To study fundamental and technical analysis of three different companies RIL, ITC and JP Associates. To evaluate the performance of the companies in last year and in future. To analyze the movement of stock. To evaluate the risk and return of the selected securities

1. Analysis of securities
listed in National Stock Exchange
Presented by:-
Sumit Tomar
sumittomar0000@gmail.com
Contact:7060693930
Under the supervision of
Md. Wakeel
AM, Sharekhan, Delhi

2. SHAREKHAN
• Share khan is one of the leading retail brokerage of SSKI Group
which is running successfully since 1922 .
• It is the retail broking arm of the Mumbai-based SSKI Group, which
has over eight decades of experience in the stock broking business.
• Share khan offers a wide range of equity related services including
• Trade execution on BSE, NSE,
• Derivatives
• Depository services
• Online trading
• Investment advice
• www.sharekhan.com - was launched on Feb 8, 2000. The site gives
access to superior content and transaction facility to retail
customers across the country, the site has a registered base of over
2 lakhscustomers. The number of trading members currently stands
at over 5 Lakhs.
• While online trading currently accounts for just over 2 per cent of
the daily trading in stocks in India, Share khan alone accounts for 27
per cent of the volumes traded online.

3. • Share khan’s ground network includes over 700+ Share shops in 130+
cities in India.
• On April 17, 2002 Share khan launched Speed Trade and Trade Tiger,
are net-based executable application that emulates the broker
terminals
This was for the first time that a net-based trading station of this caliber
was offered to the traders.
• The Citi Venture holds a majority stake in the company. HSBC, Intel &
Carlyle are the other investors.
PRODUCTS OFFERED BY SHAREKHAN
1- Equity Trading Platform (Online/Offline).
2- Commodities Trading Platform (Online/Offline).
3- Portfolio Management Service.
4- Mutual Fund Advisory and Distribution.
5- Insurance Distribution.

4. OBJECTIVES OF THE STUDY
• To study fundamental and technical analysis of three different
companies RIL, ITC and JP Associates.
• To evaluate the performance of the companies in last year and in
future.
• To analyze the movement of stock.
• To evaluate the risk and return of the selected securities.

5. NEED OF THE STUDY
The capital gains of an investor are on the performance of a
particular company’s stock in the stock market. The stronger the
company’s share, the more profit the investor gets. So it is
necessary to ascertain, analyze and interpret the share of various
firms in order to know its position in the market. Investors can make
wise investment with the help of this analysis
Through this project, it tries to point out the company which ensure
maximum return and minimum risk.

6. Capital markets consist of
1 Primary market
The primary market is that part of the capital markets that deals with the
issuance of new securities. Companies, governments or public sector
institutions can obtain funding through the sale of a new stock or bond
issue.
Methods of issuing securities in the primary market are:
1 Initial public offering;
2 Rights issue (for existing companies);
2 Secondary markets
The secondary market, also known as the aftermarket, is the financial
market where previously issued securities and financial instruments such
as stock, bonds, options, and futures are bought and sold.

7. INDIAN STOCK MARKET
Most of the trading in the Indian stock market takes place on its two
stock exchanges:
1. Bombay Stock Exchange (BSE)
The BSE has been in existence since 1875.
2. National Stock Exchange (NSE)
The NSE, on the other hand, was founded in 1992 and started
trading in 1994.
Both exchanges follow the same trading mechanism, trading hours,
settlement process, etc. At the last count, the BSE had about 4,700 listed
firms, whereas the rival NSE had about 1,200. Out of all the listed firms
on the BSE, only about 500 firms constitute more than 90% of its
market capitalization.

8. CHAPTER 3: RESEARCH METHODOLOGY
3.1 Research Type
The segment identified for conducting the study is Private Sector in
India.
The number of companies selected for the study is three.
Analytical study is used to conduct the study.
3.2 Data collection
Secondary data is collected from websites, Books and magazines.
3.3 Tools for analysis
Fundamental Analysis
Technical Analysis

9.  For fundamental analysis, the following ratios are used:
• EPS (Earning per share)
• DPS (Dividend per share)
• Payout ratio
• ROE(Return on Equity)
• P/E ratio (Price Earning Ratio)
• Current ratio
• Debt- Equity ratio
 For technical analysis, the following tools are used:
• Simple Moving Average
• Relative strength index
• Bollinger Bands
• AROON and ADX(Average Directional Index)

10. Simple Moving Average
A simple moving average (SMA) is an arithmetic moving average
calculated by adding the closing price of the security for a number of
time periods and then dividing this total by the number of time periods.

11. Relative Strength Index
The relative strength index (RSI) is a momentum indicator developed by
noted technical analyst Welles Wilder, that compares the magnitude of
recent gains and losses over a specified time period to measure speed
and change of price movements of a security. It is primarily used to
attempt to identify overbought or oversold conditions in the trading of an
asset.

12. A Bollinger Band®, developed by famous technical trader John Bollinger, is plotted
two standard deviations away from a simple moving average.
Bollinger Bands® are a highly popular technical analysis technique. Many traders
believe the closer the prices move to the upper band, the more overbought the
market, and the closer the prices move to the lower band, the more oversold the
market. (Sideway movement)
• Volatile
• Support and resistance
• Trend
• Line of gravity
Bollinger Bands

13. AROON and ADX
Upperline above 70 and above downline- uptrend
ADX above 40 shows the strength of the up trend

14. Heikin Ashi and Stochastic RSI
George Lane developed stochastics, an indicator that measures the
relationship between an issue's closing price and its price range over
a predetermined period of time.

15. Comparison of Reliance, ITC and JP Associates

16. Portfolio Result
Overall 60% growth of capital

17. FINDINGS
1. Profitability ratios are high in RIL, Company is showing positive
trend from last year, balance sheet is good and consistent.
Current share price of RIL is affordable one to investors and it is
low risk scrip. Good pick up for the long term investor.
2. Balanced performance is given by ITC, Ratios are good, share
price is affordable. Currently had a dip. Good stock for medium
term investor.
3. JP Associates is very unbalanced and unpredictable in a long
term. Company has very weak fundamentals in comparison.
Stocks are good for short term traders.

18. CONCLUSION
The study deals with share and share trading gives a general idea
about the analysis of stocks. The analysis carried on two basis,
Fundamental analysis and technical analysis. Technical analysis
shows a short term trend based on historical data and fundamental
analysis helpful for the decision making for long term investment.
From the analysis it is found that the charts prepared on the basis of
the share price, with the support of technical tools shows all the
trends and variations as interpreted in the theory. In the analysis
using moving average it is found that if the price is lying above the
moving average, the scrip is in a bullish trend if the price lying below
the moving average the scrip is in bearish trend. Technical analysis
ignores the actual nature of the company. Technical analysis is based
solely on the chart that is to say price and volume information. The
investor has to invest wisely on the scrip which gives high return with
most possible risk.

19. THANK YOU