Macroeconomic Analysis in Consumer durable industry

Economic factor

1. SENSEX Return Compared with Exchange Rate Return in Indian Equity Market.

Interpretation:In Exchange rate return and Sensex in Indian equity market is not have the same pattern so
we can say that if Exchange rate return changes than no impact on Sensex in Equity and
Financial market in India.

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2. Sensex Return Compared with Forex Return in Indian Equity Market.

Interpretation:In Forex Return and Sensex not have the same pattern in Indian Equity Market. so we can say
that if Forex Return changes than no impact on Sensex in Indian Equity Market.

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SKPIMCS-GANDHINAGAR

3. SENSEX Return Compared with GDP Return in Indian Equity Market.

Interpretation:In GDP Return and Sensex have the same pattern in Indian Equity Market so we can say that if
Forex Return changes than impact on Sensex in Indian Equity Market.

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4. Sensex Return Compared with Inflation Rate in Indian Equity Market.

Interpretation:-

In Inflation Return and Sensex have the same pattern in Indian Equity Market.
so we can say that if Inflation Return changes than impact on Sensex in Indian Equity Market.

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5. Sensex and Interest Rate in Indian Equity Market.

Interpretation:In interest rate and Sensex not have the same pattern in Indian Equity Market so we can
say that if interest rate changes than no impact on Sensex in Indian Equity Market.

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Industry Analysis:

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SKPIMCS-GANDHINAGAR

Economic factor With Consumer durable Index

1. Consumer durable index Return Compared with Forex Return in Indian Equity Market.

Interpretation:In Forex Return and Consumer durable Index Return not have the same pattern so we can
say that if Consumer durable Index return change than no impact on Forex Return in Indian
Equity Market.
.

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SKPIMCS-GANDHINAGAR

2. Consumer durable Index Return Compared with Inflation Rate in Indian Equity Market.

Interpretation:In Consumer Durable Index Return and Inflation Rate not have the same pattern in Indian
Equity Market, so we can say that if Consumer Durable Index returns change than no impact
on Inflation Rate in Indian Equity Market.

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SKPIMCS-GANDHINAGAR

3. Consumer durable Index Return Compared with GDP Return in Indian Equity Market

Interpretation:In Consumer Durable Index Return and GDP Return have the same pattern in Indian Equity
Market, so we can say that if Consumer Durable Index returns change than there is impact on
Inflation Rate in Indian Equity Market.

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SKPIMCS-GANDHINAGAR

4. CON. DUR. Return Compared with Exchange Rate Return in Indian Equity Market

Interpretation:In Consumer Durable Index Return and Exchange Rate Return have the same pattern in
Indian Equity Market, so we can say that if Consumer Durable Index returns change than
there is impact on Exchange Rate Return in Indian Equity Market.

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5. CON. DUR. Index Return and Interest Rate in Indian Equity Market

Interpretation:In interest rate and Consumer Durable Index Return not have the same pattern in Indian
Equity Market so we can say that if interest rate Change than their no impact on Consumer
Durable Index Return in Indian Equity Market.

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Company Analysis:I have done a Fundamental Analysis of 04 Companies:

1. 3M INDIA LTD
2. BPL LTD
3. GELLETTE INDIA LTD
3. HAVELLS INDIA LTD

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RETURN ON EQUITY
2014

2013

2012 2011

2010

2009

EQUITY
EARNING

42.99 52.27

64.77 98.81 92.84

42.99

EQUITY

11.27 11.27

11.27 11.27 11.27

11.27

ANSWER

3.814552 9.528

9.869 16.68 10.15 10.47999

BOOK VALUE PER SHARE

2014
SHARE
CAPITAL
RESERVE &
SURPLUS
EQUITY
CAPITAL
ANSWER

2012

2011

11.27
11.27
11.27
688.16
645.17
592.91
11.27
11.27
11.27
72.33122449 68.51667 63.87958

DIVIDENT PAY OUT RATIO

2014
2013 2012 2011
0
0
0
0

EQUITY
EARNING

11.27

ANSWER

11.27

11.27

2010

11.2
7 528.13
11.27
58.13158

11.27
429.33
11.27
49.36494

EARNING PER SHARE

2013
2012
52.27
64.77
11.27
11.27
46.4
57.5

2014
42.99
11.27
38.16

EQUITY
NUMBER OF O/S
EARNING
ANSWER

EQUITY
DIVIDENDS

2013

2011
98.81
11.27
87.71

2010
92.84
11.27
82.41

2010
0

11.27 11.27

GROWTH RATE
RETENTION
RATIO
RETURN
ON EQUITY
ANSWER

2014
2
20
013
12 1
1
1
11.27

SKPIMCS-GANDHINAGAR

11.27

11.27

20
11 1
11.27

20

AVERAGE

10 1
11.27
11.27

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BPL LTD.
RETURN ON EQUITY
2014

