ABSTRACT

The project entitled Equity Analysis and Share Price Movement of four
different Indian industries is basically useful for the investors who invest in the
stocks in share market.

The findings of this study help an investor to evaluate a particular company’s

performance in the industry and its share price movement in the market by using
simple techniques of “Fundamental and Technical Analysis”.

This analysis is done because the security (share) prices in an effective capital
market fully reflect their investment value as the market has the capability to
instantaneously impound the given set of information into pricing process.

The empirical findings would be useful to investors as it provides evidence of

time varying nature of the stock market volatility. Investors aim at making more
profitable and less risky investments. Therefore, the need to study and analyze
stock market, among many other factors, before making investment decisions,
but it is impossible to consistently make abnormal returns using trading strategy
based on a given set of information when the markets are efficient.

Thus this study of Equity Analysis and Share Price Movement will be an
effective guide for an investor of stocks for the profitable investment return.

1
 CHAPTER-I
INTRODUCTION

2
 Equity Research
The energizing universe of securities exchanges will paying approach to fortune, cash
and expert test. In a world that is shriveling because of data innovation and obscuring
limits between countries, the share trading system (or the values advertise) is good to go
to develop in measure.
A speedy outline of the roots
The "company" type of the association changed the way the world worked together. The
company raised the capital required to work together by issuing financial instruments (or
resources) called "value shares" to the overall population. Such a buy of offers from the
company itself is an "essential market" action. Such a buy did not attach the speculator to
the company perpetually in light of the fact that they could offer these offers in the
"auxiliary market" (or as it were, the stock trade) open their investments. Buy of value
partakes in the market offered significant yields to the financial specialists. Aside from
the profit salary that they got, the speculators additionally made capital increases when
the offer costs shot up because of different reasons. Far beyond these financial
advantages, value shares likewise gave possession and control of the company in an
indistinguishable extent from the quantity of offers held. These substantial returns don't
come without related dangers. Great measure of subjectivity and equivocalness is
engaged with finding the genuine estimation of a value share. This renders troublesome,
the choice with respect to legitimate investment.
1. Investment Banks

2. Mutual funds

3. Financial Institutions

4. Stock Brokers

5. Financial daily papers

6. Financial sites

3
OBJECTIVES OF THE STUDY
1) To examine the nature and part of value's in India

2) To examine the execution of various plans in view of their profits and contrasting
them and other value plans.

3) To investigate the execution of different value's and rank them appropriately in

view of there comes about.

4) To play out a market overview keeping in mind the end goal to separate the
merchants input on value.

5) IMPORTANCE OF THE STUDY

Value's are financial mediators worried about assembling the investment funds of the
individuals who have surplus pay and canalization of these reserve funds in those roads
where there is interest for funds.

The primary goal behind this market review on value to see the reaction of value
finance merchants about value store and relative examination is done to dissect the
execution of different value funds and rank them as needs be founded on the profits and
hazard engaged with it and propose the best reserve for financial specialists joined with
advantages of low risk,Steady or steady returns, high liquidity and capital thankfulness
through expansion and master administration.

SCOPE OF THE STUDY

The extent of the similar investigation is consolidated to obligation medium term

plans took after by a market overview of the dispersion houses . With the end goal of the
relative examination different value plans of SAIL(Steel expert of inida),Finolox
,Tatasteel of India restricted were thought about.

4
TECHNIQUES FOR DATA COLLECTION :

PRIMARY DATA : It is gathered through study and actuality sheets..

SECONDARY DATA : It is gathered from the books, diaries, past records
and every single other kind of distributed information.

LIMITAITONS

1) The near examination is just restricted to few equity's.

2) The undertaking is finished inside a limited ability to focus 45 days.

3) The relative investigation has not secured a wide range of plans.

4) Due to the corporate exchange mystery the data isn't so restrictive

5
 CHAPTER-II
CONCEPTUAL FRAMEWORK

6
 Equity Research
The energizing universe of securities exchanges will paying approach to fortune,
cash and expert test. In a world that is shriveling because of data innovation and
obscuring limits between countries, the share trading system (or the values showcase) is
good to go to develop in measure.
A brisk diagram of the roots
The "company" type of association changed the way the world worked together.
The company raised the capital required to work together by issuing financial instruments
(or resources) called "value shares" to the overall population. Such a buy of offers from
the company itself is an "essential market" movement. Such a buy did not attach the
financial specialist to the company always on the grounds that they could offer these
offers in the "optional market" (or at the end of the day, the stock trade) open their
investments. Buy of value partakes in the market offered significant yields to the
speculators. Aside from the profit wage that they got, the financial specialists additionally
made capital increases when the offer costs shot up because of different reasons. Far
beyond these financial advantages, value shares additionally gave possession and control
of the company in an indistinguishable extent from the quantity of offers held. These
overwhelming returns don't come without related dangers. Great measure of subjectivity
and uncertainty is engaged with finding the genuine estimation of a value share. This
renders troublesome, the choice with respect to appropriate investment.
The rise of expert research
Normal man couldn't comprehend the subtleties of securities exchange and value
valuation. Likewise, the idea of pooled funds like protection funds, retirement funds and
mutual funds required proficient investment administration. Thusly, the field of market
examination rose and offered ascend to back experts who exceeded expectations at
valuation of such financial resources.

 Investment Banks

 Mutual funds

 Financial Institutions

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  Stock Brokers

 Financial daily papers

 Financial sites

In a market investigation one needs to utilize different financial models,

apparatuses and strategies to touch base at basic choices like purchasing or offering or
stopping in regards to the specific stock. In the event that the exploration and
examination demonstrate that the stock cost of a specific company may rise, you "go
long" (get it). In the event that you have just gotten it, you "hold" it. On the other hand, if
the examination demonstrates a conceivable downtrend in the stock value, you would
quickly "go short" (offer it) with the goal that you don't bring about a misfortune (or
lessened benefit) at a later date. At the point when once the choice is taken, there is
positively no opportunity to save in executing it.

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 FUNDAMENTAL ANALYSIS
It's a consistent and efficient way to deal with evaluating the future profits and offer cost,
as these two constitute the arrival from putting resources into shares. As per this
approach, the offer cost of a company is dictated by the essential variables influencing
the Economy/Industry/Company, for example, Earnings Per Share, D/P proportion,
Competition, Market Share, Quality of Management and so on it computes the genuine
worth of the offer in light of it's available and future acquiring limit and contrasts it and
the present market cost to distinguish the miss-estimated securities. Major Analysis
distinguishes on a very basic level solid organizations, whose offers are qualified to be
incorporated into the financial specialist's portfolio, by giving an expository system,
known as Economy Industry Company structure, for balanced investment basic
leadership.

1. Economic Analysis:

Economic components assume significant part in any investment decisional, which is

made for improving a pick up and returns. Economic analysis and guaging company
execution and of profits is important for making investments.

Any investment is unsafe and accordingly investment choice is hard to make. Investment
choice depends on accessibility of cash and data on the economy.

Organizations are a piece of the modern and business division, which consequently is a
piece of general economy. In this manner the execution of a company depends retreat or
stagnation, the execution of the organizations will be bed as a rule, with whole
exemptions be that as it may, then again, if the economy is blasting, wages are raising
and the request is great, at that point the businesses and the organizations is general might
be prosperous, with a few special cases in any case.

In the Indian economy, the issues to be considered in any case all the conduct of the
storm and the execution of horticulture. India has a blended economy, where general

9
society division assumes a crucial part. The legislature being the greatest speculator and
high-roller, the patterns out in the open investment and consumption would demonstrate
the probable execution of the Indian economy. Associative with this, the administration
spending arrangement, tone tolls and government obtaining program alongside the degree
of shortage financing will impact the execution of the Indian economy. The monitory
circumstance alongside the budgetary approach impacts the development in value
expansion do affect the economy.

The economy and political steadiness as steady and long haul economic strategies and a
stable political with no vulnerability would likewise be important for a decent execution
of the economy all in all and of organizations specifically.

All the above factor of the economy impacts the corporate execution and the business as
a rule. In the investment analysis, a wide photo of their factor and a figure of the
development of the economy and of industry would be important to choose when to put
and what to put resources into.

2. Industry Analysis:

On the economic analysis is made and the estimate of the economy is known the
speculator will then have some ides of the imaginable development of the economy and
its pattern. From that point forward, the expert would investigate the business bunches
that are promising in the coming year or years and afterward just he will have the
capacity to pick the organizations in those industry gatherings.

Anytime of time, there might be ventures, which are on the up swing of the cycle called
daylight businesses and those, which are on the decrease called dusk enterprises. In India,
there are some development ventures like hardware and Tele correspondences, which are
the key enterprises. The designing, petroleum chemicals and capital products businesses
are in the center division. A couple of ventures like jewels, building and so on are in the

10
fare division. Jute and cotton materials are the decedent businesses. At introduce, Tele
interchanges, vitality and so forth., are a few cases of dawn businesses.

The key attributes that are to be considered in the analysis, which have a heading on the
possibilities of the company are: -
 Demand – Supply Gap.
 Competitive conditions in the business.
 Permanence.
 Growth Rate of the Industry.
 Attitude of Government towards the business.
 Labors Conditions.
 Supply of Raw Materials.
 Cost Structure.
 Past Sales and Earnings Performance.

The hole amongst Demand and Supply in an industry is a genuinely decent marker of its
here and now or medium-term prospects. Abundance supply decreases the productivity of
the business through a decrease in the unit-value acknowledgment. Despite what might
be expected, lacking supply has a tendency to enhance the productivity through higher
unit-value acknowledgment. In an industry where supply surpasses Demand and there are
numerous contending firms, the expanded contention among the organizations prompts
value cuts and overwhelming publicizing. In such a circumstance, the organizations lose
their aggressive edge and their productivity gets disintegrate.
In this age or quick mechanical change, the imperative factor to be considered is the
changelessness of an industry, which is identified with the items and the innovation
utilized by the business. Another factor to be watched is the Cost structure of the Industry
i.e., the extent of the settled expenses to the variable costs that decides the level of Break-
even point. The business with bring down equal the initial investment point is to be given
more significance.

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3. Company Analysis:
Company Analysis is the last phase of the Fundamental Analysis, which is to be done to
choose the company in which the financial specialist ought to contribute. The Economy
Analysis gives the speculator an expansive out line of the possibilities of development in
the economy. The business analysis causes the speculator to choose the business in which
the investment would remunerate. Company Analysis manages the estimation of the
Risks and Returns related with singular offers.

The stock cost has been found on rely upon the inherent estimation of the company's
offer to the degree of around half according to numerous exploration thinks about.
Graharm and Dodd in their book on "security analysis" have characterized the inborn
incentive as "that esteem which is supported by the actualities of advantages, profit and
profits". These realities are reflected in the income possibilities of the company. The
examiner needs to extend the normal future profit per offer and markdown them to the
present time, which gives the characteristic estimation of the offer. Another technique to
utilize is to take the normal profit per share and duplicating it by the business normal cost
gaining numerous.

By this technique, let the expert gauge the inherent esteem or reasonable estimation of
offer and contrast it with the market cost with know whether the stock is over esteemed
or underestimated. The investment choice is to purchase underestimated stock and offer
over esteemed stock.

3.1. Financial Analysis:

Offer cost depends mostly on its inherent worth for which financial analysis for a
company is important to help the speculator to choose whether to purchase or not the
offers of the company. The soundness and inborn worth of a company is known just by
such analysis. A financial specialist has to know the execution of the company, its
characteristic worth as demonstrated by a few parameters like book esteem, EPS, P/E
numerous and so on., and reach a conclusion whether the offer is properly valued for buy

12
or not. This, in short is the significance of financial analysis of a company to the
speculator.

Financial analysis will be analysis of financial articulation of a company to survey its

financial wellbeing and soundness of its administration. "Financial articulation analysis"
includes an investigation of the financial explanation of the company to find out its
overall situation and the reasons there of. Such an examination would empower the
general population and financial specialists to determine whether one company is more
gainful than the other and furthermore to express the reason and factors that are most
likely in charge of this.

3.1.1. Strategy or gadgets of Financial Analysis:

The expression "Financial proclamation" is utilized as a part of present day business
alludes to the accounting report, or the announcement of financial position of the
company at a state of time and salary and consumption articulation or the benefit and
misfortune explanation over a period.

