already been available in the
market and listed on a stock exchange. The main benefit of Secondary market is securities sold
and purchased continuously among investors without involvement of company. This market
- 31 -
consists of all stock exchange recognized by the Government of India. The stock exchange in
India are regulated under the securities contracts (Regulation) Act, 1956.
Meaning
List of Different Sectors
Introduction about IT Sector
- 32 -
Meaning
The manufacturer of the some products is come together and establishes of homogeneous groups
and this group is called an industry which is particular sector. There are many companies or scrip
that manufacturer the same products provide services are comes and specified under the
particular name that is called sector.
There are many sectors in which many types of scrip are listed.
3.2 List Of Different Sector
Aluminium
Auto Ancillaries
Auto Mobiles
Banking
Beverages, Food & Tobacco
Cement
Consumer Products
Cigarettes
Energy Sources
Engineering
Hotels
Investment & Finance
Media
Paints
Petrochemicals
Pharmaceuticals
Power
- 33 -
Retailing
Shipping
Information Technology (IT)
Steel
Telecom
Textiles
 Aluminium :
The most commercially mined aluminium ore is bauxite, as it has the highest content of the base
metal. The primary aluminium production process consists of three stages. First is mining of
bauxite, followed by refining of bauxite to alumina and finally smelting of alumina to
aluminium. India has the fifth largest bauxite reserves with deposits of about 3 bn tonnes or 5%
of world deposits. India’s share in world aluminium capacity rests at about 3%.
 Auto Ancillaries :
The fortunes of the auto ancillary sector are closely linked to those of the auto sector. Demand
swings in any of the segments (cars, two-wheelers, commercial vehicles) have an impact on auto
ancillary demand. Demand is derived from original equipment manufacturers (OEM) as well as
the replacement market. Out of the total revenues, engine parts account for 31% of the total
revenues of the industry.
 Automobiles :
The Indian automobile segment can be divided into several segments viz. two-wheelers
(motorcycles, geared and ungeared scooters and mopeds), three wheelers, commercial vehicles
(light, medium and heavy), passenger cars, utility vehicles (UVs) and tractors.
 Banking :
The Indian banking sector has been well shielded by the central bank and has managed to sail
through most of the crisis with relative ease. Further with the economic buoyancy the world over
showing signs of cooling off, the investment cycle has also been wavering. Having said that, the
latent demand for credit (both from the food and non food segments) and structural reforms have
paved the way for a change in the dynamics of the sector itself.
- 34 -
 Beverages, Food and Tobacco :
India is the world's second largest producer of fruits, vegetables and milk. A large coastline and
a huge cattle population ensure abundant supply of meat, poultry and fish.
 Cement :
The Indian cement industry with a total capacity of about 200 m tonnes (MT) in FY09 is the
second largest market after China. Although consolidation has taken place in the Indian cement
industry with the top five players controlling almost 60% of the capacity, the balance capacity
still remains pretty fragmented.
 Construction :
India is on the verge of witnessing a sustained investment in infrastructure build up. With
construction component accounting for 42% of the total investment in infrastructure, the
construction industry has been witness to a strong growth wave powered by large spends in
housing, road, ports, water supply and airports development. The Planning Commission of India
has proposed an investment of around US$ 500 bn in the Eleventh five-year plan (2007-2012),
which is nearly 2.3 times more than the previous five-year plan.
 Consumer Products :
The consumer products sector mainly consists of personal care (oral care, hair care, soaps,
cosmetics and toiletries) and household care (fabric wash and household cleaners).
 Energy Sources :
There are two stages in the energy value chain, upstream (exploration and production) and
downstream (refining and marketing). After extracting crude oil from the reserves, it is processed
to yield various petroleum products, which are then marketed.
 Engineering :
- 35 -
Engineering is a diverse industry with a number of segments. A company from this sector can be
a power equipment manufacturer (like transformers and boilers), execution specialist or a niche
player (like providing environment friendly solutions). It can be an electrical, non-electrical
machinery and static equipment manufacturer too.
 Hotels :
The travel and hospitality industry continues to be the sector, which has largely profited from the
fast growing economy of India. Though FY09 had been tough year with tourist inflow declining
by 4% YoY on account of economic slowdown and terror attacks, it has grown at a CAGR of
13% in the past 5 years.
 Investment & Finance :

With the country’s largest development financial institutions (DFIs) like ICICI and IDBI having
been converted into banking entities, the term DFI has lost its relevance in the country.
Institutions that today have replaced them in playing a vital role in long-term financing and
project financing are the NBFCs, which have their relative specializations,
 Media :
India continues to be in the throes of an entertainment revolution spawned by economic
liberalisation. The industry comprises of print, electronic, radio, internet and outdoor segments.
The size of the print segment is about Rs 173 bn, while the radio and internet segments are about
Rs 8.4 bn and Rs 6.2 bn respectively. Advertising revenue will continue to be the industry's
growth driver.
 Paints :
The market size of the Indian paints sector has been pegged at Rs 170 bn in value terms and is
very fragmented. While in value terms, the industry grew by 17% to 18% in FY09, in volume
terms, the growth stood at 9% YoY, the lowest in the last five years. The per capita consumption
of paints in India stands at 0.5 kg per annum as compared to 1.6 kgs in China and 22 kgs in the
developed economies. India's share in the world paint market is just 0.6%.
- 36 -
 Petrochemicals :
Petrochemicals, as the name suggests, are chemicals obtained from the cracking of petroleum
feedstock. Petrochemicals are used in many manufacturing fields. The industry is built on small
number of basic commodity chemicals, also known as building blocks such as ethylene,
propylene, butadiene, benzene, toluene and xylene.
 Pharmaceuticals :
The Indian Pharmaceutical industry is highly fragmented with about 24,000 players (around 330
in the organised sector). The top ten companies make up for more than a third of the market. The
revenues generated by the industry are approximately US$ 7.6 bn and have grown at an average
rate of 10% over last five years. The Indian pharma industry accounts for about 1% of the
world's pharma industry in value terms and 8% in volume terms.
 Power :
With the coming of Electricity Act 2003, the power sector, which was highly regulated with lot
of licensing requirements, is in the throes of a long awaited change. The licensing requirements
have been reduced, as the generation company will be free to enter distribution business and
vice-a-versa.
 Retail :
Currently, India is the fifth largest retail market in the world. In India, organised retail trade
accounts for merely 5% of the total retail trade and is expected to grow at the rate of 30% to
40%. However, during the medium term, the growth rate in this sector has slowed down to 7% to
10% owing to economic slowdown.
 Shipping :
Shipping is a global industry and its prospects are closely tied to the level of economic activity in
the world. A higher level of economic growth would generally lead to higher demand for
- 37 -
industrial raw materials, which in turn will boost imports and exports. The shipping market is
cyclical in nature and freight rates generally tend to be volatile.
 Information Technology (IT) :