2013

2012

2011

2010

EQUITY EARNING

-8.38

57.98

75.55

-2.15

3.94

EQUITY

70.26

197.58

208.06

146.31

68.01

ANSWER

-0.11927128

0.29345075

0.36311641

-0.01469483

0.0579327

EARNING PER SHARE

2014

2013

2012

2011

2010

EQUITY EARNING

70.26

197.58

208.28

146.69

19.5

NUMBER OF
OUTSTANDING
SHARES
ANSWER

10

10

10

10

10

7.026

19.758

20.828

14.669

1.95

BOOK VALUE PER SHARE

SHARE CAPITAL
RESERVE &
SURPLUS
EQUITY CAPITAL
ANSWER

2014
48.89
21.37

2013
48.89
148.69

2012
48.67
159.39

2011
48.51
97.8

2010
48.51
19.5

10
51.027

10
63.759

10
64.609

10
58.29

10
50.46

DIVIDEND PAYOUT RATIO

2014
2013
2012
2011

20
10

EQUITY
DIVIDENDS
EQUITY
EARNING
ANSWER

0
70.26
0

197.58

208.06

146.31

0
68.01
0

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SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT

GROWTH RATE
2013
2012

2014

2011

2010 AVERAGE

RETENTION
1
1
1
1
1
RATIO
RETURN
ON EQUITY 0.119271 0.2934508 0.3631164 0.0146948 0.05793266
ANSWER
0.119271 0.2934508 0.3631164 0.0146948 0.05793266 0.012267724

PROFIT EARNING RATIO

2014

2013

2012

2011

1.32

1.25

1.8

-17.44

PE RATIO

2010
-20.82 Prospective
-

1.256684

SKPIMCS-GANDHINAGAR

1.814014

-17.4496

-20.8197

Retrospective

Page 27

SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT

RETURN ON EQUITY
2014
EQUITY EARNING
51.42
EQUITY
643.46
ANSWER
0.07991173

2013
2012
87.16
75.73
649.23
619.26
0.13425134 0.12229112

2011
86.15
600.34
0.14350202

2010
137.09
570.99
0.24009177

EARNING PER SHARE

2014
2013
2012
2011
2010
51.42
87.16
75.73
86.15
137.09
3.25855513 3.25831776 3.25860585 3.25832073 3.258617
15.78
26.75
23.24
26.44
42.07

EQUITY EARNING
NUMBER OF O/S
ANSWER

BOOK VALUE PER SHARE

2014
SHARE
CAPITAL
RESERVE &
SURPLUS
EQUITY
CAPITAL
ANSWER

2013

2012

2011

2010

32.59

32.59

32.59

32.59

32.59

610.87

610.87

610.87

610.87

610.87

3.258555 3.258318 3.258606 3.258321 3.258617

197.4679 197.4823 197.4648 197.4821 197.4641

DIVIDEND PAYOUT RATIO

2014
EQUITY
DIVIDENT
EQUITY
EARNING
ANSWER

150
643.46

2013

2012

2011

201

150

150

649.23

619.26

0 150
600.34
570.99

150

0.23311472 0.231043 0.242225 0.249858 0.262702

SKPIMCS-GANDHINAGAR

Page 28

SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT

GROWTH RATE
2014

201
3

201
2

201

2010 AVERAGE

RETENTION 0.76688528 0.768957 0.757775 0.750142 0.737298

RATIO
RETURN
0.07991173 0.134251 0.122291 0.143502 0.240092
ON EQUITY
ANSWER

0.06128313 0.103234 0.092669 0.107647 0.177019

0.10837

PROFIT EARNING RATIO

2014
0.206499

2013
0.121806

2012
0.140215

2011
0.123235

0.121815

0.140203

0.123245

0.07745

2010
0.077457 Prospective

PE RATIO

SKPIMCS-GANDHINAGAR

Retrospective

Page 29

SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT

RETURN ON EQUITY
2014

2013

2012

2011

2010

478.69

371.39

305.43

242.05

228.16

EQUITY

2,129.85

1,870.22

1,608.32

1,340.81

1,134.08

ANSWER

0.224753 0.198581 0.189906 0.180525 0.201185

EQUITY
EARNING

BOOK VALUE PER SHARE

2014
62.39

2013
62.39

2012
62.39

2011
62.39

2010
30.08

2,067.46

1,807.83

1,545.93

1,278.42

1,104.00

EQUITY
CAPITAL

12.48214

12.4795 12.47672

ANSWER

170.6318 149.8634 128.9057 107.4643 188.4831

SHARE
CAPITAL
RESERVE &
SURPLUS

12.4768 6.016878

DIVIDEND PAYOUT RATIO

2014
EQUITY
DIVIDENT
EQUITY
EARNING
ANSWER

SKPIMCS-GANDHINAGAR

187.23
478.69

2013

2012

93.58
371.39

81.1
305.43

2011

201
0
31.19
23.12
242.05
228.16

0.39112996 0.251972 0.265527 0.128858 0.101332

Page 30

SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT

EARNING PER SHARE

2014
478.69

EQUITY
EARNING
NUMBER OF
O/S

12.482138

ANSWER

38.35

2013
371.39

2012
305.43

2011
242.05

12.4795 12.47672
29.76

2010
228.16

12.4768 6.016878

24.48

19.4

37.92

GROWTH RATE
2014

201
3

201
2

201

2010 AVERAGE

RETENTION 0.60887004 0.748028 0.734473 0.871142 0.898668

RATIO
RETURN
0.22475292 0.198581 0.189906 0.180525 0.201185
ON EQUITY
ANSWER

0.13684532 0.148544 0.139481 0.157263 0.180799

2014

PROFIT EARNING RATIO

2013
2012

0.073152

0.083273

0.09679

0.08329

0.096811

0.116101

2011

0.152586

2010

0.116102 0.031923 Prospective

PE RATIO

SKPIMCS-GANDHINAGAR

0.066196

Retrospective

Page 31