Decipher the financial articulation; it is important to break down them with the question
of arrangement of a supposition concerning the financial state of the company. The
accompanying strategies for analysis are for the most part utilized.
1. Comparative articulation

2. Trend analysis

3. Common size articulation

4. Fund stream analysis

5. Cash stream analysis

6. Ratio analysis

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 Key Analysis has an exceptionally expansive extension. One viewpoint takes a
gander at the general (subjective) elements of a company. The opposite side considers
substantial and quantifiable elements (quantitative). This implies crunching and breaking
down numbers from the financial articulations. In the event that utilized as a part of
conjunction with different strategies, quantitative analysis can deliver great outcomes.
Proportion analysis isn't simply contrasting distinctive numbers from the
monetary record, pay articulation, and income proclamation. It's contrasting the number
against earlier years, different organizations, the industry, or even the economy by and
large. Proportions take a gander at the connections between singular esteems and relate
them to how a company has performed before, and might perform later on.
For instance current resources alone don't reveal to us a mess, yet when we isolate
them by current liabilities we can decide if the company has enough cash to cover here
and now obligations.

Effective Market Hypothesis

This hypothesis assumes that the Stock Markets are so aggressive and productive in
preparing all the accessible data about the securities that there is "quick value
modification" to the adjustments in the economy, business and company. The Efficient
Market Hypothesis demonstrate is really worried about the speed with which data is
consolidated into the security costs.

The Efficient Market Hypothesis has three Sub-theory:

Weakly Efficient: This type of Efficient Market Hypothesis expresses that the
present costs as of now completely mirror all the data contained in the past value
developments and any new value change is the consequence of another snippet of data
and isn't connected/free of recorded information. This shape is an immediate denial of
specialized analysis.
Semi-Strongly Efficient: This type of Efficient Market Hypothesis expresses that
the stock costs mirror all chronicled data as well as mirror all openly accessible data
about the company when it is gotten.

14
 Strongly Efficient: This type of Efficient Market Hypothesis expresses that
utilizing both freely accessible data and in addition private or insider data can't beat the
market.
Be that as it may, despite the fact that the Efficient Market Hypothesis renounces both
Fundamental and Technical analysis, the market is productive unequivocally in view of
the composed and precise endeavors of thousands of examiners undertaking Fundamental
and Technical analysis. In this manner, the Catch 22 of Efficient Market Hypothesis is
that both the investigations are required to make the market proficient and in this way
approve the speculation.

15
 Technical Analysis
Presentation

There are two noteworthy sorts of analysis for foreseeing the execution of a company's
stock - crucial and specialized. The last searches for tops, bottoms, patterns, designs, and
different components influencing a stock's value development and after that influencing a
purchase/to offer choice in light of those variables. It is a strategy numerous individuals
endeavor, however not very many are really effective.

Today, the universe of specialized analysis is gigantic. There are truly many distinctive
examples and pointers speculators claim to be fruitful. There are diverse sorts of stock
graphs and the different specialized analysis instruments.

What is Technical Analysis?

Specialized analysis is a technique for assessing securities by investigating measurements

created by showcase movement, past costs, and volume. Specialized investigators don't
endeavor to gauge a security's inborn esteem; rather they search for examples and
pointers on stock graphs that will decide a stocks future execution.

Specialized analysis has turned out to be well known in the course of recent years, as an
ever increasing number of individuals trust that the verifiable execution of a stock is a
solid sign of future execution. The utilization of past execution ought not come as a major
amazement. Individuals utilizing essential analysis have dependably taken a gander at the
past execution by looking at financial information from past quarters and years to decide
future development. The distinction lies in the specialized expert's conviction that
securities move with extremely unsurprising patterns and examples. These patterns
proceed until something happens to change the pattern, and until the point when this
change happens, value levels are unsurprising.

Some specialized experts assert they can be greatly exact a larger part of the time.

16
There are numerous cases of speculators effectively exchanging securities with just the
learning of its graph and without understanding what the company does. Specialized
analysis is a breathtaking instrument, yet most concur that it is substantially more viable
when joined with central analysis.

How about we now take a gander at a portion of the real markers specialized
investigators utilize.

The Bar Chart

Bar outlines are the absolute most prominent sort of

diagrams utilized as a part of specialized analysis. As
outlined on the left, the highest point of the vertical
line demonstrates the most noteworthy value a security
exchanged at amid the day, and the base speaks to the
least cost. The end cost is shown on the correct side of
the bar and the opening cost is appeared on the left half
of the bar. A solitary bar like the one to one side
speaks to one day of exchanging.

The benefit of utilizing a bar outline over a straight-line diagram is that it demonstrates
the high, low, open and close for every specific day. This is the kind of graph we will use

17
to show different pointers all through this clarification. There are two more sorts of
diagrams that are likewise as often as possible utilized for specialized analysis that are
like the bar graph. The main we will take a gander at is called "Candle Charting".

Candle Stick Charting

Candle diagrams have been around for

many years. They are regularly alluded to
as "Japanese Candles" in light of the fact
that the Japanese would utilize them to
dissect the cost of rice contracts.
Like a bar graph, candle outlines likewise
show the open, close, day by day high, and
every day low. A distinction is the
utilization of shading to appear if the stock
was up or down finished the day.
The chart below is an example of a candlestick chart for AT&T (T), green bars
indicate the stock price rose, red indicates a decline:

Candle graphs have an "affection or leave" association with financial specialists.

Individuals either cherish candles and utilize them oftentimes, or are totally killed by
them. There are a few examples individuals search for with candle outlines, here are a
couple of the prevalent ones and what they mean:

18
 This is a bullish example, the stock opened at (or close to) its low and shut
close to its high.

The inverse of the example over, this is a bearish example. This demonstrates
the stock opened at (or close to) its high and dropped significantly to close to
its low.

Called "The Hammer", this is a bullish example just in the event that it
happens after the stock cost has dropped for a few days. A Hammer is
recognized by a little body alongside an expansive range. The hypothesis is
that this example can demonstrate an inversion in the downtrend is in progress.

Called a "star". This example is utilized as a part of others, for example, the
"doji star". Generally, stars normally demonstrate an inversion as well as
hesitation. There is the likelihood that in the wake of seeing a star there will be
an inversion or change in the present pattern.

Remember there are more than 20 different examples utilized by specialized experts for
candle diagramming.
Presently, we should investigate a more customary style of outlining stock value
execution called "Point and Figure Charting."

The Point & Figure Chart

This kind of diagram is to some degree uncommon, in truth most diagramming

administrations don't offer the point and figure outline. This is a diagram that plots
everyday increments and decreases in cost. A rising heap of X's speaks to increments
while a declining pile of O's speaks to diminishes. These kinds of diagrams were
generally utilized for intra-day outlining (a stock graph for only one day), fundamentally

19
in light of the fact that it can be long and dreary to make P&F outlines over a more
extended timeframe physically.
The thought behind P&F graphs is that they help you to sift through less-huge value
developments and let you concentrate more on the most critical patterns. The following is
a case of a Point and Figure graph for AT&T (T):

There are two properties that influence the presence of a Point and Figure graph, box size
and inversion sum. We won't dive into much insight about these components. Since we've
investigated three distinct kinds of graphs utilized by specialized examiners, how about
we take a gander at different markers.

Using the Moving Average

One of the most straightforward pointers to comprehend, the moving normal
demonstrates the normal estimation of a security's cost over some undefined time frame.
To discover the 50-day moving normal, you would include the end costs (however not

20
generally) from the previous 50 days and partition them by 50. Since costs are always
showing signs of change, the moving normal will move also. It ought to likewise be
noticed that moving midpoints are frequently utilized when contrasted or utilized as a
part of conjunction and different pointers, for example, MACD and EMA. The most
regularly utilized moving midpoints are of 20, 30, 50, 100, and 200days.Each moving
normal gives an alternate understa
understanding
nding on what the stock will do,there isn't one correct
time span. The more drawn out the time traverse, the less delicate the moving normal will
be to day by day value changes. Moving midpoints are utilized toemphasize the bearing
of a pattern and smooth out cost and volume vacillations (or "clamor") that can befuddle
elucidation.

Notice back in September when the stock cost dropped well underneath its 50-day
50 normal
(the green line). There has been an enduring descending pattern from that point forward
and no genuine solid disparity, until the point when the finish of December where it
transcended its 50-day
day normal and kept on ascending for a little while.
Ordinarily, when a stock value moves underneath its moving normal it is an awful sign in
light of the fact that the stock is proceeding onward a negative pattern. The inverse is
valid for stocks that project their moving normal - for this situation, hang on for the ride.

Using the Relative Strength Index

21
When discussing the quality of a stock there are a couple of various interpretations,one of
which is the Relative Strength Index (RSI). The RSI is an examination between the days
that a stock completes up against the days it completes down. This pointer is a major
instrument in force exchanging.
The RSI is a sensibly straightforward model that anybody can utilize. It is computed with
the accompanying recipe. ( in all probability, it is never need to do physically).
RSI = 100 - [100/(1 + RS)]

Where:
RS = (Avg. of n-day up closes)/(Avg. of n-day down closes)
n= days (most analysts use 9 - 15 day RSI)

The RSI ranges from 0 to 100. A stock is considered overbought around the 70 level and
you should consider advertising. This number isn't formed in stone, in a purchaser
promote some assume that 80 is a better level than demonstrate an overbought stock since
stocks every now and again trade at higher valuations in the midst of decidedly drifting
markets. In like way, if the RSI approaches 30 a stock is considered oversold and you
should consider obtaining. Afresh, impact the adjustment as per 20 out of a bear to
publicize.

The shorter number of days used, the more precarious the RSI is and the more
consistently it will hit extremes. A more drawn out term RSI is all the additionally
rolling, fluctuating altogether less. Particular territories and endeavors have varying edge
levels when it come s to the RSI. Stocks in a couple of endeavors will go as high as 75-80
going before dropping back and others have an extraordinary time breaking past 70. A
conventional oversee is to watch the RSI as time goes on (1 year or more) to make sense
of what level the recorded RSI has traded at and how the stock reacted when it
accomplished those levels.

22
Here, we have a RSI outline for AT&T. The RSI is the green line, its scale is the numbers
on the correct hand side that go from 0 to 100. Notice the RSI was moving toward the 60
60-
70 levels in December and January and after that the stock (blue line) sold off. Likewise,
see around October when the RSI dropped to 25 the sstock
tock moved up almost 30% in only
two or three weeks.

Utilizing the moving midpoints, drift lines, uniqueness, support, and protection lines
alongside the RSI outline can be exceptionally helpful. Rising bottoms on the RSI outline
can deliver a similar positive
sitive pattern comes about as it would on the stock graph. Should
the general pattern of the stock value digression from the RSI, it may start a notice, and
the stock is either finished/under purchased.

The RSI is an awesome little marker that can enable you to profit. Be careful that
enormous surges and drops in stocks will drastically influence the RSI, bringing about
false purchase or offer signs. Most speculators concur that the RSI is best in "moving up"
or expanding certainty before settling on a ve
venture
nture choice, don't contribute basically in
light of the RSI numbers.

The Money Flow Index

23
Since we've investigated the Relative Strength Index (RSI), how about we investigate a
more stringent energy marker. The Money Flow Index measures the quality of cash
streaming into and out of a stock. The distinction between the RSI and Money Flow is
that where RSI just takes a gander at costs, the Money Flow Index additionally brings
volume into account.Calculating Money Flow is more troublesome than the RSI:
First we need the average price for the day:

Day high + Day Low + Close

Average Price =
3

Now we need the Money Flow:

Money Flow = (Average Price) x (Day's Volume)

Presently, to compute the cash stream proportion you have to isolate the cash streams for
a period into positive and negative. On the off chance that the cost was up in a specific
day, this is thought to be "Sure Money Flow". In the event that the cost shut down it is
thought to be "Negative Money Flow".
Positive Money Flow

Money Flow Ratio =

Negative Money Flow

It is the Money Flow Ratio that is used to calculate the Money Flow.

The Money Flow ranges from 0 to 100. Much the same as the RSI, a stock is viewed as
Overbought in the 70-80 territory and oversold in the 20-30 territory. The shorter number
of days you utilize, the more unpredictable the Money Flow is. For the case underneath
we will utilize a 14-day normal.

