STEER TI Sby aeRO PM eLINID VNC CASE USTNI UO MOOSE; RC) sO RLS ‘COMMERCE, ARTS AND MANAGEMENT STUDIES (AUTONOMOUS) MALAD WEST PSs raw g Sener ne Gerrans eectFUNDAMENTAL ANALYSIS OF IT SECTOR NAGINDAS KHANDWALA COLLEGE OF SCIENCE, COMMERCE, ARTS AND MANAGEMENT STUDIES (AUTONOMOUS) MALAD WEST. A Project Report on Fundamental Analysis of IT Sector ‘TYBMS SEMESTER VI SUBMITTED TO UNIVERSITY OF MUMBAI PROJECT GUIDE MS. SONALI SINGH ACADEMIC YEAR 2020-21FUNDAMENTAL ANALYSIS OF IT SECTOR CERTIFICATE, ‘This isto certify that Miss Shaili Sunil Mehta has worked and duly completed her Project Work for the degree of Bachelor of Management Studies under the Faculty of Commerce in the subject of Research Project and her project is entitled, jvsis of IT Seetor™ under my supervision. | further certify that the entire work has been done by the learner under my guidance and that no part of it has been submitted previously for any De ee oF Diploma of any Universi Itis her own work and facts reported by her personal findings and investigations. We Mrs. Sonali Singh Date of submission we RINCIPAL -AXGINDAS KHANDIALA COLLEGE OF COMMERCE. {ARTS 6 MANAGEMENT STUDES AND SHANTABEN 'NAGINDAS KHANDNALACOLLEGE OF SO SE TMALAD (i, HUIARAL O85FUNDAMENTAL ANALYSIS OF IT SECTOR DECLARATION BY LEARNER ‘Mehta hereby, declare that the work embodied in this project work titled | the undersigned Miss Shaili Sun “Fundamental Analy: Of FT Sector”, forms my own contribution to the research work carried and has not Diploma to this or any other been previously submitted to any other University: for any other Dew University, Whenever reference has been made t previous works of other been clearly indicated as such and included in the bibliography. |. here by further declare that all information of this document has been obtained and presentedin accordance ‘with academic rules and ethical conduct BE Name and Signature of the leamer Shaili Sunil Mebta por Name and Signature of the Guiding Teacher Mrs. Sonali SinghFUNDAMENTAL ANALYSIS OF IT SECTOR ACKNOWLEDGMENT. To list who all have helped me is difficult because they are so numerous, and the depth is so enormous. | would like to acknowledgment the following as lealistic channels and fresh dimensions in the completion of this project. | take this opportunity to thank the University of Mumbai for giving me chance to do this project | would like to thank my Principal, Dr. Ancy Jose and Viee Pri sal, Dr. Mona Mehta for providing the necessary facilities required for completion of this project. | take this opportunity to thank our Coordinator, Mrs. Gargi Dubey, for her moral support and guidance. | would also like to express my sincere gratitude towards my project guide Mes. Sonali Singh whose guidance and care made the project successful I would like to thank my College Library, for having provided various reference books and magazines related to my project. Lastly, 1 would like to thank each and every person who directly or indirectly helped me in the completion of the project especially my Parents and Peers who supported me throughout my project.FUNDAMENTAL ANALYSIS OF IT SECTOR. ‘TABLE OF CONTENTS Chapter No. Content Page No. Executive Summary Chapter 1 | introduction 16 ha Introduction 23 12, History of IT Industry 34 13, Objectives 4 14 Methodology 5 1s. Sources of data s 16. Scope of study 6 L7. Limitations of study 6 18, Scope of Further Research 6 Chapter 2 _ | Methodology 716 24 Technical Analysis 8:10 22. Fundamental Analysis 10-16 Chapters _| Review of 122 Chapter _ | Core Content 23.32 4d Tata Consultancy Services (TCS) 24-28 42, Wipro Co, Ltd 28.29FUNDAMENTAL ANALYSIS OF IT SECTOR Chapter S | Comparison of TCS & Wipro 33.50 sa Fundamental Analysis of Wipro and TCS forComesponding | 34-36 52 Ratio Analysis of TCS and Wipro for Corresponding Year| 42-44 33, Competitors of Wipro and TCS Chapter6 | Findings 52-63 Chapter 7 _ | Conclusion & Recommendations 64-65 Bibliography 66-68 9.7 AppendixFUNDAMENTAL ANALYSIS OF IT SECTOR IGURE: Fig. No. Topic Page no. 222 | Economie Forecast for Long-Term view 17 233,___| Cluster of Lins for Analysis iz oi Ree 5 32 Prefer io Invest in FF companies x or Leader of the Market 6a, Valuations of TT companies 65 Tavestment in Stock Market 3 65. Nifiy IF Index 36 67. IT companies future 7 38 TT stock in Portfolio. 7 65. Portfolio Strengih 3 6.10.____| Bifecis by COVID-19 3 oat ‘Comparison of stock with Nify TT 39 612 Technical Analysis o 613 Technical Chart oi 614 Ratios for Fundamental Analysis a 65 Primary Motive @ Recommendation to invest o 616,FUNDAMENTAL ANALYSIS OF IT SECTOR LISTOF TABLES: Table no. Topic Page no. 2381 Classification of ems Tai5 2382, ‘Standard Ratios for Company 15-16 433. Wipro Investment Growth 30 1 31 Balance Sheet 3456 32, Ratios wasFUNDAMENTAL ANALYSIS OF IT SECTOR EXECUTIVE SUMMARY [tthe point when consistency is atest of skill and endurance in our busting lives, we are seeing sparing time wherever conceivable. With regards to this the study of technical and fundamental analysis forthe IT sector has given various perspectives and there has been a significant change in the point of view of respondents These days, there is a growing realization and even a need for a secondary source of income where a person can apply his part of income in the secondary market to get an additional income above that. This is possible only with adequate knowledge, skills, and money. Any absence of the three factors may cost huge losses to a person and this may even affect the generations of particular family. These days after the post covid people need to think about the secondary income too. Alongside, the study focuses on the behaviour and technicality of the sector. Furthermore, the day-to-day study also reveals and improves the knowledge of the individual as the work to be done can be completed only with appropriate knowledge. AA simple