IT spending in the US has grown unabated during the last few years. As per IDC (a global
technology research agency) and NASSCOM (India’s industry body for the tech sector),
revenues of the Indian IT industry have grown by 33% to US$ 64 bn in FY08. The IT-BPO
industry has estimated to have grown at a CAGR of 31% since FY04, much faster than the global
IT services industry. The Indian domestic market for technology is also growing as robustly as
the export of IT services from India.
 Steel :
India is currently the fifth largest steel-producing nation in the world with production of over 54
million tonnes (MT). However, it has a very low per capita consumption of steel of around 46
kgs as against an average of 198 kgs of the world. This wide gap in relative steel consumption
indicates that the potential ahead for India to raise its steel consumption is high
 Telecom :
Although India's teledensity has improved from under 4% in March 2001 to over 36% by the end
of March 2009, we are still way behind other developing nations. Cellular telephony has
emerged as the fastest growing segment in the Indian telecom industry. The mobile subscriber
base (GSM and CDMA combined) has grown from under 2 m at the end of FY00 to touch 391 m
at the end of March 2009 (compounded annual growth of searly 80% during this nine year
period).
 Textiles :
US and European markets dominate the global textile trade, accounting for 64% of clothing and
39% of the textile market. With the dismantling of quotas, global textile trade is expected to
grow (as per McKinsey estimates) to US$ 650 bn by 2010 (3-year CAGR of 10%). However, as
- 38 -
against expectations, in the post-quota regime, the resurgence in exports to the now unregulated
markets took off rather slowly.
Introduction About IT Sector
IT industry in India is one of the fastest growing industries. Indian IT industry has built up
valuable brand equity for itself in the global markets. IT industry in India comprises of software
industry and information technology enabled services (ITES), which also includes business
process outsourcing (BPO) industry. India is considered as a pioneer in software development
and a favorite destination for IT-enabled services.
The origin of IT industry in India can be traced to 1974, when the mainframe manufacturer,
Burroughs, asked its India sales agent, Tata Consultancy Services (TCS), to export programmers
for installing system software for a U.S. client. The IT industry originated under unfavorable
conditions. Local markets were absent and government policy toward private enterprise was
hostile. The industry was begun by Bombay-based conglomerates which entered the business by
supplying programmers to global IT firms located overseas.
During that time Indian economy was state-controlled and the state remained hostile to the
software industry through the 1970s. Import tariffs were high (135% on hardware and 100% on
software) and software was not considered an "industry", so that exporters were ineligible for
bank finance. Government policy towards IT sector changed when Rajiv Gandhi became Prime
Minister in 1984. His New Computer Policy (NCP-1984) consisted of a package of reduced
import tariffs on hardware and software (reduced to 60%), recognition of software exports as a
"delicensed industry", i.e., henceforth eligible for bank finance and freed from license-permit raj,
permission for foreign firms to set up wholly-owned, export-dedicated units and a project to set
up a chain of software parks that would offer infrastructure at below-market costs. These policies
laid the foundation for the development of a world-class IT industry in India.
- 39 -
Today, Indian IT companies such as Tata Consultancy Services (TCS), Wipro, Infosys, HCL et
al are renowned in the global market for their IT prowess.
In the last few years Indian IT industry has seen tremendous growth. Destinations such as
Bangalore, Hyderabad and Gurgaon have evolved into global IT hubs. Several IT parks have
come up at Bangalore, Hyderabad, Chennai, Pune, Gurgaon etc.
IT spending in the US has grown unabated during the last few years. As per IDC (a global
technology research agency) and NASSCOM (India’s industry body for the tech sector),
revenues of the Indian IT industry have grown by 33% to US$ 64 bn in FY08. The IT-BPO
industry has estimated to have grown at a CAGR of 31% since FY04, much faster than the global
IT services industry. The Indian domestic market for technology is also growing as robustly as
the export of IT services from India.
India’s IT industry can be divided into five main components, viz. software products, IT
services, engineering and R&D services, ITES (IT-enabled services) and hardware. Export
revenues continue to drive growth. Amongst the export revenues, project-based services
accounted for more than 50% of the Indian IT services exports. Multi-year annuity based
outsourcing agreements are expected to increase going forward. However, the majority share of
the project based revenues is going to continue on the back of custom application development
and application management.
- 40 -
Sector structure/Market size :
The Indian information technology industry has played a key role in putting India on the global
map. Thanks to the success of the IT industry, India is now a power to reckon with. According to
the National Association of Software and Service Companies (NASSCOM), the apex body for
software services in India, the revenue of the information technology sector has risen from 1.2
per cent of the gross domestic product (GDP) in FY 1997-98 to an estimated 5.8 per cent in FY
2008-09.
Further, the industry body expects the sector to grow between 4 per cent and 7 per cent during
2009-10 and return to over 10 per cent growth next year.
India's IT growth in the world is primarily dominated by IT software and services such as
Custom Application Development and Maintenance (CADM), System Integration, IT
Consulting, Application Management, Software testing, and Web services.
As per NASSCOM's latest findings :

Indian IT-BPO sector grew by 12 per cent in FY 2009 to reach US$ 71.7 billion in aggregate
revenue (including hardware). Of this, the software and services segment accounted for US$ 59.6
billion.
IT-BPO exports (including hardware exports) grew by 16 per cent from US$ 40.9 billion in FY
2007-08 to US$ 47.3 billion in FY 2008-09.
Moreover, according to a study by Springboard Research, the Indian IT services market is

estimated to remain the fastest growing in the Asia-Pacific region with a CAGR of 18.6 per cent.
At present, there are 60 million Internet users in the country. According to Manufacturer’s
Association of IT (MAIT), the number of active Internet entities rose to 8.6 million by March
2009 from 7.2 million units in March 2008.
- 41 -
MAIT has outlined 'Goal 511', an ambitious target that talks about 500 million Internet users,
100 million broadband connections, and 100 million connected devices by 2012.
A latest study by MAIT estimated that the total PC sale in India is likely to grow by 7 per cent in
2009-10, with total sales expected to cross 7.3 million units.
Outsourcing
According to NASSCOM, software and services exports (including exports of IT services, BPO,
engineering services and R&D and software products) reached US$ 47 billion in FY 2008-09,
contributing nearly 78 per cent to the total software and services revenue of US$ 59.6 billion.
India continues to be the most preferred destination for companies looking to offshore their IT
and back-office functions. It also retains its low-cost advantage and is among the most
financially attractive locations when viewed in combination with the business environment it
offers and the availability of skilled people, according to global management consultancy AT
Kearney.
Some big deals in the outsourcing space include :