24
There are three key focuses on this graph. The blue circle is the place the stock value
began to make a "base" on the lower band; it created the impression that the stock was
over sold.. Purchasing now would have been a savvy decision, as the stock continued to
bounce at least 20% in the following couple of weeks.

There are three key focuses on this diagram. The blue circle is the place the stock value
began to make a "base" on the lower
lower band; it created the impression that the stock was
over sold. Purchasing now would have been an astute decision, as the stock continued to
bounce at least 20% in the following couple of weeks.

The Bollinger groups are a decent device to utilize, however

however as we've been lecturing from
the beginning, never contribute exclusively in view of what only one pointer says. Notice
there were cases when the stock touched the upper or lower band and did not respond. As
opposed to constructing their speculation choi
choices
ces in light of Bollinger, numerous
financial specialists utilize this marker for the most part to harden a choice they are going
to make.

Conclusion

25
Specialized investigation is one of those fields where everybody has an alternate
hypothesis on what works and what doesn't. In the event that we can abandon you with
one final tip, it is to back test whatever methodology you choose to seek after. Back
testing implies glancing back at quite a long while of graphs to perceive how a specific
stock responds. Diverse stocks do distinctive things,

Here are several focuses to recollect about specialized examination:

Technical investigation is a technique for assessing securities by breaking down

insights created by showcase movement, past costs, and volume.

The favorable position of utilizing a bar diagram over a straight-line chart is that it
demonstrates the high, low, open and close for every specific day.

One of the most essential and simple to utilize TA pointers is the moving normal,
which demonstrates the normal estimation of a security's cost over some undefined time
frame. The most usually utilized moving midpoints are the 20, 30, 50, 100, and 200 day.

Support and protection levels are value levels at which development should stop
and switch bearing. Consider Support/Resistance (S/R) as levels that go about as a story
or a roof to future value developments.

There are actually 100s of various value examples and markers.

In our modest feeling, specialized examination is a stupendous instrument, yet

significantly more successful when joined with basic investigation.

26
 CHAPTER-III

INDUSTRY PROFILE

27
 INDUSTRY PROFILE

Kotak Securities Ltd., a 100 % assistant of Kotak Mahindra Bank, is a standout amongst
the most settled and greatest stock agents in the Industry. The association's offerings join
stock broking organizations for stock trading through the branch and Internet,
Investments in IPO, Mutual resources and Portfolio organization organizations.

The association's Accolades include:

• Best Broker in India by Finance Asia for 2010 and 2009

• UTI MF – CNBC TV18 Financial Advisor Awards - Best Performing Equity
Broker (National) for the year 2009
• Best Brokerage Firm in India by Asia Money in 2009, 2008, 2007 and 2006
• Best Performing Equity Broker in India – CNBC Financial Advisor Awards 2008
• Avaya Customer Responsiveness Awards (2007 and 2006) in Financial Services
Sector
• The Leading Equity House in India in Thomson Extel Surveys Awards for the
year 2007
• Euromoney Award (2007 and 2006) - Best Provider of Portfolio Management:
Equities Euromoney Award (2005)- Best Equities House In India
• Finance Asia Award (2005)- Best Broker In India
• Finance Asia Award (2004)- India's best Equity House
• Prime Ranking Award (2003-04)- Largest Distributor of IPO's

The organization has been the first in giving numerous items and administrations which
have now progressed toward becoming industry measures. Some of them are:
• Facility of Margin Finance to the clients for online stock exchanging
• Investing in IPOs and Mutual Funds on the telephone
• SMS alarms before execution of vault exchanges
• Mobile application to track arrangement of your interests in securities exchange

28
• AutoInvest - A methodical putting design in Equities and Mutual assets
• Provision of edge against securities naturally against shares in your Demat
account

The organization has an undeniable research division engaged with Macro Economic
investigations, Sectoral research and Company Specific Equity Research which
distributes top to bottom securities exchange examination. This joined with a solid and all
around arranged deals constrain which conveys current and a la mode advertise data and
news.

The organization is additionally a storehouse member with National Securities

Depository Limited (NSDL) and Central Depository Services Limited (CDSL), giving
double advantage administrations wherein the speculators can profit its stock broking
administrations for executing the exchanges and the safe administrations for settling
them. The organization procedure in excess of 400000 exchanges every day which is
substantially higher even than a portion of the famous global intermediaries.

The organization's system traverses more than 400 urban communities with 1200 outlets.

Kotak Securities Limited has Rs. 2250 crore of Assets under Management (AUM) as of
30th June, 2010. The portfolio Management Service gives top class benefit, taking into
account the high end of the market. Portfolio Management from Kotak Securities comes
as a response to the individuals who might want to develop exponentially on the peak of
money markets, with the sponsorship of a specialist.

Why Kotk Securities?

The organization sees contributing from your point of view, and make proposals in light
of your needs. One of its essential objectives is to rearrange contributing for you,
alongside this The organization likewise give long haul esteems to its clients.

29
The organization has a million explanations behind you to pick us. Recorded underneath
are a couple:

Solidness: The organization is a 100% auxiliary of Kotak Mahindra Bank and one of the
most established and biggest stock broking firms in the Industry. The organization has
been the first and final NBFC to get the permit to be changed over into a bank.

Trend-setters in the Industry: The organization has been the first in giving numerous
items and administrations which have now progressed toward becoming industry
benchmarks.

• First to give Margin Financing to the clients

• First to empower putting resources into IPOs and Mutual Funds on the telephone

• Providing SMS cautions before execution of vault exchanges

• Launching of Mobile application to track portfolio

• AutoInvest - A methodical putting design in Equities and Mutual reserve

• Provision of edge against securities naturally against shares in your Demat

account

Dependability: The Company's honors are a declaration to its administrations and

elevated expectations. The organization has been granted as:

• Best Broker in India by Finance Asia for 2010 and 2009

• UTI MF - CNBC TV18 Financial Advisor Awards - Best Performing Equity

Broker (National) for the year 2009

30
• Best Brokerage Firm in India by Asiamoney in 2009, 2008, 2007 and 2006

• Best Performing Equity Broker in India – CNBC Financial Advisor Awards 2008

• Avaya Customer Responsiveness Awards (2007) in Financial Services Sector

• The Leading Equity House in India' in Thomson Extel Surveys Awards for the
year 2007

• Euromoney Award (2006 and 2007) - Best Provider of Portfolio Management :

Equities

Esteem: Whether you are a client with a little or substantial wallet measure, you can
anticipate that us will get an incentive to you each frame.

• Quality Research

• Quick exchange execution

• Low businesses

• Accounts that suit your speculation profile

• Risk Profiler

• Superior Customer Service

Administration: The organization has faith in elevated requirements of administration and

that is exactly what The organization offer. It's a respect to be granted the most client

31
responsive organization grant in the Financial Institution area by AVAYA Global
Connect Award both in 2006 and 2007

Vigorous Technology: The organization have built up its own particular restrictive
exchanging stage which is strong and among the best in the business. The organization
have in excess of 150 innovation experts always taking a shot at redesigning and
accelerating every one of its frameworks.

Brought together Risk Management System: Unlike numerous different players the
organization has a unified hazard administration framework. This permits to offer similar
levels of administration to clients over all areas.

Excellent Research: Unlike most different contenders, the organization has its own
particular in house look into group. The organization's in house inquire about group is
among the best in the business and they have a very long time of involvement in the
monetary markets. They look over the plenty of stocks and discover the scrips that have a
high capability of giving you great returns.

The organization's financial specialists get inquire about Technical, Fundamental,

Derivatives, Macro-monetary and common reserve look into.

Huge Presence: The organization is available in 448 urban communities with 1358
workplaces everywhere throughout the nation. Its representative quality stretches out past
4100.

Simple Equity and Derivatives

Putting resources into value and subordinates was never so natural. As the Best offer
dealer in India* The organization's items and administrations are engaged at making
interests in value and subordinates as basic as composing a check.

32
Research:

"What do I Buy?" Isn't this a typical inquiry The organization all have while putting
resources into value and subordinates? The organization's in house look into group is
among the best in the business and they have a long time of involvement in the monetary
markets. Through inside and out securities exchange examination they offer stock
proposals that have a high capability of giving you great returns.

SMS Alerts:

You can get stock alarms on portable notwithstanding master tips and suggestions as
SMS on your cell phone with the goal that you comprehend what to put resources into
consistently.

Trinity Account:

A 3 out of 1 exchanging account that coordinates your Trading, Bank and Demat account.
With Trinity Account your exchanges will be consistent and extremely advantageous.

Aggressive Brokerages:

The organization brings you financier rates which are among the most focused in the
business. The organization's low business rates let you focus on contributing your funds
without agonizing over the cost of speculation.

Call and Trade:

You can gain by advertise openings notwithstanding when your PC is out of reach. Call
and Trade basically gives you the accommodation of exchanging value and subordinates
by influencing a straightforward telephone to call.

33
KEAT Pro X:

Utilize this better exchanging stage than screen showcase developments, see your
additions and misfortunes and request arrangements promptly.

Versatile Stock Trader:

It is solely intended to give you moment access to money markets through your cell
phone, in this way enabling you to get each and every market development when you are
moving.

Kotak Securities News:

You approach thorough securities exchange news, ideal from its outcomes, profit,
reward, share holding designs and so forth. Likewise think about market advancements,
most recent happenings, stock developments and parcels more.

Twin Advantage:

You not just get presentation against the trade edge out your exchanging account
however The organization likewise naturally furnish you with introduction against the
offers lying inert in your DP account. This comes to you at no additional charges.

Simple Derivatives Trading

In the event that you are not unwilling of going out on a limb, subsidiaries can turn out to
be a decent speculation choice particularly with its examination.

The organization, at Kotak Securities, has strived to make exchanging prospects and
alternatives more straightforward. The organization's subordinates classes instruct new
participants in the investment opportunities and fates exchanging business sector to be

34
more outfitted with information and systems. When you have the information of
exchanging subsidiary instruments its every day subordinate reports will furnish you with
techniques that may yield great returns for you.

You can likewise allude to the Kotak Securities Academy to take in more about
subordinates.

To begin exchanging subordinates, you should simply open an internet exchanging

account. Browse its extensive variety of records to suit your venture needs. On the off
chance that you are a propelled merchant in subsidiaries The Company have uncommon
item for you.

Simple IPO

Putting resources into IPOs isn't intricate any longer, Kotak Securities has made
purchasing IPOs extremely basic. You should simply influence one telephone to call, and
there's nothing more to it. No IPO application frames, no lines, basically pick the
telephone or sign on to www.kotaksecurities.com and put in your IPO request inside
seconds.

The organization likewise furnishes you with data on IPO News, Forthcoming IPOs in
India and significantly more.

To begin putting resources into IPOs, you should simply open a web based exchanging
account. Browse its extensive variety of records that suits your venture needs.

Simple Mutual Fund

No more printed material, no more lines. The organization has made putting resources
into shared supports as basic as dialing a pizza.

35
You would now be able to put resources into more than 3000 distinctive common reserve
plans (in the Indian securities exchange) on the web or through your telephone.
Furthermore, to settle on this decision of picking between which shared assets plan to put
resources into. The organization offer you its select shared store look into.

Interest in common store can be made basically by going on the web and signing on to
www.kotaksecurities.com or simply influencing a telephone to call . No printed material
no lines. Basically pick the telephone or sign on towww.kotaksecurities.com and submit
your request.

Simple Insurance

An existence with it's different difficulties gives you chances to handle them as well. One
of them is getting protection. Kotak Securities offers you a large group of protection
choices to enable you to remain ensured and fiscally secure.

You can look over different plans in view of your needs and settle on an educated money
related choice for you and your friends and family. On the off chance that you require
more points of interest to enable you with picking the most suitable arrangement to click
here and fill in your subtle elements, its money related guides would be happy to help.
The organization would dependably guarantee that picking a protection design would be
as simple and advantageous as workable for you.

Cash Derivatives

"Never keep all your investments tied up on one place" - Financial markets are a great
case of this maxim. These business sectors all around the globe in all classes and at all
purposes of time have shown us to keep its ventures expanded into different instruments.
Consequently, Kotak Securities has brought another venture open door for every single
Resident Indian, who would now be able to differentiate their portfolio, by exchanging
Currency Derivatives.

