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FUNDAMENTAL & TECHNICAL ANALYSIS ON AUTOMOBILE & STEEL SECTOR

PRESENTED BY:
BABASAB PATIL (2BA09MBA07)

Company Profile
Geojit, a joint venture with Kerala State Industrial Development

Corporation Ltd.
Geojit Securities Limited was a partnership firm, with two partners Mr.

C.J. George and Mr. Ranjit, under the name and style of Geojit & in

1988 the Company established.


Geojits shares are listed on the Bombay Stock Exchange. More than 1000 professionals are operating through over 250 offices

across the country provide services to Prominent institutional clients


include banks, mutual funds and other institutions such as UTI and insurance companies

Research Methodology
TITLE OF THE PROJET: Fundamental & Technical Analysis On Automobile & Steel Sector.

OBJECTIVES OF THE STUDY:


To analyze individual company scrips by considering the factors relating to

the economy, industry and the respective company.


To know which securities to be bought and which securities not to be bought To know which securities to be sold and which securities not to be sold. To study the movement of the stock price of the companies selected for the

study.
Predicting the future value of the stocks of the companies selected for the

study

CONT
PRIMARY DATA : Primary data is collected through direct interactions with the Branch Manager, Employees and clients of Geojit BNP PARIBAS, Ltd SECONDARY DATA : Secondary data is collected from the annual reports of the company, relevant text books on the subject matter and companys official website.

TOOLS: Moving Average Method. Candlestick Charting.

Fundamental Analysis
CONSISTS OF 3 STEPS
ECONOMIC ANALYSIS INDUSTRY ANALYSIS COMPANY ANALYSIS

Key financial ratios analysis of MARUTI-SUZUKI Key financial ratios analysis of TATA MOTORS Key financial ratios analysis of TATA STEELS Key financial ratios analysis of JINDAL STEELS

Technical Analysis
TECHNICAL ANALYSIS [ 10 DAYS MOVING AVERAGE METHOD] Company: Maruti-Suzuki. Sector: Automobile

Interpretation:
In this Graph, we can see that the moving average of MARUTI-SUZUKI has been decreased on May,Augast & March this shows the buy signal and on June & September

prices are moved up its better to sell. The cross over is at below the closing price the
moving average is continuing in the down trend so, it is giving clear picture of future upward movement of the scrip. This Graph provides a message to the share holders that it is a right time to buy the Stock of MARUTI-SUZUKI.

TECHNICAL ANALYSIS [ 10 DAYS MOVING AVERAGE METHOD] Company: Tata Motors. Sector: Automobile

Interpretation:
In this Graph, we can observe that moving Average of TATA MOTORS Stock has been increased on July to January. So its right time to sell and on May & February price is falling down with the moving average, it is giving clear picture of future movement of the scrip. This Graph provides a message to the holders that it is a right time to buy the Stock of TATA MOTORS because the scrip closing price crossing the moving average from below.

TECHNICAL ANALYSIS: [10 DAYS MOVING AVERAGE METDHOD] Company: TATA steels Sector: Steel Sector

Interpretation:
Here, the Moving Average is almost equal to the Actual line. In this Graph, we can observe that moving Average of TATA STEEL Stock has been decreased on June, September & on March. This indicates the buy signal to the investors and on July to October right time to sell the stock So. This Graph provides a message to the investor that it is a right time to buy the Stock of TATA STEEL because of downward trend of moving average

TECHNICAL ANALYSIS: [10 DAYS MOVING AVERAGE METHOD] Company: Jindal steels Sector: Steel Sector

Interpritation:

In this Graph, we can observe that moving Average of JINDAL STEEL


stock has been decreased. So, it is giving clear picture of future movement of the scrip. This Graph provides a message to the investor that it is a right time to

buy the Stock of JINDAL STEELS on June. July & in March, and, sell on
September to October if we observe the trend of this graph then we can also notice that Moving Average line has been decreasing, so it is also a right time to

buy the stock.