Tata Consultancy Services is understood to have bagged a US$ 248.75 million software
implementation contract from the Cardiff City Council, UK.
Etisalat DB, formerly known as Swan Telecom, has outsourced implementation of its software
applications and IT infrastructure to Tech Mahindra as part of a US$ 400 million deal spread
over the next 10 years.
- 42 -
Economic Analysis
Company Analysis
Industry Analysis
- 43 -
Economic Analysis :
The economy of India is the twelfth largest economy in the world by nominal value and the
fourth largest by purchasing power parity (PPP). In the 1990s, following economic reform from
the socialist-inspired economy of post-independence India, the country began to experience rapid
economic growth, as markets opened for international competition and investment. In the 21st
century, India is an emerging economic power with vast human and natural resources, and a
huge knowledge base. Economists predict that by 2020, India will be among the leading
economies of the world.
India was under social democratic-based policies from 1947 to 1991. The economy was
characterized by extensive regulation, protectionism, and public ownership, leading to pervasive
corruption and slow growth. Since 1991, continuing economic liberalization has moved the
economy towards a market-based system. A revival of economic reforms and better economic
policy in 2000s accelerated India's economic growth rate. By 2008, India had established itself as
the world's second-fastest growing major economy. However, the year 2009 saw a significant
slowdown in India's official GDP growth rate to 6.1% as well as the return of a large projected
fiscal deficit of 10.3% of GDP which would be among the highest in the world.
India's large service industry accounts for 62.6% of the country's GDP while the industrial and
agricultural sector contribute 20% and 17.5% respectively. Agriculture is the predominant
occupation in India, accounting for about 52% of employment. The service sector makes up a
further 34% and industrial sector around 14%. The labor force totals half a billion workers.
Major agricultural products include rice, wheat, oilseed, cotton, jute, tea, sugarcane, potatoes,
cattle, water buffalo, sheep, goats, poultry and fish. Major industries include
telecommunications, textiles, chemicals, food processing, steel, transportation equipment,
cement, mining, petroleum, machinery, information technology enabled services and software.
- 44 -
India's per capita income (nominal) is $1032, ranked 143th in the world, while its per capita
(PPP) of US$2,932 is ranked 130th. Previously a closed economy, India's trade has grown fast.
India currently accounts for 1.5% of World trade as of 2007 according to the WTO. According to
the World Trade Statistics of the WTO in 2006, India's total merchandise trade (counting exports
and imports) was valued at $294 billion in 2006 and India's services trade inclusive of export and
import was $143 billion. Thus, India's global economic engagement in 2006 covering both
merchandise and services trade was of the order of $437 billion, up by a record 72% from a level
of $253 billion in 2004. India's trade has reached a still relatively moderate share 24% of GDP in
2006, up from 6% in 1985.
Despite robust economic growth, India continues to face many major problems. The recent
economic development has widened the economic inequality across the country. Despite
sustained high economic growth rate, approximately 80% of its population lives on less than $2 a
day (PPP). Even though the arrival of Green Revolution brought end to famines in India, 40% of
children under the age of three are underweight and a third of all men and women suffer from
chronic energy deficiency.
INDIAN GDP GROWTH RATE

The latest reviews of the India GDP growth rate are as under -
 For the first quarter of 2007-08 GDP posted a growth of 9.3% and stood at Rs 7,23,132
crore, as compared to the consequent quarter of previous fiscal year
 In the quarter of April-June economy of India grew at 9.3%. The progress was triggered
by construction, manufacturing, services and agriculture industries
 For the week concluded July 28, 2007, the yearly inflation rate was 4.45%
 Balance of Payments in India is predicted to remain contended
 Merchandise Exports registered steady growth
 Manufacturing posted 11.95 expansion
- 45 -
The trend for India’s GDP growth rate are given below
1960-1980 - 3.5%
1980-1990 - 5.4%
1990-2000 - 4.4%
2000-2009 - 6.4%
0.07
0.06
0.05
0.04
0.03
0.02
0.01
Contribution of
0 different sectors
1 2 3 4 in GDP
Below are the

contributions of different sectors in the India’s GDP for 1990-1991
Agriculture: 32%
Service Sector: 41%
Industry: 27%
- 46 -
Industry
27% Chart Title Agriculture
32%
Below are the

contributions of
different sectors
in the India’s
Service Sector
41% GDP for 2005-
2006
Agriculture:
20%
Service Sector: 54%
Industry: 26%
Chart Title
Industry
26% Agriculture
20%
Service Sector
54%
Below are the contributions of different sectors in the India’s GDP for 2007-
2008
Agriculture: 17%
Service Sector: 54%
Industry: 29%
Chart Title
Industry Agriculture
29% 17%
The service sector

Service Sector- 47 -
54%
contributes more than half of India’s GDP. Earlier agriculture was the main contributor to the
GDP. To improve the GDP and boost the economy, the government has taken various steps like
implementation of FDI policies, SEZ’s and NRI investments.
In 2007, agriculture contributed around 16.6% of the GDP. Even though its share has been
declining, agriculture plays a major role in the India’s socio economic development. Industry
contributes around 27.6% of the GDP (2007 est). The services sector contributed to 55% of the
GDP in 2007. The IT industry contributed around 7% of the GDP in 2008 which was 4.8% in
2005-06. Remittances from overseas Indian migrants were around $27 billion or around 3% of
the GDP of India’s economy in 2006.
India GDP growth rate in 2009
According to International Monetary Fund (IMF) economic growth rate of India is predicted to
dip by 6.9 per cent in the fiscal year 2009. IMF has further stated that this relegation is
unavoidable because the Asian nations are not fully impervious to the global financial crisis and
its consequent negative effects.
MF's World Economic Outlook (WEO), released in Washington on October 8, 2008, explains
the slopping of GDP growth rate in the last three years. In 2007 GDP growth rate was 9.3 per
cent while in 2008 it dipped to 7.8 per cent and would end up at 6.9 percent in 2009
The weak financial market is incapable of attracting investors’ attention. India has also suffered a
major setback in the year 2005-07 according to IMF, when the worldwide stock markets slipped
radically
The GDP growth rate slowed down to 6.1% in 2009. In 2006, the country’s trade contributed to
around 24% of the GDP from 6% in 1985. According to Goldman Sachs, India’s GDP in current
prices may overtake France and Italy by 2020, Russia, Germany and UK by 2025 and Japan by
2035. It is also predicted that Indian economy will be the third largest after US and China by
2035
- 48 -
 Inflation in India
In financial year 2007-08, average inflation in India was around 4.66 percent. This rate was
lower than average inflation of financial year 2006-07. In 2007-08, fiscal high prices of food
items were primary cause behind high rates of inflation. That high rate of inflation had to be
controlled by banning a number of necessary commodities as well as various financial steps.
High prices of oil were responsible for proportionately high rate of inflation in 2008-09.
According to the 2008 Economic Survey Report, India’s inflation rate was targeted by the
Reserve Bank of India (RBI) to be 4.1%, down from a rate of 5.77% in 2007. Inflation rates for
many investment goods have decreased dramatically in recent years. The price of basic goods
such as lentils, vegetables, fruits and poultry were expected to slow their rise. The price of
various manufactured goods also fell in 2007, and this contributed to a reduced inflation rate
Indeed, by July 2008, the key Indian Inflation Rate, the Wholesale Price Index, has risen
above 11%, its highest rate in 13 years. This is more than 6% higher than a year earlier
and almost three times the RBI’s target of 4.1%.
- 49 -
Inflation has climbed steadily during the year, reaching 8.75% at the end of May. There was an
alarming increase in June, when the figure jumped to 11%. This was driven in part by a
reduction in government fuel subsidies, which have lifted gasoline prices by an average 10%.
In recent years India has also made progress in expanding their investment base in the
United States of America.
When a few years back India was struggling to meet the quickly-changing demands of the
global marketplace, today, it has joined the ranks of countries whose economies are on the
upswing. India's UB has bought breweries in the US while companies such as Dr. Reddy's
Laboratories and Ranbaxy have bought pharmaceutical manufacturing units in the US. In the IT
sector, Tata Infotech, Satyam, Infosys and WIPRO have large operations based in the US. Wipro
India announced, November 12th, that it had entered into a definitive agreement to acquire the
global energy practice of American Management Systems for an aggregate consideration of $26
million, payable in cash. The move strengthens Wipro's end-to-end IT solutions capability in the
energy and utilities market.
India Exports
In 2007, India's exports stood at $140.8 billion, making it the 26th-largest export economy in the
world. The country's exports have grown steadily in the past few year.
decades, ever since foreign direct investment (FDI) was allowed on a large scale, and most of the
state-run industries were privatized. Most of these changes have occured since the economic
reforms India implemented in 1991.
Below is a table illustrating the volume of exports India has seen between 2004 and 2008:
Exports: $140.8 billion (2007)
Year Exports Rank % Change Date of info.