36
Money subordinate is an agreement between the vender and purchaser, whose esteem is
to be gotten from the hidden resource, the cash sum. A subordinate in light of cash trade
rates is a future contract which stipulates the rate at which a given money can be traded
for another cash as at a future date.

Out of the blue this portion is open to the retail players in the money exchanging market.
Further, Kotak Securities customers will appreciate the accompanying significant points
of interest:

A) Currency Derivatives (Currency Futures), Equities and Mutual Funds can be

exchanged on one exchanging stage

B) Your Cash edge with Kotak Securities can be utilized for all the three fragments

C) Exclusive research reports and courses for Currency Derivatives Trading

Portfolio Management administrations

Overseeing interests in values requires time, information, experience and steady checking
of securities exchange. The individuals who require a specialist to deal with their
speculations, portfolio administration administrations

The matter of portfolio administration has never been a simple one. Juggling the
constrained decisions within reach with the twin prerequisites of sufficient wellbeing and
sizeable returns is an errand full of complexities.

Given the capricious idea of the offer market it requires strong experience and solid
research to settle on the correct choice. At last it comes down to make the correct move
the correct way at the ideal time. That is the place the master comes in.

About Kotak Securities Portfolio Management

37
Kotak Securities is one of India's most established portfolio administration organizations
with over a time of involvement. It is additionally one of the biggest, with Assets Under
Management of over Rs. 3300 Crores. Kotak Portfolio Management comes as a response
to the individuals who might want to develop exponentially on the peak of securities
exchange, with sponsorship of a specialist.

Kotak measures its prosperity through the achievement of its customers. Whatever be
your necessity, The Company will tailor your securities exchange portfolio to your
particular speculation require.
At the very base of a financially sound portfolio lies the identification of one's investment
objective. The company helps you identify your investment objectives and also outline
important requirements like liquidity, capital appreciation, current income, time span and
fiscal implications and then suggest an appropriate scheme.
How do you benefit from its Portfolio Management Service?
 An Investment Relationship Manager will ensure that you receive all the services
related to your investment needs
 A dedicated website and a customer services desk allows you to keep a tab on
your portfolio’s performance
 Your portfolio of investments in stock market is tailored after a thorough research
backed by the expertise from the Kotak Securities Research team
 An experienced team of portfolio managers ensure your portfolio is tracked,
monitored and optimised at all times
 The personalised services also translates into zero paper work and all your
financial statements will be e-mailed

Products

The organization has item for each venture need and period. Following are the offerings:

BEP – Large top concentration portfolio NRI

38
Auto Invest - Online Trading Account for Stocks, Gold ETF and Mutual Funds

Do you long for being rich? Who doesn't? However, relatively few have a venture
technique set up to manufacture riches.

Exhibiting Auto Invest - an Online Trading Account in light of Systematic Investment

Planning, in Gold ETFs (Exchange Traded Funds), Equities and Mutual Funds. Help with
ventures, combined with Systematic Investing, genuinely makes this item a decent
alternative for financial specialists.

Auto Invest gives a mix of Gold ETFs, Stocks and Mutual Funds prescribed by its
Advisors, contingent upon a financial specialist's hazard hunger and venture see.

Auto Invest is one of a kind from a general SIP in a way that it evaluates the hazard
profile and venture goals of the speculator, an essential practice that Mutual Funds
neglect to convey. The organization offer 4 particular Investment Portfolios in view of
your hazard taking capacity.

Kotak Gateway - Stock Trading Account

Is it true that you are new to exchanging? Would you like to feel the waters previously
you swim? In the event that Yes, this is a perfect stock exchanging represent you. As a
free Investor, you will approach all the exploration and exchanging offices to execute
your exchanges. You can choose what to purchase, when to purchase and so on either in
light of your own examination or utilize Kotak Securities investigate.

Kotak Securities Gateway Account, an Online Trading Account opens the entryway to a
universe of contributing open doors for you. You might be anyplace, whenever and still
figure out how to put your exchanges utilizing the Internet or its Call and Trade Facility.
Open the Kotak Securities Gateway Account and begin!

39
Kotak Privilege Circle - Online Share Trading Account

Is it accurate to say that you are looking for the best online offer exchanging and
contributing administrations for your individual money related requirements? You are at
the correct place; The organization offer you only the best. Understanding your
individual contributing needs The organization at Kotak Securities ensure you get the
chance to appreciate premium and awesome exchanging administrations just with Kotak
Securities Privilege Circle. It is a web based exchanging account.

Executing your exchanges autonomously with this web based exchanging account gets
you the most reduced charges in the business and in addition special administrations that
exclusive a couple of appreciate.

Propel Fee Account

On the off chance that you are a predictable financial specialist in the stock exchange and
might want to take the upside of your reliable exchanging then The organization offers
you Advance Fee Account. As an advantage of your steady exchanging, The organization
offers you amazingly low charges amid the legitimacy time frame.

In view of your necessity you can pick an arrangement which will best suit your need.
There are different plans accessible beginning from Rs.1000 with a half year legitimacy
to Rs.4000 with a half year legitimacy.

Advantages

o Free Account Opening

o Low business rates, the financier will be depleted from the propel charge

40
o Complete use of legitimacy period where you can keep exchanging inspite of
depletion of propel charge

For instance, you selected the arrangement with Advance charge of Rs. 1000 which is
substantial for a half year, your propel expense is depleted in the first month itself
however here you can get a similar financier rate for adjust 5 months too Advance charge
reversible upto the arrangement esteem

41
 CHAPTER -IV
COMPANY PROFILE

42
 COMPANY PROFILE

The image of Kotak Mahindra Bank speaks to the vision and activities unequivocally
where vast "ka" mirrors our worldwide Indian identity. The "ka" is interestingly Indian
while its bend frames the unending sign, which is general. One of the fundamental
inhabitants of financial matters is that man's needs are boundless. The interminable "ka"
symbolizes that we have a limitless number of approaches to address those issues.

GENISIS OF KOTAK MAHINDRA BANK

KMBL has appeared in March 2008 through the transformation of kotak Mahindra bank
restricted into a Commercial Bank. Kotak Mahindra is one of India's driving budgetary
organizations, offering complete monetary arrangements that envelop each circle of life.
From business managing an account, to stock broking, to common assets, to disaster
protection, to speculation saving money, the gathering obliges the budgetary needs of
people and corporates.

The gathering has a total assets of over Rs.1,550 crore and utilizes more than 3,000
workers in its different organizations. With a nearness in 60 urban areas in India and
workplaces in New York, London, Dubai and Mauritius, it benefits a client base of more
than 5,00,000. Kotak Mahindra is genuinely enormous and generally based with cross
fringe tasks. In 2013, the gathering had networth of over Rs 5,824 crores and utilized
more than 20,000 individuals in its different business with a nearness of 100 urban areas
in India and offers in New York, London, Mauritius. Check cards base expanded to
5,00,000.

Built up in 1985, the Kotak Mahindra bunch has been one of India's most rumored
budgetary aggregates. In February 2003, Kotak Mahindra Finance Ltd, the gathering's
lead organization was given the permit to bear on managing an account business by the
Reserve Bank of India (RBI). This endorsement made saving money history since Kotak
Mahindra Finance Ltd. is the main non– keeping money back organization in India to

43
change over itself in to a bank as Kotak Mahindra Bank Ltd. Today, the bank is one of
the quickest developing bank and among the maost appreciated money related
foundations in India.

The bank has more than 323 branches and a client account base of more than 2.7 million.
Spread all finished India, not simply in the metros but rather in Tier II urban areas and
country India too, it is reclassifying the scope and energy of managing an account.
Directly it is occupied with business managing an account, stock broking, common
assets, extra security and venture saving money. It takes into account the money related
necessities of people and corporates. The bank has a worldwide nearness through its
auxiliaries with workplaces in London, New York, Dubai, Mauritius, San Francisco and
Singapore that represent considerable authority in giving administrations to abroad
financial specialists looking to put into India.

Items and Services

• The bank offers finish budgetary answers for vast necessities of all individual and
non– singular clients relying upon the client's need – conveyed through a best in class
innovation stage. Speculation items like Mutual Funds, Life Insurance, retailing of gold
coins and bars and so on are likewise advertised. The bank takes after a blend of both
open and shut design for circulation of the speculation items. This is sponsored by solid,
in– house examine on Mutual Funds.

• The bank's investment account goes past the conventional part of reserve funds,
and enables us to set aside significantly something beyond cash. The worry– free element
of Savings Account gives a scope of administrations from reserves exchange, charge
installments, 2– route clear through our ActivMoney highlight and substantially more.
We can put standing directions for speculation alternatives that can be reserved through
Internet or through Phone keeping money administrations. The Savings Account in this
manner accommodates appealing returns earned through a complete suite items and

44
administrations that offer speculation choices, all conveyed consistently to the client by
all around coordinated innovation stages.

• Apart from Phone saving money and Internet saving money, the Bank offers
helpful managing an account office through Mobile saving money, SMS administrations,
Netc@rd, Home keeping money and BillPay office among others.

• The Depository administrations offered by the Bank enables the clients to hold
value shares, government securities, bonds and different securities in electronic or Demat
frames.

• The Salary 2 Wealth offering gives exhaustive authoritative answers for

Corporates with highlights, for example, simple and computerized online compensation
transfer process in this way wiping out the printed material associated with the procedure,
a devoted relationship administrator to benefit the corporate record, tweaked
advancements and tie – ups and numerous such one of a kind highlights. The entire range
of venture items and speculation warning administrations is accessible to the
compensation account holders too.

• For the business group, the bank offer thorough business arrangements that
incorporate the Current Account, Trade Services, Cash Management Service and Credit
Facilities. The bank's discount keeping money items offer business managing an account
answers for long– term speculations and working capital needs, exhortation on mergers
and acquisitions and gear financing. To address uncommon issues of the provincial
market, the bank has devoted business offerings for horticultural financing and
foundation. Its Agriculture Finance division conveys modified items for capital financing
and gear financing needs of our provincial clients.

• For money related liquidity the bank offers credits that meet individual
prerequisites with snappy endorsement and adaptable installment alternatives. To finish
the individual money related offerings space, the bank now offers Kotak Credit Card

45
which is a hassle– free, straightforward item that additionally happens to be the main
vertical Mastercard in the business.

• Kotak Mahindra Bank tends to the whole range of money related requirements of
Non– Resident Indians. The bank has tie– up with the Overseas Indian Facilitation Center
(OIFC) as a key accomplice, which gives them a stage to share their exhaustive scope of
keeping money and speculation items and administrations for Non Resident Indians
(NRIs) and Persons of Indian Origin (PIOs). Their Online Account Opening office and
Live Chat benefit connects at the solace of homes and at the comfort. These offerings are
particularly intended to suit the abroad Indian's own monetary needs and give the
worldwide Indians a close to home feel.

Honors

ICAI Award – Excellence in Financial Reporting under Category 1 – Banking Sector for
the year finishing 31st March, 2010

Asiamoney – Best Local Cash Management Bank 2010

IDG India – Kotak won the CIO 100 'The Agile 100' honor 2010

IDRBT

• Banking Technology Excellence Awards Best Bank Award in IT Framework and

Governance Among Other Banks' – 2009

• Banking Technology Award for IT Governance and Value Delivery, 2008

IR Global Rankings – Best Corporate Governance Practices – Ranked among the main 5
organizations in Asia Pacific, 2009

46
FinanceAsia – Best Private Bank in India, for Wealth Management business, 2009

Kotak Royal Signature Credit Card – Was picked 'Result of the Year' in a review directed
by Nielsen in 2009

IBA Banking Technology Awards

• Best Customer Relationship Achievement – Winner 2008 and 2009

• Best general champ, 2007

• Best IT Team of the Year, 4 years consecutively from 2006 to 2009

• Best IT Security Policies and Practices, 2007

Euromoney – Best Private Banking Services (by and large), 2009

Emerson Uptime Champion Awards – Technology Senate Emerson Uptime

Championship Award in the BFSI classification, 2008

2010

Best Investment Bank in India, 2010

Best Equity House in India, 2010

Best Broker in India, 2010

Best Domestic Equity House, 2010

Best Local Brokerage in the Asiamoney Brokers Poll – 2010

47
Best Investment Bank in India, 2010

Best Bank for Equity Finance in India, 2010

Best Domestic Investment Bank, 2010

Best Investment Bank in India, 2006, 2007, 2008, 2009 and 2010

Best Equity House in India, 2008 and 2010

Best Domestic Equity House, 2008, 2009 and 2010

Kotak Mahindra Bank has propelled a Visa called Kotak Trump Card that offers 10%
money back on eating and in addition film and play spends.