Candlestick Chart
TECHNICAL ANALYSIS: [By Using Candle Stick Charting] Company Name: MARUTI-SUZUKI

Interpretation: In the above Candle Stick Chart it is clear that Stock Price of MARUTISUZUKI is in the fluctuating. Simply Share Prices of MARUTI-SUZUKI is moving up & down. It indicates that the investors are becoming both bullish & bearish. Here, as far as MARUTI-SUZUKI is concerned,. It is a right time to buy the Scrip.

TECHNICAL ANALYSIS: [By Using Candle Stick Charting]

Company Name: TATA MOTORS

Interpretation In the above Candle Stick Chart it is clear that Stock Price of TATA MOTORS has been decreasing. Simply Share Prices of TATA MOTORS is moving down. It indicates that the investors are becoming more bearish than bullish. Here, as far as TATA MOTORS is concerned, bearish market trend is taking place. It is a right time to buy the Scrip.

TECHNICAL ANALYSIS: [By Using Candle Stick Charting] Company Name: TATA STEEL

Interpretation: From the above Candle Stick Chart it is clear that Stock Price of TATA STEEL is moving down. Here, we can observe lot of volatility in stock price.

The Bearish trend is taking place. It indicates that the investors are becoming
more bearish than bullish. At present Situation Bearish Trend is going on. It is a right time to buy the Scrip

TECHNICAL ANALYSIS: [By Using Candle Stick Charting] Company Name: JINDAL STEEL

Interpretation: From the above Candle Stick Chart it is clear that Stock Price of JINDAL STEEL is falling down. Here, we can observe lot of volatility in stock price.

The Bearish Trend. It indicates that the investors are becoming more bearish
than bullish. At present Situation Bearish Trend is going on. It is a right time to buy the Scrip.

Findings
Fundamentally, financial performance of these companies in respect of sales and

profit is good.
A profit of MARUTI-SUZUKI 1,189.10, TATAMOTORS 1,528.88, TATA

STEEL 5,046.8, JINDAL STEEL 856.53 & TATA STEEL Net Sales is 24,940.65..

MARUTI SUZUKI Intrinsic value of company stock is undervalued that is 0.25 Intrinsic value of TATA Motors stock is undervalued that is 0.31.

Intrinsic value of TATA Steel company stock is undervalued that is 0.18. Jindal steel ratio indicates that, the intrinsic value is and the current market price

of the share is it shows that companys stock is undervalued that is 1.06.

10 days moving Average of MARUTI SUZUKI Stock has been decreased. .The moving average is continuing in the down trend

TATA MOTORS 10 days moving Average trend is decreasing and. The moving

average is continuing in the down trend


10 days moving Average of TATA STEEL chart shows a message to the investor

that its right time to buy the Stock of TATA Steel because of downward trend of
moving average
By the analysis 10 days moving Average of JINDAL STEEL Stock has been

decreased. So it is giving clear picture of future movement..


Candle stick chart of MARUTI SUZUKI. We can see that the stock price has been

decreasing. Simply Share Prices of Maruti-Suzuki is moving down. It indicates that the investors are becoming more bearish than bullish. And also the TATA MOTORS, TATA STEELS & JINDAL STEELS stocks are in the downward trend. Here also the investors are becoming more bearish than bullish.

Suggestions
It is better to go for Long term Investment rather than the Short term Investment.

Because it is less risky and also provides sufficient return


Holders of share may reduce risk by selling the stock when the moving average trend

is start to moving downwards


And investors have to analyze the crossover between the closing price & moving

average trend. Whether crossover of moving average is on below the closing price or on above the closing price.
All four companies moving average in the downward trend and so its right time to

buy the shares of all four.


And also the candle stick charts of all four companies are showing the bearish trend

than the bullish.

Conclusion
As we all know India is one of the fastest growing economies in the

world. India is consistently achieving growth in automobile sector as well

as steel. Today due to advancements in technology there is higher growth


for steel industry because in India Infrastructure Sector is booming. The Indian Steel Industry plays a significant role in Indian Economy.
The Indian automobile industry is going through a phase of rapid change

and high growth. With new projects coming up on a regular basis, the industry is undergoing technological change. The major players are

expanding their plants and focusing on mass customization, mass


production.

THANK YOU