2004 $57,240,000,000 31 28.63 % 2003 est.
- 50 -
2005 $69,180,000,000 33 20.86 % 2004 est.
2006 $76,230,000,000 33 10.19 % 2005 est.
2007 $112,000,000,000 29 46.92 % 2006 est.
2008 $140,800,000,000 26 25.71 % 2007 est.
Company Analysis :
List Of IT Companies
- 51 -
 Computers Hardware:
Accel Trans HCL Infosystems
Cerebra Integr Moser Baer
CMC ORG Informatics
Compuage Info. Redington India
Computer Point Smartlink Netwr.
D-Link India VXL Instruments
 Computers Software – Large :

HCL Technologies Polaris Soft
Infosys Tech. Satyam Computer
Mphasis TCS
Oracle Fin.Serv. Tech Mahindra
Patni Computer Wipro
- 52 -
 Computers Software – Medium/Small :
3i Infotech Core Projects Gl Engg. Sol.
ABM Knowledge Cranes Software Glodyne Techno.
Accel Frontline Cybermate Info. GSS America
Accentia Tech. Datamatics Glob. Hexaware Tech.
Aftek eClerx Services Hinduja Global
Allied Digital Edserv Softsys. HOV Services
Asit C Mehta Fin Excel Infoways IKF Technolog.
ASM Technologies FCS Software Info-Drive Soft.
Aurionoro Sol. Financial Tech. Infotech Enterp.
Axis IT&T Firstobj. Tech. Intelvisn.Soft.
BLS Infotech Firstsour. Solu. Intra Infotech
Blue Star Info. Four Soft IT People
Bombay Talkies G-Tech Info. Kale Consultants
Combridge Sol. Genesys Intl. Kernex Microsys.
Cat Tech. Geodesic KLG Systel
Compulink Sys. Geometric KPIT Infosys.
- 53 -
LGS Global Prithvi Info. Sterling Intl
Mastek Quintegra Soln. Subex
Master Multi-Tec R S Software (I) Take Solutions
Megasoft R Systems Intl. Tanla Solutions
Melstar Info. Ramco Systems Tata Elxsi
Micro Techno. Ranklin Sol. Teledata Info.
Mindtree Religare Techno Thinksoft Global
Net 4 India Rolta India Tricom India
NIIT Tech. Sankhya Infotech Usha Mart. Edu.
Northgate Tech. Sasken Comm. Tec. Virinchi Tech.
Nucleus Soft. Silvlin Animat. Visesh Infotec.
Omnitech Info. Softpro Systems Vishal Info.Tec.
Onward Tech. Softsol India Visu Intl.
Powersoft GSL Sonata Software Zen Technologies
 Computers Software – Converts :

Avance Tech. Mascon Global
Concur.(I)Infra. SJ Corp
Globsys Infotech Spanco Ltd.
Helios Matheson Vakrangee Soft.
ICSA (India)
 Computers Education :
Aptech Jetking Infotrai
Birla Shloka NIIT
Comp-U-Learn SQL Star Intl.
Educomo Sol.
Everonn Education
- 54 -
Company Profile :
 TCS
Tata Consultancy Services Limited (TCS) is a software services and consulting company
headquartered in Mumbai, India. TCS is the largest provider of information technology and
business process outsourcing services in India. The company is listed on the National Stock
Exchange and Bombay Stock Exchange of India.
- 55 -
It began as the "Tata Computer Centre", a division of the Tata Group whose main business was
to provide computer services to other group companies. F C Kohli was the first general manager.
JRD Tata was the first chairman, followed by Nani Palkhivala.
Tata Consultancy Services was established in the year 1968 and is a pioneer in the Indian IT
industry. Despite unfavourable government regulations like the Licence Raj the company
succeeded in establishing the Indian IT Industry.
TCS has development centres and/or regional offices in the following Indian cities: Ahmedabad,
Bangalore, Bhubaneswar, Chennai, Coimbatore, Delhi, Gandhinagar, Goa, Gurgaon, Guwahati,
Hyderabad, Jamshedpur, Kochi, Kolkata, Lucknow, Mumbai, Patna, Pune, Thiruvananthapuram
and Vadodara.
KEY Officials
Chairman Ratan N Tata
Vice Chairman (Non-executive) S Ramadorai
Executive Director & CFO S Mahalingam
Managing Director & CEO N Chandrasekaran
Executive Director Phiroz Vanderavala
Director Aman Mehta
Vice President & CS Suprakash Mukhopadhyay
Director Laura M Cha
Ron Sommer
V Thyagarajan
Clayton M Christensen
Naresh Chandra
Additional Director Vijay Kelkar
- 56 -
Ishaat Hussain
Industry Software services
Listing NSE, BSE

Website TCS.com
PROFIT & LOSS A/C

(Rs. in Million)
Particulars Mar 2009 Mar 2008 Mar 2007
Operating Income 224040.00 185337.20 149399.70
Less :Inter divisional transfers 0 0 0
Less: Excise 0 0 0
Net Sales 224040.00 185337.20 149399.70
EXPENDITURE :
Stock Adjustments -17.30 0.40 27.80
Raw Materials Consumed 526.70 451.30 215.00
Power & Fuel Cost 1643.40 1355.70 938.90
Employee Cost 116635.40 94019.70 73140.50
Cost of Software developments 4785.30 5370.00 3608.20
Operating Expenses 26578.20 22795.90 19899.60
General and Administration Expenses 12784.10 10496.40 8138.80
Selling and Marketing Expenses 213.50 276.30 310.50
Miscellaneous Expenses 8143.50 370.40 110.70
Expenses Capitalised 0 0 0
Total Expenditure 171292.80 135136.10 106390.00
PBIDT (Excl OI) 52747.20 50201.10 43009.70
Other Income 2898.70 4459.50 2165.50
Operating Profit 55645.90 54660.60 45175.20
Interest 74.40 34.20 34.30
PBDT 55571.50 54626.40 45140.90
- 57 -
Depreciation 4174.60 4587.80 3434.10
Profit Before Taxation & Exceptional Items 51396.90 50038.60 41706.80
Exceptional Income / Expenses 0 0 0
Profit Before Tax 51396.90 50038.60 41706.80
Provision for Tax 4434.80 4951.00 4133.90
PAT 46962.10 45087.60 37572.90
Adj to Profit After Tax 0.00 0.00 0.00
Profit Balance B/F 73748.90 49199.90 28333.00
Appropriations 120711.00 94287.50 65905.90
Equity Dividend (%) 1400.00 1400.00 1150.00
Earnings Per Share (Rs.) 47.92 46.07 38.39
Book Value (Rs.) 136.38 111.43 82.35
Balance Sheet
(Rs. in Million)
SOURCES OF FUNDS 1978.60 1978.60 978.60
Share Capital 132483.90 108069.50 79611.30
Total Reserve 134462.50 110048.10 80589.90
Shareholder's Funds 326.30 92.70 417.60
Secured Loans 77.40 89.80 89.80
Unsecured Loans 403.70 182.50 507.40
Total Debts 1978.60 1978.60 978.60
APPLICATION OF FUNDS :
Gross Block 43592.40 32406.40 23153.60
Less: Accumulated Depreciation 16901.60 13001.10 8547.50
Less: Impairment of Assets 0 0 0
Net Block 26690.80 19405.30 14606.10
Lease Adjustment A/c 0 0 0
Capital Work in Progress 6851.30 8897.40 7578.50
Pre-operative Expenses pending 0 0 0
Assets in transit 0 0 0
Investments 59360.30 45093.30 32520.40
Current Assets, Loans & Advances
Inventories 169.50 171.90 120.60
Sundry Debtors 37177.30 37470.10 27998.00
Cash and Bank 16052.60 5275.20 5571.40
- 58 -
Other Current Assets 8173.50 8712.50 5243.90
Loans and Advances 30898.50 21666.00 13133.90
Total Current Assets 0 64583.20 46823.90
Less : Current Liabilities and Provisions 35011.30 24041.80 16395.00
Current Liabilities 14502.30 11874.40 9050.50
Provisions 49513.60 35916.20 25445.50
Total Current Liabilities 42957.80 37379.50 26622.30
Net Current Assets 0 0 0
Miscellaneous Expenses not written off -994.00 -544.90 -230.00
Deferred Tax Assets / Liabilities 134866.20 110230.60 81097.30
Total Assets 0 22227.10 22535.10
Contingent Liabilities 35011.30 24041.80 16395.00
PERFOMANCE CHART OF TCS
- 59 -
 Wipro
Wipro Technologies Limited is a information technology services corporation headquartered in