Kotak Mahindra Bank (KMB) has presented Stock Ace, another item offering for
singular clients which gives them the energy of moment liquidity.

2011

Kotak Mahindra Bank dispatches interbank portable installment benefit

Points of reference

• 1986 – Kotak Mahindra Finance Ltd began the action of Bill Discounting

• 1987 – Kotak Mahindra Finance Ltd entered the Lease and Hire Purchase
advertise

48
• 2003 – Kotak Mahindra Finance Ltd. changed over into a business bank – the
primary Indian organization to do as such.

• 2009 – Kotak Mahindra Bank Ltd. opened a delegate office in Dubai. Entered
Ahmedabad Commodity Exchange as stay financial specialist.

Kotak Mahindra owes its development to its relationship with the universal ability pool
and has organization with GOLDMAN SACHS (one of the world's biggest bank and
business firm) portage credit (one of the universes biggest committed vehicle lenders)
and old common (a huge protection, keeping money and resource administration
combination).

Kotak Mahindra bank is the leader organization of the gathering. The organization was
joined in 1985 and throughout the years has spread its business into the whole range of
budgetary administrations either specifically or through backups. In February 2008, the
organization achieved another development when it was offered permit to bear on
managing an account business by the Reserve Bank of India. It was the principal
organization in India to change over to a bank. The organization has been in retail driving
since mid 1990's. With the change into bank retail liabilities, treasury and corporate
managing an account fragments have been included.

Trip TO BANK: A SPECTACULAR METAMORPHOSIS

The Kotak Mahindra amass was consolidated in 1985 as a Kotak Capital Management
Finance Limited. This organization was advanced by UDAY KOTAK, SIDNEY, PINTO
AND KOTAK AND COMPANY

Industrialist HARISH MAHINDRA and ANAND MAHINDRA took a stake in 1986 and
along these lines the organization changed its name to KOTAK MAHINDRA FINANCE
LTD.

49
KOTAK MAHINDRA amass executive is Mr.KM GHERDA

KOTAK MAHINDRA bad habit administrator and overseeing executive is Mr. UDAY
KOTAK

KOTAK MAHINDRA administrator of top managerial staff is Mr.Dr.SHANKAR

ACHARYA.

Outline OF KOTAK GROUP OF COMPANIES

Kotak Group of organizations has different arms to help its achieve goals. They are

1) Kotak Investment Banking.

2) Kotak Institutional Equities.

3) Kotak Securities.

4) Kotak Car Finance.

5) Kotak Life Insurance.

6) Kotak Mutual Fund.

7) Kotak International Subsidiaries.

KOTAK INVESTMENT BANKING:

Kotak speculation managing an account is an India's chief venture bank which is a key
joint wander between Kotak Mahindra Bank which is holding 75% and Goldman Sachs
which is holding 25%. Kotak speculation keeping money offers a full administration

50
venture saving money answers for its customers by consolidating the worldwide reach
and ability of GOLDMAN SACHS.

Kotak speculation managing an account recognizes structures and executes blends,

acquisitions, divestitures and issuance an obligation and value and furthermore gives
inventive answers for corporates and government undertaking.

In value business, Kotak speculation bank works with first class organizations in getting
to the general population and private value advertises and giving inventive financing
arrangements. Kotak speculation saving money spearheaded the idea of book fabricated
value offering in India with the IPO of Hughes Software Systems Ltd and has raised
value through book working for a portion of the biggest value bargains at any point done
in household advertise. Kotak speculation bank has had the advantaged of being the book
sprinter to the historic point disinvestments of Maruthi Udyog Ltd and ONGC Ltd.,
which are viewed as a watershed in Indian capital markets.

Honors:

Kotak Investment Banking accomplishments are marvelous and consequently got

delegated with numerous as it merits. Kotak speculation saving money has been granted

KMB IT group got 6 grants sorted out by IBA.

KMB was in the best 5 for corporate administration among organizations by

specialized criteria in the IR Global rankings 2013 for the Asia pacific/Africa locale.

"BEST DOMESTIC EQUITY HOUSE" by Asia cash in 2008, 2009, 2011 , 2012
and 2013.

"BEST DEAL IN INDIA" for ONGO Limited by Asia cash in 2009.

51
 "BEST INVESTMENT BANK IN INDIA" by back Asia in 2008, 2009, 2011 and
2013.

"BEST ASIAN MID CAP EQUITY DEAL" for Maruthi IPO in 2008 by Finance
Asia.

"BEST INVESTMENT BANK IN INDIA" by Global back in 2009 and 2010.

"BEST EQUITY HOUSE IN INDIA" by Euro cash in 2008, 2009, 2010 , 2012
and 2013.

India's value place of the year by IFR Asia in 2009.

BEST PERFORMANCE EQUITY BROKERAGE in India CNBC money related

counselor granted in 2013

BEST BROKERAGE FIRM IN INDIA BY ASIA MONEY in 2014

THE LEADING EQUITY HOUSE IN INDIA as Thomas extel study in 2015

KOTAK INSTITUTIONAL EQUITIES

Kotak institutional values center around obliging the institutional customers including
outside institutional financial specialists, banks, shared assets and insurance agencies.

Kotak inquire about investigators were positioned top 3 in institutional financial

specialists 2009 all Asia positioning. It takes into account institutional customers of India,
London, New York, Hong Kong, Singapore, Japan and Middle east. The full
administration inquire about group's sectoral examination covers all the significant zones
of the India economy and always conveys thorough amazing exploration over a wide
range of businesses.

52
KOTAK SECURITIES

Kotak securities are a vital joint wander between KOTAK MAHINDRA BANK (holding
75%) and GOLDMAN SACHS (holding 25%) is India's driving business and securities
dispersion house. Kotak securities has been positioned the biggest wholesaler of starting
open offerings for 2011-2012 by PRIME database and has been granted India's best value
house for 2013 by Finance Asia, Best specialist in India for 2013 by Finance Asia and
best values house in India for 2013 by Euro cash.

The non-institutional division of Kotak securities offers both disconnected and web based
broking. Aside from broking administrations, the non-institutional fragment offers
extensive variety of items including portfolio administration administrations, edge
loaning, vault administrations and other charge based exercises.

The private customer gathering (PCG) of the organization gives venture warning
administrations to High Net Worth people, Non Resident Indians (NRIs) Investor Trusts
and Corporate. The speculation item go offered by PCG covers ventures and exchanging,
value subordinates, portfolio administration, IPO's and common assets. In 2014 the
advantages under optional portfolio administration were in abundance of Rs. 28 billion.
Kotak securities normal day by day volume 5,300 crores (in 2014).

KOTAK CAR FINANCE

Amid 2010, the kotak Mahindra Group's possession in Kotak Mahindra Primus Limited
(KMPL) has gone up to 100% after the procurement of 40% stake held by Ford Credit
International (FCI). The essential business of KMPL is to fund traveler autos, multi-

53
utility vehicles in India for retail clients and working capital and framework necessities of
merchants. KMPL offers back for both new and in addition utilized autos.

KMPL offers auto financing essentially as credits. KMPL likewise offers stock
subsidizing to auto merchants and has gone into vital game plan with different auto
makers in India for being their favored agent. KMPL has set up a concentrate client
administrations movement to guarantee high caliber and opportune reaction to client
needs.

Amid 2013-14 KMP's gross advances crossed Rs. 5900 crore stamp recording an
expansion of 44% when contrasted with budgetary year 2012.KMPL had a retail
appropriation arrange involving 88 branches (counting agent workplaces) in 18 states in
the nation and had a wide system of direct promoting partners, representatives and
organizations supporting the conveyance system and adjusting around 117,345 clients.

KOTAK LIFE INSURANCE

Kotak Mahindra Old Mutual Life Insurance Ltd is a joint wander between Kotak
Mahindra Bank Ltd holding 74% and Old Mutual Plc. Holding 26% - a main universal
monetary administrations gather recorded on the London stock trade. Old shared plc, a
UK based budgetary administration gather with 160 years of involvement in protection
and saving money, is a Fortune 500 organization recorded in London Stock Exchange
and incorporated into the FTSE 100 rundown of organizations.

Kotak life coverage offers an extensive variety of inventive extra security items went for
making the Indian purchaser fiscally free. Kotak disaster protection has full scope of
items from unadulterated protection to sparing items and market connected items, from

54
youngsters' protection to retirement arrangements. In an overview directed by AC
Nielson – ORG MARG in walk 2010, Kotak extra security positioned fourth among
insurance agencies working in India regarding brand mindfulness in urban territories. For
2009-10, Kotak disaster protection was positioned sixth among the private safety net
providers as far as premium earned.

It right now offers 22 items, including unadulterated hazard items, return of premium
items, partaking items and unit connected venture items. The Kotak safe speculation
design (KSIP) offers capital assurance at a sensible cost.

As a money related year 2013 first year general premium 1,046 crores , 61 crores single
premium , 585 crores reestablishment premium.

KOTAK MUTUAL FUND

Kotak Mutual Fund was set up in 1998, appropriate from beginning it has constructed a
notoriety for being a pioneer in addition to other things it has given Indian shared store
industry its first blame reserve, first multi-supervisor value reserve of assets, first subject
reserve committed to all around focused Indian organizations, first financial specialist
unwaveringness plan and first SMS-based data benefit which has driven the route for rest
of the business.

Kotak's Mutual will probably offer speculators a full scope of items, over the hazard
return range, to empower them to construct riches and accomplish their budgetary
objectives. To accomplish this, it tries to make putting resources into common finances a
straightforward and advantageous process for all financial specialists, by continually
redesigning its administration levels and depending on advancement to have the effect.

55
With resources of Rs.19,739 crores under administration (2013 - 2014). The quantity of
folios as on March 31, 2014 was around 9.40 lakhs when contrasted with around 5.36
lakhs as of March 31, 2013 a development of 75%. It is a mind logging achievement
where its prosperity depends on three procedures: New item advancement, expanded land
developments, enhanced dissemination reach and infiltration. Through this procedure,
kotak common intends to be the best among the shared assets of decision.

KOTAK INTERNATIONAL SUBSIDIARIES

The universal backups offer business and resource administration administrations to high
total assets people and foundations based outside India through its scope of seaward India
reserves, and in addition through particular warning and optional venture administration
commands from institutional speculators. Kotak Mahindra International Ltd is the
speculation director to over US $375 mn in value resources put into India through
different assets. The universal auxiliaries likewise managing storehouse receipts and lead
oversee and endorse global issuances of securities.

Kotak Mahindra UK Ltd is the primary firm of Indian starting point to be directed by
securities and fates specialist in the United Kingdom. KMUK is an individual from
London stock trade and is enrolled with

the SEBI as a Foreign Institutional Investor (FII). KMUK as a FII has 18 sub-accounts
putting resources into to India as of September 30, 2014. Kotak Mahindra has money
related middle person controlled by the NASD in United States.

56
KOTAK PRIVATE EQUITY FUND

Amid 2009-10, the Bank propelled the private value division. The private value division
has an accomplished speculation administration group with a fruitful reputation in the
funding business. Kotak SAFE India Fund (KSIF) is enlisted with SEBI as an investment
support. Indian development finance, a plan of KSIF had its last shutting in September
2013 with responsibilities in overabundance of Rs. 7.8 bn, from residential and
worldwide financial specialists.

KOTAK REAL ESTATE FUND

The gathering has propelled Kotak Mahindra Realty Fund, a SEBI enrolled investment
subsidize, with an emphasis on the Indian land and partnered divisions. The essential
target of the store is to put resources into and give fund to land division and united
exercises in Indian with an expectation to produce unrivaled hazard balanced returns.

