SYOPSIS

SUMMER TRAENING REPORT

ON
A STUDY ON INDIAN EQUITY MARKET AND TO ANALYSE
MAJOR STOCKS ON S&P CNX NIFTY
At
INDIA INFOLINE LIMITED
Submitted to

For partial fulfillment for the Award of MBA Degree session 2009-11
Management Programe
Department of Applied Economic and Commerce
(Patna University)
Darbhanga House Ashok Rajpath
Patna – 800004

GUIDED BY : SUMMITTED BY :
Prof. B.N PANDEY MD. AFZAL ALAM
HOD Dept of applied eco. & Roll : 12
Commerce Patna university,Patna Reg.No- : 05040525
Dept of applied eco. &
commerce Patna university,Patna
PREFACE
 In hyper dynamic corporate world where globalization is a new buzzword, it becomes
imperative for each and every organization to streamline its products to meet the global
standards. In this context, the business education is also witnessing great changes, which tribes
for excellence to meet the global standards so that the budding managers are not only able to feel
the pulse of those changes but also be able to get them absorbed to do the right things at the right
time in right way.
Our institute is thoroughly aware of the various challenges problems that are expected to
emerge in the growing economy. For this purpose, it has always provided due importance for
shaping the future of its students by placing them in India’s reputed business and industrial
organizations in summer as ‘Management Trainees’ so that they may get themselves acquired
with what they have to face after completion of their management course.

Introduction of the Topic

The topic “A STUDY ON INDIAN EQUITY MARKET AND TO ANALYSE MAJOR

STOCKS ON S&P CNX NIFTY” involves analyzing company’s financial statements and
health, its management and competitive advantages, and its competitors and markets.
Fundamental analysis is performed on historical and present data, but with the goal of making
financial forecasts. The objective of the analysis is to determine what stock to buy and at what
price. Fundamental analysis maintains that markets may misprice a security in the short run but
that the "correct" price will eventually be reached. Profits can be made by trading the mispriced
security and then waiting for the market to recognize its "mistake" and reprice the security.

OBJECTIVES

 To understand the scenario of Equities in Indian Capital Market.

 To analyze the performance of the major weighted companies’ securities of S&P CNX
Nifty index
 To compare the performance of the stocks with that of the Sector & S&P CNX Nifty
index
 To understand the various factors that influences the stock price
 To analyze the risk and return pattern of the selected stocks of S&P CNX Nifty
 To Study Equity research methodology – Fundamental & Technical Analysis

METHODOLOGY
 Sampling Procedure
The sample of the stocks (scripts) for the purpose of collecting secondary data has been
selected on the basis of their weightage in the index. The top three companies with more
weightage in the index are chosen in an unbiased manner. The Stocks selected for the
research are
1} Reliance Industries Ltd
2} State Bank of India
3} Bharti Airtel Ltd.

Data Collection
Primary data: -which is collected by new research called primary data.

 Discussion with branch manager

 Discussion with experts
 Questionnaires for investors
 Live trading in the market

Secondary data: -already existing data is called secondary data. I

Collected them by following method –
 Various books related to stock market
 Books related to financial management
 Web sites were used as the vital information source.
 Various news papers & other sources (magazine etc.)

Scope of the study

The study is done to analyze the performance of the selected companies by considering
the last five year financials and price pattern trends. Risk and return analysis of the stocks
is done for the year 2010.
 Limitation of the study
 It is not always possible to evaluate companies under similar parameters since company’s
deals with various businesses and clubbing companies to a common parameter is not
always possible. Since valuation in the project is done through relative method it had
become an important disadvantage.
 Lack of experience from the part of the researcher to gauge the ups and downs of market
fluctuations.
 Insufficient availability of data for various companies.
 Time and financial constraints restrict more detail study
 The performance of the companies were studied only for last five years
 The study was conducted to understand with respect to fundamental and technical
analysis, which is a part of the equity share market
 The data provided by the investor and the agents can’t be held true as 100% correct.
 A study is conducted in Patna only, which restrict the scope of the study
 Moreover, very few investor and agents have a detail knowledge of the study.

CHAPTER-1
INTRODUCTION
1.1 Introduction the topic
1.2 Company profile ( Indiainfoline ltd. )
1.3 IIFL Management
1.4 IIFL Product and service
1.5 Corporate Structure of IIFL
1.6 Share holding pattern of IIFL
1.7 Share
1.8 Stocks
1.9 Rationale for study
CHAPTER-2
 OBJECTIVE OF THE STUDY
CHAPTER-3
METHODOLOGY
3.1 Sampling Procedure
3.2 Data Collection
3.4 Scope of the study
3.5 Limitation of the study
CHAPTER-4
INDUSTRY AND COMPANY PROFILE
CHAPTER-5
ABOUT INDIAN EQUITY MARKET
5.1 Equity market
5.2 Twin Towers of equity market
5.3 SEBI
5.4 Function of SEBI
CHAPTER-6
CONCEPTUAL FRAMEWORK
6.1 Equity analysis
6.2 Fundamental analysis
6.3 Technical analysis
6.4 Risk
6.5 Methods to Calculate the risk
6.6 Relationship between Risk and Return
CHAPTER-7
EQUITY ANALYSIS
(a) RELIANCE INDUSTRY
(b) STATE BANK OF INDIA
 (c) BHARTI AIRTEL
7.1 About the company
7.2 Product and Brand
7.3 Management promoters
7.4 Industry profile
7.5 SWOT Analysis
7.6 Company Financial Reports
7.7 Recent Major Happen and its effects
7.8 Price chart of company
7.9 Risk and Return Analysis

CHAPTER-8
CONCLUSION AND SUGGESTION
ANNEXURE
BIBLIOGRAPHY

Supervisor’s Signature Director’s Signature Candidate’s Signature