Bangalore, India. According to the 2008-09 revenue Wipro is the second largest IT services
company in India and employs more than 98,391 people worldwide as of 2009. [2] It has interests
varying from information technology, consumer care, lighting, engineering and healthcare
businesses.
- 60 -
Wipro (an acronym of "Western India Vegetable Products") started as a vegetable oil trading
company in 1947 from an old mill at Amalner, Maharashtra, India founded by Azim Premji's
father.
2006 - Wipro acquires Enabler to enter Niche Retail market .

2007 - Wipro acquires US's Infocrossing for 600mn .
2009 - Wipro acquires Gallagher Financial Systems to enter mortgage loan origination space.
Wipro stops Semiconductor IP Solutions and closes NewLogic Sophia-Antipolis R&D, France .
KEY Officials
Chairman & Managing Director Azim H Premji

Director N Vaghul
B C Prabhakar
Jagdish N Sheth
Ashok Ganguly
P M Sinha
Bill Owens
Company Secretary V Ramachandran

CFO & Director Suresh C Senapaty
Joint CEO, IT Bus. & Director Suresh Vaswani

Girish S Paranjpe
- 61 -
Industry IT Servicess
Listing BSE: 507685
NYSE: WIT
Website Wipro.com
PROFIT & LOSS A/C

(Rs. in Million)
Less: Excise 1055.00 1655.00 746.00
Net Sales 215073.00 174926.00 136839.00
EXPENDITURE :
Stock Adjustments 0 0 0
Raw Materials Consumed 33767.00 29523.00 18890.00
Power & Fuel Cost 0 0 0
Employee Cost 92422.00 74079.00 57645.00
Cost of Software developments 0 0.00 0.00
- 62 -
PBIDT (Excl OI) 38640.00 37156.00 32745.00
Other Income 4144.00 3269.00 2687.00
Interest 1968.00 1168.00 72.00
PBDT 40816.00 39257.00 35360.00
Depreciation 5337.00 4560.00 3598.00
PAT 29738.00 30633.00 28421.00
Adj to Profit After Tax 0 0 0
Profit Balance B/F 0 0 0
Appropriations 29738.00 30633.00 28421.00
Equity Dividend (%) 200.00 300.00 300.00
Book Value (Rs.) 85.42 79.05 63.86
Balance Sheet
(Rs. in Million)
SOURCES OF FUNDS
Share Capital 2930.00 3463.00 2918.00
Total Reserve 122204.00 112604.00 90251.00
Secured Loans 0 40.00 232.00
Unsecured Loans 50139.00 38184.00 2148.00
Total Debts 50139.00 38224.00 2380.00
Gross Block 31796.00 22822.00 16459.00
Net Block 31796.00 22822.00 16459.00
- 63 -
Investments 68845.00 45001.00 43487.00
Inventories 4597.00 4481.00 2404.00
Sundry Debtors 42992.00 36466.00 25439.00
Cash and Bank 44092.00 37321.00 18492.00
Other Current Assets 0 0 0
Less : Current Liabilities and Provisions
Provisions 17067.00 13807.00 7652.00
Net Current Assets 60952.00 72641.00 25277.00
Miscellaneous Expenses not written off 0 0 0
Total Assets 175288.00 154331.00 95584.00
Contingent Liabilities 0 4084.00 5955.00
PERFOMANCE CHATR OF WIPRO
- 64 -
 Infosys
- 65 -
Infosys Technologies Limited is an information technology services company headquartered in
Bangalore, India. Infosys is the second largest IT company in India with 105,453 professionals
(including subsidiaries) as of Nov 9, 2009. It has offices in 22 countries and development centers
in India, China, Australia, UK, Canada and Japan.
Infosys was founded on July 2, 1981 in Pune by N R Narayana Murthy and six others: Nandan
Nilekani, N. S. Raghavan, Kris Gopalakrishnan, S. D. Shibulal, K. Dinesh and Ashok Arora,
with N. S. Raghavan officially being the first employee of the company. Murthy started the
company by borrowing INR 10,000 from his wife Sudha Murthy. The company was
incorporated as "Infosys Consultants Pvt Ltd.", with Raghavan's house in Model Colony, north-
central Bengaluru as the registered office.
In 2002, the Wharton Business School of the University of Pennsylvania and Infosys started the
Wharton Infosys Business Transformation Award. This technology award recognizes enterprises
and individuals who have transformed their businesses and the society leveraging information
technology. Past winners include Samsung, Amazon.com, Capital One, RBS and ING Direct.
Infosys also has the largest training center for a private sector organization in Asia. The training
center is located in Mysore, Karnataka. It currently accommodates 4,500 trainees each year. In
2009 a new training center has been opened which accommodates 10,000 trainee software
professionals. This new center is also located in Mysore.
KEY Officials
Chairman & Chief Mentor N R Narayana Murthy
Managing Director & CEO S Gopalakrishnan
Director Deepak M Satwalekar
- 66 -
Marti G Subrahmanyam
Omkar Goswami
Rama Bijapurkar
Claude Smadja
Sridar A Iyengar
David L Boyles
Jeffrey S Lehman
K Dinesh
T V Mohandas Pai
Srinath Batni
Company Secretary Parvatheesam K
Additional Director K V Kamathi
Director & COO S D Shibulal
Industry Software services
Listing BSE: 500209