NRI SERVICES

KOTAK MAHINDRA BANK offers a different arrangement of NRI-driven money

related arrangements including speculations, settlements and stores. Extending from
NRE/NRO/FCNR accounts, Demat accounts are the esteem included advantages like At-
standard checks, at home administrations, free internal assets exchange, command office
and so on. The venture item goes from shared reserve to protection. The bank's Portfolio
Investment plot (PINS) empowers to bargain in values in optional market. We offer a
stage that incorporates a ledger a demat account and a broking account through Kotak
securities. The assessment and FEMA warning administrations of the bank give guidance
on tax assessment or administrative issues from the best specialists in the field. The bank
likewise offers an online settlement benefit for non inhabitant Indians called FUNDS TO
HOME. It incorporates a scope of quick, practical and secure settlement administrations.

57
Business VEHICLES

This constitutes the biggest piece of the bank's retail progresses portfolio overhauling a
client base of in excess of 49,345 clients. The division is moving towards getting to be
one stoop search for all financing needs of transporters. Building up an effective
dispersion arrange, executing hazard administration methods and recognizable proof of
new items for the vehicle and foundation segments keep on being the focal point of this
business the divisions raid into financing of development gear to framework
organizations has brought about the bank rising as one of the key players on the segment.
The managing an account stage gives the correct chance to expand its range and
administrations

HOME LOANS
KOTAK MAHINDRA BANK offers home back arrangements in may 2008. The home
fund business of the bank has adopted the strategy of creating items for particular
portions and tweaking them to suit singular need. The bank now has a total suite of home
fund offerings with home advances, advance against property, adjust exchange credits
and advances for business property. The bank propelled creative home fund offerings
with reset time of three years and with settled store financing cost as the loan fee
benchmark to grow its scope of offerings and take into account more current portions.

Farming FINANCE DIVISION

The farming account division was propelled in August 2008, to meet the need segment
propel focus of the bank. Given the huge open doors that are coming up in farming and
rustic segments, the division is recognizing productive but hazard controlled financing
openings. The division now has centered groups with encounter who are creating
resources for the bank in the retail, SME and corporate sections. The items propelled by
the division incorporate tractor advances to singular ranchers including renegotiating for
the buy of homestead automation gear, term advances for editing exercises and to cutting

58
edge and logical horticultural items, working capital advances to merchants and
wholesalers of agrarian data sources and credits to ranchers occupied with giving
contributions under contract cultivating course of action to extensive corporates and
direct advances to corporates occupied with farming exercises.

CORPORATE BANKING
KOTAK MAHINDRA BANK offers corporates and organizations a total scope of
customer driven saving money arrangements and administrations. These incorporate
working capital exchange administrations, exchange saving money, currency showcase
and remote trade administrations and money administration. Every one of the
administrations are centered around particular customer needs and conveyed in the wake
of calculating in industry goals and individual settings. Kotak's times of experience
guarantees that it genuinely comprehends the monetary needs of Indian corporate
segment. The emphasis is on supporting store network and appropriation. This business
has picked up fundamentally from managing an account stage with capacity to offer a
more extensive scope of items and administrations to clients.

Benefit before charge for corporate managing an account fragment was up 99% from Rs.
101.65 crore in 2012 – 13 to Rs.202.64 crore in 2013 – 14.

Individual LOANS

KOTAK'S fast simple individual advances are called "Jaldi Loans" which run from
Rs.50,000 to Rs.10,00,000 for salaried people, independently employed proficient and
businesspeople. It benefits a client base of around 37,000. These advances can be utilized
for nearly anything-to remodel houses, for kids training, to purchase a 2 wheeler, to go on
a merited occasion. Jaldi credits offers insignificant printed material and speedy process
inside 24 hours for salaried and 72 hours for independently employed experts and
specialists with reimbursement residencies extending from 12 to 48 hours.

59
CHAPTER-V
DATA ANALYSIS
&
INTERPRETATIONS

60
 FINOLEX INDUSTRIES

Registered Office D1/10, M.I.D.C, Chinchwad, Pune Maharashtra 411019

Tel: 27408200
Fax 27477217
Email aa@finolexind.com
Website www.finolex.com
CEO Mr.K P Chhabria
Business Group Finolex Group
Industry Petrochem - Polymers

BSE Code 500940

NSE Code FINPIPEEQ
Face Value 10
Market Lot 1

Board of Directors
Director Name Designation
Mr. Prakash P Chhabria Deputy Managing Director
Mr. K N Atmaramani Independent Director
Mr. S N Inamdar Independent Director
Mr. S S Marathe Independent Director
Mr. M G Bhide Independent Director
Dr. N A Kalyani Independent Director
Mr. K P Chhabria Managing Director
Mr. P P Chhabria Non Executive Chairman
Mr. P Subramaniam Whole Time Director
Mr. J S Arora Whole Time Director
Mr. S S Dhanorkar Whole Time Director

61
About FINOLEX
The organization was fused on 28th March 1981, in Maharashtra as a private restricted
organization and was changed over into an open constrained organization on first
December 1988. It fabricates PVC Pipes and fittings. It was advanced by P.P. Chhabria
and his partners. The organization procured an assembling plant at MIDC Chinchwad,
Pune and began business creation of PVC pipes in May 1981. In 1983, 3,67,650 offers
issued without installment in real money to individuals from Finolex Plastics Pvt. Ltd. on
its merger.

In 1994, the organization has been conceded the most astounding classification FICO
score, to be specific P1+ FICO score, by CRISIL for issue of business paper. The rating
of P1 shows that the level of wellbeing with respect to auspicious installment on the
instrument is extremely solid. "+" (in addition to) sign for rating mirrors a nearly higher
remaining inside the classification. The organization has tied up with banks for working
capital necessities of PVC pitch division In 1996, The Pipes Division of the Company has
been conceded Quality Systems Certification License according to Seems to be/ISO 9002
by Bureau of Indian Standards, certify by Raad Voor de Certificates, Netherlands.

In 1999,The Company was regarded with the Mahratta Chamber of Commerce,

Industries and Agriculture's renowned Dr. R.J.Rathi 'Ecological Pollution Control' grant
for exceptional endeavors in controlling contamination and ensuring nature at the plant.
The Company marked amid the year under audit Tripartite Agreement with Central
Depository Services (India) Limited and MCS Limited for dematerialisation of value
shares

62
 Shareholding Pattern

Share Holding Pattern as

31/03/2016 31/12/2015 30/09/2015
on:
FaceValue 10.00 10.00 10.00
Share Holder No. Of Shares % Holding No. Of Shares % Holding No. Of Shares % Holding

PROMOTER'S HOLDING

Foreign Promoters 0 0.00 0 0.00 0 0.00

Indian Promoters 23368351 18.84 23368351 18.84 23368351 18.84
Person Acting in Concert 0 0.00 0 0.00 0 0.00
Sub Total 23368351 18.84 23368351 18.84 23368351 18.84

NON PROMOTER'S HOLDING

Institutional Investors
Mutual Funds and UTI 1369815 1.10 2223012 1.79 4193765 3.38
Banks Fin. Inst. and
1578252 1.27 1037648 0.84 1288809 1.04
Insurance
FII's 1372777 1.11 3859139 3.11 3672348 2.96
Sub Total 4320844 3.48 7119799 5.74 9154922 7.38

Other Investors

Private Corporate Bodies 47265159 38.11 45614001 36.78 44290863 35.71

NRI's/OCB's/Foreign
1853040 1.49 1591656 1.28 1569624 1.27
Others
GDR/ADR 0 0.00 0 0.00 0 0.00
Directors/Employees 0 0.00 0 0.00 500000 0.40
Government 0 0.00 0 0.00 0 0.00
Others 500000 0.40 500000 0.40 0 0.00
Sub Total 49618199 40.01 47705657 38.47 46360487 37.38

63
Share Holding Pattern as
31/03/2016 31/12/2015 30/09/2015
on:
FaceValue 10.00 10.00 10.00
Share Holder No. Of Shares % Holding No. Of Shares % Holding No. Of Shares % Holding
General Public 46710523 37.66 45824110 36.95 45134157 36.39
GRAND TOTAL 124017917 100.00 124017917 100.00 124017917 100.00

Capital History

Face
Auth. Issued Paid-up Paid-up
From To Class of Shares Value
Capital Capital Shares (No's) Capital
(Rs)
1993 1994 Equity Share 2.00 2.00 201500 10 2.00
1994 1995 Equity Share 20.00 5.68 567650 10 5.68
1995 1996 Equity Share 20.00 14.19 1410569 10 14.11
1996 1997 Equity Share 5,500.00 109.13 10904312 10 109.04
1997 1998 Equity Share 900.00 109.55 10946662 10 109.47
1998 1999 Equity Share 900.00 149.80 14971662 10 149.72
1999 2004 Equity Share 1,650.00 1,297.53 129744051 10 1,297.44
2004 2005 Equity Share 1,650.00 1,297.53 129744051 10 1,297.44
2005 2006 Equity Share 2,350.00 1,475.60 147551901 10 1,475.52
2006 2007 Equity Share 2,350.00 1,475.52 147551901 10 1,475.52
2007 2008 Equity Share 2,350.00 1,487.06 148697241 10 1,486.97
2008 2009 Equity Share 1,500.00 1,487.06 148697241 10 1,486.97
2009 2010 Equity Share 1,500.00 1,487.06 148697241 10 1,486.97
2010 2011 Equity Share 1,500.00 1,487.06 148697241 10 1,486.97
2011 2012 Equity Share 1,500.00 1,445.33 144524468 10 1,445.24

64
 2012 2013 Equity Share 1,500.00 1,292.39 129229972 10 1,292.30
2013 2014 Equity Share 1,500.00 1,265.59 126550536 10 1,265.51
2014 2015 Equity Share 1,500.00 1,240.26 124017917 10 1,240.18
2015 2016 Equity Share 1,500.00 1,240.26 124017917 10 1,240.18

FINANCIAL STATEMENTS

Particulars 2016 2015 2014 2013 2012

BALANCE SHEET

Equity Share Capital 124 124 127 129 144

Preference Share Capital 0 0 0 0 0

Total Reserve & Surplus 447 447 402 253 325

- Revaluation Reserve 0 0 0 0 0

Total Debt 318 318 372 262 324

Total Liabilities 889 889 901 644 794

Net Block 4884 484 511 542 561

CWIP 24 24 10 6 6

Investments 272 272 244 104 154

Net Current Assets 108 108 135 -8 72

Miscellaneous Expenditure 0 0 0 0 0

Total Assets 889 889 901 644 794

INCOME STATEMENT

Sales 1073 818 744 654 649

Other Income 42 59 17 5 11

Total Income 1115 877 761 659 660

65
Operating Profit 199 197 180 174 119

Interest 12 13 16 21 38

Depreciation 44 43 42 41 41

Tax 51 50 41 22 3

Net Profit 91 90 80 89 37

Dividend (Rs. Cr.) 37 37 25 39 21

Face Value Per Share (Rs.) 10 10 10 10 10

Dividend Per Share (Rs.) 3 3 2 2 1.50

Earning Per Share (Rs.) 7 7 6 7 3

66
RATIO ANALYSIS

Ratios 2016 2015 2014 2013 2012

Dividend per Share 3 3 2 2 1.5

Earning per Share 7 7 6 7 3
Pay out Ratio 42.85 41.26 33.33 28.57 50
Book value per Share 40.76 37.46 33.64 29.57 32.5
Return on Net Worth(%) 16.2 16.4 17.6 20.9 7.9
Operating Profit Margin(%) 23.4 29 24.2 26.5 18.4
Total Assets Turnover Ratio 1.2 0.92 0.83 1.02 0.82
Gross Profit Margin(%) 15.2 12.63 16.36 19.14 10.33
Net Profit Margin(%) 11.31 10.49 10.71 13.12 5.31
Inventory Turnover Ratio 6.71 8.16 6.39 6.9 11.19
Exports as % of Total Sales 14.03 15.28 8.94 11.22 12.32
Share Price/31Mar(BSE) 70.5 50.40 33.75 28.4 -
Share Price/31Mar(NSE) 70.70 49.75 33.50 28.45 18.15

FINANCIAL ANALYSIS
Financial highlights

Results
Finolex Industries Ltd (FIL), a critical supplier of PVC sap and PVC pipes and
fittings, declared a 30.5% yoy rise in net turnover to Rs3.4bn in Q4 FY09. In any case, a
43.8% yoy climb in bury divisional move happened into net arrangements advancement
being restricted to 28.1% yoy. Net arrangement for Q4 FY10 was at Rs2.4bn as against
Rs1.9bn in Q4 FY10. The association's PVC plant worked at 113% cutoff utilize.

In Q3 FY10 working advantage declined through and through by 33.8% to

Rs318mn and OPM hung by 12.5 rate centers (pps) yoy to 13.3%. The fall was driven by

67
20.4pps addition in rough material cost as a level of net arrangements basically by
temperance of surging crude oil costs. Regardless, 180bps yoy

Extent Analysis

In the above table, the benefit per share has extended consistently. Pay out rate is also
growing, EPS is basically unfaltering and BPS exhibiting an extending design. Benefit
for add up to resources is exhibiting a lessening design from 2015.Operating edge
furthermore got down in 2015, Total asset turnover extent is okay, and conveys slid when
diverged from a year back.

Trend Analysis :
YEAR SALES PROFITABILITY
Amt (Rs) Trend % Amt (Rs) Trend %
2010 560 100 48 100
2011 737 132 56 117
2012 649 116 37 77
2013 654 117 89 185
2014 744 133 80 167
2015 818 121 90 188
2016 1073 146 91 200

1200 100
90
1000
80
70
800
60
SALES Amt (Rs)
600 50
PROFITABILITY Amt (Rs)
40
400
30
20
200
10
0 0
1 2 3 4 5 6 7

68
Interpretation : The above table and graph shows the ‘Sales and Profitability’ of the
company for seven years. Finolex Inds stands 22nd and 17th position respectfully this
FY2015; both its sales and profits are volatile.

STEEL AUTHORITY OF INDIA Ltd

Registered Office Ispat Bhawan, Lodi Road New Delhi Delhi 110003
Tel: 24367481
Fax 24367015
Email secy.sail@sailex.com
Website http://www.sail.co.in
CEO Dr.S K Bhattacharyya
Business Group Public Sector
Industry Steel

BSE Code 500113

NSE Code SAILEQ
Face Value 10
Market Lot 1

Board of Directors
Director Name Designation
Mr. V S Jain Chairman / Chair Person
Mr. S K Roongta Director
Mr. D V Singh Director
Dr. P K Sengupta Director
Dr. S Y Quraishi Director
Mr. V K Agarwal Director

69
Mr. G C Daga Director
Mr. Ashis Das Director
Dr. Amit Mitra Director
Mr. Arun Kumar Rath Director
Mr. K K Khanna Director (Technical)
Mr. R P Singh Managing Director
Dr. S K Bhattacharyya Managing Director
Dr. Sanak Mishra Managing Director
Mr. U P Singh Managing Director
Mr. Ajoy Kumar Nominee Director

About SAIL
In 1973, Pursuant to a choice taken by the Government of India in January the Steel
Authority of India, Ltd. was shaped on 24th January, as a holding organization for Steel
and Associated input ventures. CEDB was changed over into a different organization for
the sake of Metallurgical Engineering and Consultants (India), Ltd., Bolani Ores Ltd.,
Metal Scrap Trade Corporation and Mysore Iron and Steel Co. Ltd. moved toward
becoming backups of SAIL. Maharashtra Eleckrosmelt Ltd., Visvesvaraya Iron and Steel
Ltd., Indian Iron and Steel Co., Ltd., IISCO-Ujjain Pipe and Foundry Co., Ltd. are for the
most part auxiliaries of the Company. In 1974, SAIL International Ltd., was joined to
facilitate the fare and import business

In 1978, The Indian Iron and Steel Co. Ltd. turned into an auxiliary of SAIL. The Kulti
Works of this organization, with a yearly limit of 1.57 lakh tons is the biggest maker of
cast press and spun channels. In1980, 273,32,471 offers assigned to the President of India
(124,43,829 offers allocated for thought other than money). In1981, 44,39,100 No. of
offers distributed to the President of India

70
In 1992, The Company's R&D unit at Ranchi was set up with a view to advance constant
change in basic execution files of the steel plant so as to expand efficiency, decrease
generation cost and enhance quality by creation improvement or by presentation of new
innovations. The middle attempted different communitarian wanders with organizations
both in India and abroad. In 1997, SAIL is as of now the least cited scrip (Rs.21) on the
Mumbai Stock Exchange's 30-share Sensex.

Share Holding
31/03/2016 31/12/2015 30/09/2015
Pattern as on :
FaceValue 10.00 10.00 10.00
%
Share Holder No. Of Shares % Holding No. Of Shares % Holding No. Of Shares Holdin
g

PROMOTER'S HOLDING

Foreign Promoters 0 0.00 0 0.00 0 0.00

Indian Promoters 3544690285 85.82 3544690285 85.82 3544690285 85.82
Person Acting in
0 0.00 0 0.00 0 0.00
Concert
Sub Total 3544690285 85.82 3544690285 85.82 3544690285 85.82

NON PROMOTER'S HOLDING

Institutional Investors
Mutual Funds and
30349182 0.73 110486753 2.67 138330213 3.35
UTI
Banks Fin. Inst. and
170909383 4.14 253779060 6.14 122850250 2.97
Insurance
FII's 174521151 4.23 0 0.00 77650042 1.88
Sub Total 375779716 9.10 364265813 8.82 338830505 8.20

71
Share Holding
31/03/2016 31/12/2015 30/09/2015
Pattern as on :
FaceValue 10.00 10.00 10.00
%
Share Holder No. Of Shares % Holding No. Of Shares % Holding No. Of Shares Holdin
g

Other Investors

Private Corporate
48392877 1.17 57318263 1.39 63353646 1.53
Bodies
NRI's/OCB's/Foreign
2240625 0.05 2054172 0.05 1889524 0.05
Others
GDR/ADR 1946735 0.05 0 0.00 2545585 0.06
Directors/Employees 0 0.00 0 0.00 0 0.00
Government 0 0.00 0 0.00 0 0.00
Others 0 0.00 2153735 0.05 0 0.00
Sub Total 52580237 1.27 61526170 1.49 67788755 1.64
General Public 157350307 3.81 159918277 3.87 179091000 4.34
GRAND TOTAL 4130400545 100.00 4130400545 100.00 4130400545 100.00

72
Capital History

Face
Auth. IssuedPaid-up Shares Paid-up
From To Class of Shares Value
Capital Capital (No's) Capital
(Rs)
2011 2012 Equity Share 50,000.00 41,304.01 4130400545 10 41,304.01
2012 2013 Equity Share 50,000.00 41,304.01 4130400545 10 41,304.01
2013 2014 Equity Share 50,000.00 41,304.01 4130400545 10 41,304.01
2014 2015 Equity Share 50,000.00 41,304.01 4130400545 10 41,304.01
2015 2016 Equity Share 50,000.00 41,304.01 4130400545 10 41,304.01

FINANCIAL STATEMENTS

Particulars 2016 2015 2014 2013 2012

BALANCE SHEET

Equity Share Capital 4130 4130 4130 4130 4130

Preference Share Capital 0 0 0 0 0

Total Reserve & Surplus 907 907 -1605 -1301 406

- Revaluation Reserve 0 0 0 0 0

Total Debt 8689 8689 12970 13928 14251

Total Liabilities 13726 13726 15495 16758 18788

Net Block 13154 13154 14036 14798 15177

CWIP 382 382 379 556 1221

Investments 543 543 543 539 435

Net Current Assets -731 -731 1 287 1582

Miscellaneous Expenditure 378 378 536 578 372

Total Assets 13726 13726 15495 16758 18788

73
INCOME STATEMENT

Sales 27004 24178 19207 15208 16233

Other Income 1353 447 417 1182 885

Total Income 28357 24625 19624 16390 17117

Operating Profit 9373 4704 2213 1037 2167

Interest 597 954 1382 1588 1752

Depreciation 1124 1123 1147 1156 1144

Tax 2133 116 -12 0 0

Net Profit 5519 2512 -304 -1707 -729

Dividend (Rs. Cr.) 0 0 0 0 0

Face Value Per Share (Rs.) 10 10 10 10 10

Dividend Per Share (Rs.) 0 0 0 0 0

Earning Per Share (Rs.) 13 6 -1 -4 -2

RATIO ANALYSIS

Ratios 2016 2015 2014 2013 2012

Dividend per Share 0 0 0 0 0

Earning per Share 13 6 -1 -4 -2
Pay out Ratio 0 0 0 0 0
Book value per Share 12.19 11.28 4.82 5.45 10.08
Return on Net Worth(%) 146.3 75.6 -14.4 -53.2 -16.3
Operating Profit Margin(%) 37.5 19.5 11.5 6.8 13.3
Total Assets Turnover Ratio 1.96 1.76 1.24 0.91 0.86
Gross Profit Margin(%) 36.03 15.53 5.17 -6.71 4.63
Net Profit Margin(%) 22.5 11.39 -1.73 -12.04 -5

74
Ratios 2016 2015 2014 2013 2012
Inventory Turnover Ratio N/A 11.23 6.81 4.98 4.54
Exports as % of Total Sales N/A 7.79 6.28 3.89 3.88
Share Price/31-Mar(BSE) 62.95 32.30 8.80 4.90 5.70
Share Price/31-Mar(NSE) 63.25 32.25 8.85 4.8 5.65

75
FINANCIAL ANALYSIS
Financial highlights

Highlights
1. Better item blend drives deals development

Organization recorded a 38% yoy development in deals turnover in Q4 FY11, most

elevated among every one of the quarters in FY11. The same surged from Rs68bn to
Rs94bn in Q4 FY10. Steel costs stayed stable consistently. Increment sought after for
steel and better item blend helped organization enroll an unequaled high offers of steel at
10.7MT. Deals income for FY11 developed by 32.4% yoy from Rs220bn to Rs291bn.
SAIL concentrated on residential market where the deals grew 8% over the earlier year to
achieve a level of 10.3 MT. It likewise announced solid creation development in esteem
included items, for example, plates (15%), rails (7%) and wheels and axles (34%).

2.PM takes off to 42.5% in Q4 FY10

While deals developed by 38% yoy, the ascent in working use was just 2% yoy in Q4
FY10. This prompted an astounding 165.7% yoy development in working benefit, which
ascended from Rs15bn to Rs40bn in Q4 FY10. Cost control endeavors taken by the
organization at all operational levels helped it accomplish an OPM of 42.5% for Q4
FY10, which ascended by 2040bps over a similar quarter earlier year.

76
Trend Analysis

SALES PROFITABILITY
YEAR
Amt (Rs) Trend % Amt (Rs) Trend %
2010 15060 100 -1574 -100
2011 16250 108 -1720 -109
2012 16233 108 -729 -46
2013 15208 101 -1707 -108
2014 19207 128 -304 -19
2015 24178 161 2512 160
2016 27004 179 5519 350

The above table and diagram demonstrates the pattern of offers and benefit of the
organization for more than seven years. Sail is standing twentieth and fourteenth position
in deals and benefit deferentially in the business in this FY2015.This organization is
running in misfortunes from past 5years, yet its benefits shooted up in FY 2015&2016
which might be a noteworthy move of the organization.

77
 IRON & STEEL COMPANY Ltd

Bombay House, 24 Homi Mody

Registered Office
Street, Fort Mumbai Maharashtra 400001
Tel: 56658282
Fax 56658113 / 56658118
Email tatasteelho@tata.com
Website www.tatasteel.com
CEO Mr.B Muthuraman
Business Group Tata Group
Industry Steel

BSE Code 500470

NSE Code TISCOEQ
Face Value 10
Market Lot 1

Board of Directors

Director Name Designation

Mr. R N Tata Chairman / Chair Person

Mr. Kumar Mangalam Birla Director
Mr. Suresh Krishna Director
Mr. Ishaat Hussain Director
Mr. Keshub Mahindra Director
Mr. Nusli N Wadia Director
Mr. S M Palia Director
Dr. Jamshed J Irani Director
Mr. B Muthuraman Managing Director

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Mr. P K Kaul Nominee Director
Mr. B Jitender Nominee Director
Mr. A N Singh Whole Time Director
Dr. T Mukherjee Whole Time Director

About TISCO
The Tata Iron and Steel Company Limited was shaped in 1907 at Mumbai. The Company
makes rails, fishplates, bars, light basic, overwhelming basic, plates, dark sheets, excited
sheets, tin bars, sleeper bars, sleepers, sprouts, billets, sheet bars, wheels, tires and axles,
skelp and strip, and extraordinary steels instruments, for example, picks, mixers, mallets
and scoops and red-oxide, coal tar, sulfate of smelling salts, and so on. Iron and steel are
made by the open hearth, duplex electric and a mix of these procedures, and the steel is
moved into completed items.