NASDAQ: INFY
Website Infosys.com
PROFIT & LOSS A/C

(Rs. in Million)
Less: Excise 0 0 0
Net Sales 202640.00 156480.00 131490.00
EXPENDITURE :
- 67 -
Stock Adjustments 0 0 0
Raw Materials Consumed 0 0 0
Power & Fuel Cost 1250.00 1060.00 880.00
Employee Cost 98150.00 77600.00 62060.00
Cost of Software developments 15370.00 12680.00 11340.00
PBIDT (Excl OI) 65360.00 49620.00 42240.00
Other Income 8740.00 6850.00 3750.00
Interest 20.00 10.00 10.00
PBDT 74080.00 56460.00 45980.00
Depreciation 6940.00 5460.00 4690.00
PAT 58190.00 44700.00 37770.00
Adj to Profit After Tax -10.00 0.00 -50.00
Profit Balance B/F 66420.00 48440.00 21950.00
Appropriations 124600.00 93140.00 59730.00
Equity Dividend (%) 470.00 665.00 230.00
Book Value (Rs.) 311.35 235.84 195.14
Balance Sheet
(Rs. in Million)
SOURCES OF FUNDS
Share Capital 2860.00 2860.00 2860.00
Total Reserve 175230.00 132040.00 108760.00
Secured Loans 0 0 0
Unsecured Loans 0 0 0
- 68 -
Total Debts 0.00 0.00 0.00
Gross Block 59860.00 45080.00 38890.00
Net Block 37990.00 26710.00 21500.00
Investments 10050.00 9640.00 8390.00
Inventories 0 0 0
Sundry Debtors 33900.00 30930.00 22920.00
Cash and Bank 90390.00 64290.00 54700.00
Other Current Assets 7660.00 6850.00 4060.00
Less : Current Liabilities and Provisions
Provisions 17980.00 22480.00 6620.00
Net Current Assets 122880.00 84960.00 71370.00
Miscellaneous Expenses not written off 0 0 0
Total Assets 178090.00 134900.00 111620.00
SOURCES OF FUNDS
PERFOMANCE CHART OF INFOSYS
- 69 -
Industry Analysis
 Top 10 IT Sector Company
- 70 -
Rank Names Sales (2008-09)
(in Rs mill)
1 TCS LIMITED 97,272
2 WIPRO LIMITED 82,330
3 INFOSYS TECHNOLOGIES LIMITED 71,297
4 SATYAM COMPUTER SERVICES LIMITED 35,209
5 I-FLEX SOLUTIONS LIMITED 11,386
6 TATA INFOTECH LIMITED 9,743
7 CMC LIMITED 8,074
8 MPHASIS BFL LIMITED 7,657
9 MASTEK LIMITED 5,670
10 NIIT LIMITED 3,984
The Indian software industry is set to keep up is growth rate despite the slowdown in the
economy. The National Association of Software and Services Companies (Nasscom) has forecast
a strong outlook for FY08-09 strong with software and services revenue seen growing by 21-24
per cent. The software and services exports are set to hit the $50 billion-mark.
The software and services exports segment grew by 29 per cent (in USD) to register revenues of
$40.4 billion in FY07-08, up from $31.4 billion in FY06-07. The domestic segment grew by 26
per cent (in INR) to register revenues of $ 11.6 billion in FY07-08. According to the latest
Nasscom rankings, Tata Consultancy Services Ltd., Infosys Technologies Ltd. and Wipro
Technologies Ltd are the top 3 revenue generators in India. Check out the top ten players in the
Indian IT industry.
1.Tata Consultancy Services
Founded in 1968, TCS is one of India's largest corporate houses. It is also India's largest IT
employer with a staff strength of 111,000 employees.
- 71 -
The company began as a division of the Tata Group, called the Tata Computer Centre. Its main
business was to offer computer services to other group companies. Soon the company was spun
off as Tata Consultancy Services after it realised the huge potential of the booming IT services.
The company posted a consolidated net profit of Rs 1,290.61 crore (Rs 12.90 billion) for the first
quarter ended June 30, 2008, an increase of 7.3 per cent compared to the year-ago period.
Its annual sales worldwide stands at $5.7 billion for the fiscal year ending March 2008. During
the year 2007-08,
TCS' consolidated revenues grew by 22 per cent to Rs 22,863 crore ($5.7 billion). S. Ramadorai,
is the chief executive officer and managing director of TCS.
TCS is IDC-Dataquest IT best employer in IT services in 2007. TCS also topped DataQuest
DQTop 20 list of IT service providers in 2007.
 Financial Position :
Net Sales (Rs. in Million) 224040.00 185337.20 149399.70
- 72 -
GPM(%) 24.80 29.47 30.21
NPM(%) 20.96 24.33 25.15
EPS(Rs) 47.92 46.07 38.39
DPS(Rs) 14.00 14.00 11.50
Book NAV/Share(Rs) 136.38 111.43 82.35
P/E RATIO 11.24 17.60 32.14
Share Capital (Rs. in Million) 1978.60 1978.60 978.60
Total Reserve 132483.90 108069.50 79611.30
Secured Loans 326.30 92.70 417.60
Unsecured Loans 77.40 89.80 89.80
Total Debts 403.70 182.50 507.40
2. Wipro
What started off as a hydrogenated cooking fat company, Wipro is today is a $5 billion revenue
generating IT, BPO and R&D services organisation with presence in over 50 countries
.
- 73 -
Premji started Wipro with the 'idea of building an organisation which was deeply committed to
values, in the firm belief that success in business would be its inevitable, eventual outcome'. The
company has over 72,000 employees.
Wipro's revenues grew by 33 per cent to Rs 19,957 crore (Rs 200 billion) for the year ended
March 31, 2008. The net profit grew by 12 per cent to Rs. 3,283 crore (Rs. 32.83 billion). The
revenues of the combined IT businesses was $4.3 billion with 43 percent YoY growth.
Wipro was the only Indian company to be ranked among the top 10 global outsourcing providers
in IAOP's 2006 Global Outsourcing 100 listing. Wipro has also won the International Institute
for Software Testing's Software Testing Best Practice Award.
GPM(%) 18.89 22.23 25.70
NPM(%) 13.76 17.35 20.66
EPS(Rs) 20.30 20.96 19.48
- 74 -
DPS(Rs) 4.00 6.00 6.00
Book NAV/Share(Rs) 85.42 79.05 63.86
P/E RATIO 12.11 20.61 28.71
Total Reserve 122204.00 112604.00 90251.00
Secured Loans 0 40.00 232.00
Unsecured Loans 50139.00 38184.00 2148.00
Total Debts 50139.00 38224.00 2380.00
3. Infosys
Infosys Technologies Ltd was started in 1981 by seven people with $250. Today, the company
boasts of revenues of over $ 4 billion and 94,379 employees.
Under the leadership of N R Narayana Murthy, the company has become a global brand. The
company is now headed by Kris Gopalakrishnan. The income for the quarter ended June 30 2008
was Rs 4,854 crore (Rs 48.54 billion). The net profit stood at Rs 1,302 crore (Rs 13.02 billion).
- 75 -
Forbes magazine named Infosys in its list of Global High Performers. Waters magazine rated
Infosys as the Best Outsourcing Partner. The Banker magazine conferred two Banker
Technology Awards on Infosys to acclaim its work in wholesale and capital markets in two
categories - Payments and Treasury Services, and Offshoring and Outsourcing.
The International Association of Outsourcing Professionals (IAOP) ranked Infosys at No. 3 in its
'2008 Global Outsourcing 100'.