Amid the year 1917, 1,50,000 value shares issued at standard and 26,250 conceded shares
issued at a premium of Rs.370 per share. With impact from first April 1973, the entirely
claimed backup, West Bokaro Ltd., was amalgamated with the organization. In 1985 with
impact from first October, Indian Tube Co. Ltd was amalgamated with TISCO.
In October 1986, higher recuperation of iron-bearing materials from squander materials
viz., a Rs.18.5 crores squander reusing plant, was charged. Amid the year 1991 Company
gained a 100% fare situated ferro-chrome fabricating unit of OMC Alloys Ltd. from the
Orissa State Government at an aggregate cost of 156 crores. It is situated at Bammpal,
Orissa, and has an ability to create 50,000 tons for each annum of ferro-chrome.

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 Shareholding Pattern

Share Holding
31/03/2012 31/12/2011 30/09/2011
Pattern as on :
FaceValue 10.00 10.00 10.00
Share Holder No. Of Shares % Holding No. Of Shares % Holding No. Of Shares % Holding
PROMOTER'S HOLDING
Foreign Promoters 0 0.00 0 0.00 0 0.00
Indian Promoters 147009416 26.56 146971495 26.55 145572691 26.30
Person Acting in
0 0.00 0 0.00 0 0.00
Concert
Sub Total 147009416 26.56 146971495 26.55 145572691 26.30
NON PROMOTER'S HOLDING
Institutional Investors
Mutual Funds and UTI 23041936 4.16 28531556 5.16 28948492 5.23
Banks Fin. Inst. and
100535483 18.16 103432319 18.69 108290486 19.57
Insurance
FII's 84993869 15.36 76808298 13.88 66306238 11.98
Sub Total 208571288 37.68 208772173 37.72 203545216 36.78
Other Investors
Private Corporate
41236156 7.45 38176564 6.90 37756753 6.82
Bodies
NRI's/OCB's/Foreign
2293731 0.41 2291362 0.41 2352479 0.43
Others
GDR/ADR 3867 0.00 3867 0.00 3867 0.00
Directors/Employees 119544 0.02 118816 0.02 118816 0.02
Government 0 0.00 0 0.00 0 0.00
Others 0 0.00 0 0.00 0 0.00

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Sub Total 43653298 7.89 40590609 7.33 40231915 7.27
General Public 154238854 27.87 157138579 28.39 164123034 29.65
GRAND TOTAL 553472856 100.00 553472856 100.00 553472856 100.00

Capital History

Auth. Issued Paid-up Face Paid-up

From To Class of Shares
Capital Capital Shares (No's) Value (Rs) Capital
2010 2011 Equity Share 4,400.00 3,683.74 367771512 10 3,677.72
2011 2012 Equity Share 4,400.00 3,683.74 367771880 10 3,677.72
2012 2013 Equity Share 4,400.00 3,683.74 367771901 10 3,677.72
2013 2014 Equity Share 4,400.00 3,683.74 367771901 10 3,677.72
2014 2015 Equity Share 4,400.00 3,683.74 367771901 10 3,677.72
2015 2016 Equity Share 4,400.00 3,683.74 367771901 10 3,677.72

FINANCIAL STATEMENTS

Particulars 2016 2015 2014 2012 2012

BALANCE SHEET

Equity Share Capital 554 369 369 368 368

Preference Share Capital 0 0 0 0 140

Total Reserve & Surplus 4987 4987 3657 5458 4380

- Revaluation Reserve 0 0 1 0 0

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Total Debt 3373 3373 4226 4708 4672

Total Liabilities 8729 8729 8252 10534 9561

Net Block 7858 7858 7544 7544 7042

CWIP 0 0 0 0 496

Investments 2194 2194 1195 913 847

Net Current Assets -1479 -1479 -486 1088 255

Miscellaneous Expenditure 156 156 0 989 920

Total Assets 8729 8729 8252 10534 9561

INCOME STATEMENT

Sales 14658 11921 9793 7607 7703

Other Income 717 232 -142 119 55

Total Income 15375 12153 9652 7727 7758

Operating Profit 6225 3432 2163 1179 1507

Interest 236 141 342 403 412

Depreciation 622 625 558 525 492

Tax 1945 920 250 46 49

Net Profit 3421 1746 1012 205 553

Dividend (Rs. Cr.) 369 369 259 149 196

Face Value Per Share (Rs.) 10 10 10 10 10

Dividend Per Share (Rs.) 7 10 8 4 5

Earning Per Share (Rs.) 62 47 27 6 15

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RATIO ANALYSIS

Ratios 2016 2015 2014 2012 2012

Dividend per Share 7 10 8 4 5

Earning per Share 62 47 27 6 15
Pay out Ratio 11.29 21.27 29.62 66.66 33.33
Book value per Share 100 118.55 86.6 66.81 104.09
Return on Net Worth(%) 66.8 37.9 22.8 4.7 13.5
Operating Profit Margin(%) 41.1 28.8 22.1 15.5 19.6
Total Assets Turnover Ratio 1.68 1.36 1.18 0.72 0.81
Gross Profit Margin(%) 41.43 26.63 17.33 7.86 18.66
Net Profit Margin(%) 29.2 14.4 10.5 2.7 7.1
Inventory Turnover Ratio N/A 12.91 11.74 11.22 11.37
Exports as % of Total Sales N/A 14.03 15.28 8.94 11.22
Share Price/31-Mar(BSE) 400.90 383.50 133.75 97.65 154.50
Share Price/31-Mar(NSE) 401.05 383.65 133.70 97.75 122.35

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FINANCIAL ANALYSIS

Financial highlights :

Topline development in the quarter and entire year FY11 were driven by higher
acknowledgment as deals volumes were imperceptibly lower on yoy premise in
individual periods. The lower volumes were an aftereffect of the arranged close down of
'G' impact heater, which has prompted an expected generation loss of around 10% amid
the year (~350000 tons). Higher steel costs have empowered the organization to twofold
development in net benefit in FY11.

Volumes & Realization :

The 1mn ton development at Jamshedpur works has been finished since the second seven
day stretch of May. As a piece of this extension, the fundamental 'G' impact heater was
closed from December 3, 2015 to April 6, 2016 accordingly smothering creation in Q3
and Q4 FY06 (significant impact in this quarter). The 'G' impact heater limit has now
been upgraded from 1 mtpa to 1.8 mtpa Tisco's steel making limit now stands expanded
at 5mtpa at this area. The organization would additionally expand the ability to 7.4mtpa
by August 2016 at the cost of Rs25bn.
Ratio Analysis

In the above table, profits are fluctuating, EPS is demonstrating an expanding pattern and
BPS isn't consistent. Profit for total assets is demonstrating an expanding pattern from
2013.Operating edge is demonstrating an expanding pattern from 2012, Total resource
turnover proportion is great, and fares have expanded 2015 and diminished in 2016. The
edge on deals is great. The development of offer cost is great due to the high edge
because of value climbs in long haul contracts, which demonstrated future prospects

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Trend Analysis

YEAR SALES PROFITABILITY

Amt (Rs) Trend % Amt (Rs) Trend %
2010 6275 100 282 100
2011 6891 110 423 150
2012 7703 123 553 196
2013 7607 121 205 73
2014 9793 156 1012 359
2015 11921 190 1746 619
2016 14658 237 3421 1213

PROFITABILITY Amt (Rs)

4000
3500

3000
2500

2000 PROFITABILITY Amt (Rs)

1500
1000

500

0
1 2 3 4 5 6 7

The above table clarifies the pattern of the development of offers and the productivity of
the organization for more than seven years. Here TISCO remains in tenth and thirteenth
positions in "Benefit and Sales "when contrasted with every single other organization in
the business in current FY2016.

We can see an expanding pattern both in deals and gainfulness.

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CHAPTER-VI
FINDINGS,

SUGGESTIONS AND

CONCLUSIONS

86
 FINDINGS

FINOLEX Industries Ltd

Net deals increment by 28.2% yoy in Q4 FY10 to Rs2.4bn

OPM in Q4 FY11 droops by 1.25 rate focuses 13.3%, driven by ascend in crude
materials cost, particularly so of unrefined petroleum

54.9% yoy fall in other salary changes over into to a 51.1% yoy fall in PBT

Steel Authority of India Ltd (SAIL)

Record quarterly PAT in Q4 FY11 of Rs27bn, an expansion of 164% yoy.

Better costs, item blend and efficiency enhance acknowledgment.

Turnover at a record-breaking high of Rs291bn for FY11, development of 32% .

Goodbye Iron and Steel Co. Ltd

Revenue and benefit development in Q4 excellent, considering 3 month arranged

close down of its biggest impact heater.

15-20% value climbs on long haul contracts embraced in March should empower
organization to keep up income development energy in FY11.

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 CONCLUSIONS

1. Viewpoint

SAIL has set down plans to spend about Rs250bn in stages to expand its hot metal limit
by 7mn tpa to 20mn tpa by FY13, and to exploit the solid expected household request
development of 7-8% p.a. throughout the following couple of years. The slow limit
extension would convert into reliable volume development for the organization later on
years. The organization's capex was Rs30bn in FY10 and it is relied upon to spend a
comparable sum in FY11 too.

2. Viewpoint

Unique evaluations for FY10 considered a 35% income development driven by a 22%
volume increment and a 9% ascend in normal acknowledge. We had evaluated
independent benefits to grow 43% yoy and an EPS of Rs83 for FY10. With the
administration showing that a 15-20% value climbs take in long haul contracts, we would
change our estimates for FY10 upwards to factor in a more keen than anticipated
acknowledgment development.

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 Calculation of Intrinsic Value

C/Y Ave*EPS C/Y SP

COMPANY 2016 2015 2014 2013 2012 AVERAGE EPS
Intrinsic Value (NSE)

Finolex 10.1 7.11 5.58 4.06 6.05 6.58 7 46.06 70.7

SAIL 4.87 5.38 -8.85 -1.2 2.83 0.606 13 7.878 63.25
TISCO 6.47 8.16 4.95 16.29 8.16 8.806 62 545.972 401.05

The genuine financial worth of the offer is its characteristic esteem. The accompanying
recipe is utilized to discover the characteristic estimation of an offer.

Inborn Value = (Average P/E proportion throughout the years) x (Present profit per
share)

The above computation depends on the suspicions that:

• The pattern of the productivity of the quick past and the present will keep on
being the same.

• The normal P/E and the normal income to Equity proportion stay steady over
some undefined time frame.

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SUGGESTIONS
Following proposals have been made for the potential enterprises:

Kotak Mahindra Bank is great wagered for long haul speculation as they are
picking up piece of the pie.
Kotak Mahindra Bank because of it broadened segmental nearness and incredible
administration are viewed as useful for venture.
Overall development rate of the nation is likewise positive and speculators can
proceed with the interests in stocks and once loan fees diminish the metal division is
relied upon to do to a great degree well.
There are three variables which a speculator must consider for choosing the correct
stocks.
• Business: A speculator must investigate what sort of business the organization is
doing, perceivability of the business, its past reputation, capital needs of the organization
for development and so on.
• Balance Sheet: The speculator must spotlight on its key money related
proportions, for example, profit per share, value income proportion; obligation value
proportion, profits per share and so forth and he should likewise check whether the
organization is producing money streams.
• Bargaining: This is the most vital factor which demonstrates the genuine worth of
the organization. A financial specialist needs to pick valuation parameters which suit its
business.

• Investment rules
1. Invest for long haul in value markets

2. Align your point of view with the business cycle of the organization.

3. Set the reason for venture.

90
BIBLIOGRAPHY

91
 BIBLIOGRAPHY

BOOKS

1. THE SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT

- DONALD.E.FISHER AND RONALD. J. JORDAN

2. FUNDAMENTALS OF STATISTICS - S.C GUPTA.

NEWS PAPERS

1. BUSINESS LINE

2. ECONOMICS TIMES

3. BUSINESS STANDARD

4. THE HINDU

WEB SITES

1.WWW.AMFIINDIA.COM

2. WWW.BSEINDIA.COM

3. WWW.YAHOO.FINANCE.COM

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