GPM(%) 36.56 36.08 34.97
NPM(%) 28.72 28.57 28.72
EPS(Rs) 101.73 78.15 66.14
DPS(Rs) 23.50 33.25 11.50
Book NAV/Share(Rs) 311.35 235.84 195.14
P/E RATIO 13.01 18.42 30.52
- 76 -
Total Reserve 175230.00 132040.00 108760.00
Total Debts 0.00 0.00 0.00
CHATER-7
- 77 -
1. NET SALES TO GROSS PROFIT
Company Mar 200 Mar 2008 Mar 200 Average Rank

Name 9 (%) (%) 7 (%) (%)
TCS 24.80 29.47 30.21 28.16 2
Wipro 13.76 17.35 20.66 22.27 3
Infosys 36.56 36.08 34.97 35.87 1
CHART:
TCS 28.16
W 22.27
- 78 -
Inf Bhagwan Mahavir College Of Business
35.87Administration
INTERPRETATION:
Gross profit is the result of the relationship between prices, sales volume and costs. A high ratio
of GP to sales is a sign of good management as it implies that the cost of production of the firm
is relatively low from the above chart ranking can be given as under:
First: Infosys indicates a good increasing growth rate. This is very good for the investment point
of view.
Second: TCS has maintained consistence ratio, so it can be given the second position easily.
Third: Wipro has also maintained the consistence growth apart from last year, so it can be
placed at a third position.
2. NET SALES TO NET PROFIT

Name 9 (%) 8 (%) 7 (%) (%)
TCS 20.96 24.33 25.15 23.48 2
Wipro 13.76 17.35 20.66 17.26 3
Infosys 28.72 28.57 28.72 28.67 1
CHART:
TCS 23.48
W 17.26
- 79 -
Inf 28.67
INTERPRETATION:
A high NP margin would ensure adequate return to the owners as well as enable a firm to
withstand adverse economic condition when selling pricing is declining, cost of production is
rising and demand of the product is falling. From the above chart ranking can be given as under:
First: Infosys comes at the first position even though ratio is high in the last year 2009, so over
all average net profit is higher then other two companies.
Second: TCS is given the second place because it net profit ratio is also high other than Wipro
company.
Third: Wipro’s net profit ratio is low compare to Infosys and TCS, so it can be given third rank.
3. EARNING PER SHARE
Net Income
Earning Per Share = ----------------
No. of Equity share Outstanding

Name 9 (Rs.) 8 (Rs.) 7 (Rs.) (Rs.)
TCS 47.92 46.07 38.39 44.13 2
Wipro 20.30 20.96 19.48 20.25 3
Infosys 101.73 78.15 66.14 82.00 1

- 80 -
CHART:
TCS 44.13
W 20.25
Inf 82
INTERPRETATION:
This ratio measures the profit available to the equity share holders on a per share basis, that is,
the amount that they can get on every share held From the above chart ranking can be as under:
First: From the above chart we can easily placed Infosys on the top most position because its
average ratio is very higher when compared to other two companies.
Second: TCS has made a considerable high average ratio than Wipro. So it can be put on second
position.
Third: Wipro stands at third position because its average ratio is low as compared to Infosys &
TCS.
- 81 -
4. DIVIDEND PER SHARE
Dividend Paid to Equity shareholder’s

Dividend Per Share = ------------------------------------------------
No of Equity Share Outstanding
Company Name Mar 2009 Mar 2008 Mar 2007 Average Rank

(Rs.) (Rs.) (Rs.) (Rs.)
TCS 14.00 14.00 11.50 13.17 2
Wipro 4.00 6.00 6.00 5.33 3
Infosys 23.50 33.25 11.50 22.75 1
- 82 -
CHART:
TCS 13.17
W 5.33
Inf 22.75
INTERPRETATION:
This ratio measures the relationship between the earnings belonging to the ordinary share holders
and the dividend pay to them. From the above chart ranking can be given as under:
First: As it can be easily seen from above chart Infosys’s ratio stand first in comparison with
other companies in all the two years and hence it is rated first.
Second: TCS’s ratio is also higher in all the three years when compared to Wipro. So it can be
put on second place.
Third: Wipro’s ratio is lower than the other two company. So it can be put on third place.
- 83 -
5 .BOOK VALUE& MARKET PRICE
Company Mar 2009 Mar 2008 Mar 2007 Average CURRENT Rank
Name (Rs.) (Rs.) (Rs.) (Rs.) MAR.
PRICE
(31/12/2009
)
TCS 136.38 111.43 82.35 110.05 750.25 2
Wipro 85.42 79.05 63.86 76.11 680.00 3
Infosys 311.35 235.84 195.14 247.44 2601.10 1
CHART:
TCS 110.05
W 76.11
Inf 247.44
- 84 -
INTERPRETATION:
The relationship between market price of the share and Book Value is a popular measure fro
Investors. From the above chart ranking can be given as under:
First: It can be easily seen from the above comparison that the Infosys is having best average
Book Value from last three years. And current market price of share is also higher than other two
company So it gives the first rank.
Second: TCS can be placed on the second position as it average Book Value And current
market price of share is higher than the Wipro.
Third: Wipro’s average Book Value And current market price of share is lower than the other
two companies. Hence it is placed on third position.
5. PRICE EARNING RATIO
Company Mar 200 Mar 2008 Mar 200 Rank

Name 9 7
TCS 11.24 17.60 32.14 1
Wipro 12.11 20.61 28.71 2
Infosys 13.01 18.42 30.52 3
CHART:
- 85 -
35
30
25
20 2009
2008
15
2007
10
5
0
TCS WIPRO INFOSYS
INTERPRETATION:
The relationship between market price of the share and earning per share is a popular measure of
the price earning per share. From the above chart ranking can be given as under:
First: It can be easily seen from the above comparison that the TCS having low price earning
per ratio In last year in 2009 i.e. 11.24. So it gives the first rank.
Second: Wipro can be placed on the second position as it price earning per share is higher than
the TCS.
Third: Infosys’s ratio is higer than the other companies.Hence it is placed on third position.
7. Debt Equity Ratio:-
Long Term Debts

Debt Equity ratio = --------------------------
Shareholder’s Fund
 TCS
Company Name Mar 2009 Mar 2008 Mar 2007
- 86 -
Total Debts 403.70 182.50 507.40
Shareholder's 134462.50 110048.10 80589.90

Funds
Debt Equity 0.0030 0.0017 0.0063
Ratio (%)
 Wipro
Total Debts 50139.00 38224.00 2380.00
Shareholder's 125149.00 116107.00 93204.00

Funds
Debt Equity 0.4006 0.3292 0.0255
Ratio (%)
 Infosys
Total Debts 0.00 0.00 0.00
Shareholder's 178090.00 134900.00 111620.00

Funds
Debt Equity 0.00 0.00 0.00
Ratio (%)
CHART:
- 87 -
0.45
0.4
0.35
0.3
0.25 2009
0.2 2008
0.15 2007
0.1
0.05
0
TCS WIPRO INFOSYS
CHATER-8
INTERPRETATION:
The relationship between borrowed funds and owners capital is a popular measure of the long
term financial solvency of firm. A high ratio shows a large share of financing by the creditors of
the firm, a low ratio implies a smaller claim of creditors. From the above chart ranking can be
given as under:
First: Wipro can be easily given the first rank. Here the proportion of shareholders firms are
more as compared to that of the borrowed capital, which is a indicator in comparison to other
two company.
Second: TCS can be placed on the second position as it Debt Equity ratio is low.
Third: Infosys’s Debt Equity Ratio is Zero (0), hence it is placed on third position.
- 88 -
FINDINGS
- 89 -
The objective of my project ends in this step. This will indicate to the investors, creditors and
share holders each of the companies overall operating efficiency and performance that will help
them to make the most efficient into decision. This project has yielded me the result in following
aspects.
- Scrips which are becoming sick have to be disposed off immediately.
- Scrips which are overpriced and good of sale orders with the necessary margin of
profit on capital appreciation.
- Scrips which are under priced and good for buy orders.
- Scrips which have uncertain trend and have to be held with neither buy or sell orders.
On the basis of the study undertaken by me under this project, the interpretation of fundamental
Analysis of company wise and allocation the ranking of company as under.
Ranking of the company
- 90 -
RANK: - 1: Infosys Technologies Limited.
From the interpretation, I have found out that the over all performance of Infosys is very strong
and efficient. The financial position is comparatively very good and better than other two
companies. As we can see from the final comparison charts that, it is the company, which has
maintained its stability in the terms of Earning Per Share, turnover, profitability, per share prices
etc. Earning per share of the company is also very high than other two company. Its Debt Equity
Ratio is never than other two companies. Besides, it has better future prospects than the other
two companies so Infosys Technologies Limited is give first rank.
RANK: - 2 : Tata Consultancy Services Ltd.
From the interpretation & analysis of the TCS., it can be said that the financial position of the
company in terms of its profitability, liquidity and turnover is a strong and efficient than the
other company i.e Wipro. It has good net profit ratio during the last Three years than Wipro. The
net profit ratio of the company is very good that is 23.48. It has also lower debt portion than
Wipro in its capital structure. In this point of view company’s financial position is strong and
hence is placed on second position after Infosys Technologies Limited.
RANK: - 3: Wipro Ltd.
The Wipro Ltd. stands at the third position after TCS. The debt equity ratio of the company are
higher than Infosys and TCS. Company has also lower Net profit ratio than the Infosys and TCS.
So company’s financial position is slight weak than the Infosys and TCS. So it is rated as third
position.
Intra company comparison
- 91 -
Particulars TCS Wipro Infosys
1. GROSS PROFIT 2 3 1
2. NET PROFIT 2 3 1
3. EPS (RS) 2 3 1
4. DPS (RS) 2 3 1
5. Book Value (RS) 2 3 1
6. Price Earning Ratio 1 2 3
7. Debt Equity Ratio 2 1 3
TCS Wipro Infosys

Final Ranking
2 3 1
SUGGETIONS
 SUGGESTIVE GUIDELINES FOR LONG TERM INVESTORS:
- 92 -
 The investor should know how to analyze the share prices of the company & pickup the
undervalued shares.
 Before investing he should undertake a deep study on the Net sales, net profit in relation
to Debt Equity Ratio and should attempt to forecast for the coming years.
 He should not rely on tips form friends, family, brokers or they buy and sell merely on
bunches this is usually one of the fastest ways to lose a bundle in the market.
 If they follow the market trends connately then they can deliver excellent returns.
 He should not invest his money in one or two company because if the companies’ prices
decline, he will have to bear a huge loss.
 SUGGESTIVE GUIDELINES FOR SPECULATORS:
 Plan your trade and trade your plan.
- 93 -
 Avoid getting in or out of the market too often.
 Losses make the speculator studious – not profits. Take advantage of every loss to improve
your knowledge of market action.
 The most profitable trading tool is a simply following the trend.
 The most difficult task in speculation is not predication but self control successful trading is
difficult and frustrating. You are the most important element in the success equation.
 When a markets gotten away and you’ve missed the first leg. You should still consider
jumping even if it is dangerous and difficult.
 The clearest and easiest way to determine a trend is from previous highs and lows. Higher
highs and higher lows make a down trend.
CONCLUSION
From the comparison of the three IT sector companies. I can say that the performance and the
financial structure of each company is very well in some particular area. I can also say that
- 94 -
almost all the result of Infosys Company is better, very strong and comparatively good than other
companies.
The objective of my project ends in this step. This will indicate to the investors, creditors and
share holders each of the companies overall operating efficiency and performance that will help
them to make the most efficient into decision. This project has yielded me the result in following
aspects.
- Scrips which are becoming sick have to be disposed off immediately.
- Scrips which are overpriced and good of sale orders with the necessary margin of
profit on capital appreciation.
- Scrips which are under priced and good for buy orders.
- Scrips which have uncertain trend and have to be held with neither buy or sell orders.
CHATER-9
On the basis of the study undertaken by me under this project, the interpretation of fundamental
Analysis of company wise and allocation the ranking of company as under.
RANKING OF THE COMPANY
TCS Wipro Infosys

Final Ranking
2 3 1
- 95 -
 Magazines & News Papers
 Capital Market-2009
- 96 -
 Economic Times
 Websites
 WWW.NSEindia.com
 WWW.BSEindia.com
 WWW.Arihantcapital.com
 WWW.mintlive.com
 WWW.Moneycontrol.com
 WWW.Capitalmarket.com
 Books:
 Financial Management
By I.M. Pandey
 Financial Management
By Khan & Jain
- 97 -

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INTRODUCTION

Objective of the Project

To study the performance of economy & its impact on It industries.

To analyze company & its performance.

To analysis of technical charts of the company.

Providing final conclusion so as to the fundamental & General analysis of IT sector.

Limitation of the Project

Our Business Philosophy

 Integrity and transparency in all transactions.

The values to which we aspire can be summarised in 5 principles:

“Our success is defined by the success of our clients”

We are members of the leading stock exchanges of India:

 National Stock Exchange (NSE)

We are a depository participant with:

 National Securities Depositories Limited (NSDL)

We are members of leading commodities exchanges in India:

 National Commodities Exchange (NCDEX)

 Equity (NSE and BSE)

E/5, Ratlam Kothi Area

Tel:(0731) 251 9610-11-12, 3048915

Fax: (0731)251 9817

(A) Economic Investment :

(B) Commitment Investment :

(C) Financial Investment :

 Incresses in life Expectancy

(Step-1) Framing of Investment Policy

o Determination of Investment amount

(Step-2) Valuation of Investment

(Step-3) Investment Analysis

(A) Debentures and Bonds Analysis

o Analysis Of Yield Structure

(B) Other Assets Analysis

(Step-4) Portfolio Construction

(A) Security Forms Of Investment (Marketable)

a. Corporate Forms Of Investment

b. Public Sector Bonds

(B) Non - Security Forms Of Investment (Non-Marketable)

a. National Saving Scheme

b. National Saving Certificates

d. Corporate Fixed Deposits

e. Life Insurance Policies

f. Unit Scheme Of Unit Trust Of India

2.2 CAPITAL MARKET

 MEANING OF CAPITAL MARKET

 Structure and Size of the Markets

 INDIA’S SECURITIES MARKET

CHART OF CAPITAL MARKET

INDUSTRIAL GOVERNMENT LONG TERM

The securities market can be divided in to three part:

1.) Industrial securities market

INDUSTRIAL SECURITIES MARKET

It is a market for industrial securities namely:

 Investment & Finance :

 Information Technology (IT) :

Introduction About IT Sector

As per NASSCOM's latest findings :

Moreover, according to a study by Springboard Research, the Indian IT services market is

Some big deals in the outsourcing space include :