random sampling is a subset that has an equivalent measurable populace where every individual from the subsets has an equivalent likelihood of being picked up. A simple random sampling is intended to bea fair portrayal of @ group. Researchers can make a simple random technique using a few techniques. For years, the Indian IT industry fate was solely being decided by foreign markets, especially the US. Although the markets still hold the lion’s share in the total IT revenues. there has been a gradual transition in thistrend. With the economic downturn post-2008 significantly cutting down IT spending in the global markets, IT impasses have been forced to look out for new avenues of sustaining growth. Primary data is involved as a structured Questionnaire with questions that mainly focus on covering all the aspects of technical and fundamental analysis of the IT sector. There were a variety of questions asked to respondents and each respondent has answered diligently making it easy to interpret the data, ‘The project will help to get an in-depth understanding and helps me to find the level of knowledge the youth has when it comes to stock market analysis using technical and fundamental analysis. The analysis will help Us to know the source of information regarding IT sector analysis. It will help us to know whether the respondents are keen on gaining knowledge from the stock market and the number of respondents who are engaged in doing trading or investing. The sample size used in this project is 151 responses. The age group is divided into 16-25, 26-35, 36-45, 45, and above. The geographical boundary is around Mumbai suburban. The primary data has been collected from the questionnaire and secondary data has been collected from various Sites, books, and articles. There were a variety of questions asked to respondents and each respondent has answered diligently making it easy to interpret the data. The buyers and sellers ofthe shares are the true owners. ‘The study of the IT sector reveals various facts and figures and correspondingly the fundamental and technical ‘analysis. This study can also be extended with different Sectors and this helps the researchers to doFUNDAMENTAL ANALYSIS OF IT SECTOR various research, Under literature review, there are also various cases for further research which even helps to get more conceptual clarity for the same. Objectives of research are mainly described to give clarity for the report. To analyze the understanding of individual knowledge of the stock market. To find out various factors that influence the behaviour ofthe individual. To find out whether investing in the IT industry is safe or not To get a better perspective about the technical and fundamental analysis of the IT industry. ncome, and capital gains To conclude whether there are safety,FUNDAMENTAL ANALYSIS OF IT SECTOR CHAPTER 1FUNDAMENTAL ANALYSIS OF IT SECTOR CHAPTER 1 - INTRODUCTION Li, Introduction, The project covers the analysis of the IT industry where all the analysis such as fundamental analysis are covered and all the aspects and concepts are explained with detailed explanation. The unit of analysis covers all the ages of the group. The examination of the individual authority using various forms to get an Understanding of the perspective of the customer. For analyzing the data, a total of 151 responses are collected via primary data (Google Forms). The research methodology used in this research is descriptive research. In descriptive research, the questionnaire method is used. The sample design and the use of a sampling basis is simple random sampling. A simple random sampling is a subset that has an equivalent measurable populace ‘where every individual from the subsets has an equivalent likelihood of being picked up. A simple random sampling is intended to be a fair portrayal of a group. Researchers can make a simple random technique using 4 few techniques. With a lottery technique, every individual front the populace is allocated the number after which numbers are chosen aimlessly The Information Technology & Information Technology Enabled Services (IT-ITES) sector is a profession that is experiencing accelerated evolution and is transforming the shape of Indian Business Standards. This ivision includes software development, consultancies, software management, online asistance, and Business Process Outsourcing (BPO). ‘According to an article in the Times of India, India’s liberalization was probable due to its 1 industry. In the 1990s, the business started with trading of nearly $100 million with around 5,000 employees. Now, itis an enterprise that grows globally and India's IT exports are presently around $70 billion with 2.8 million employees operating in this sector. The report declares thatthe IT sector is one of the top two manufacturers in the country today. India's IT industry is anticipated to grow ata rate of 12 - 14% during 2016-2017 as per a statement by India's software industry body National Association of Software and Services Companies (NASSCOM,) This certainly shows that knowledge technology is an area that will likely be one of the ‘merging businesses in the days to come as India's evonomy wants more hardware, software, and other IT| services. Ina NASSCOM McKinsey report, India's place in the global offshore IT industry is based on five factors - Overflowing Talent, Piece ofthe Urban Foundation, Operational Excellence, Favourable Business Environment, and ultimately, continued extension inthe domestic IT sector. TT Industry in India 2017 IT-BPM industry earnings (excluding hardware) for the Financial Year 2016-17 are ‘expected to be at US $154 billion, The IT sector committed to India's GDP by 7.7% in the year 2016. In the Financial Year 2016, TCS reached as the market leader with about a 10.4% increase to India's IT and ITES 2FUNDAMENTAL ANALYSIS OF IT SECTOR sector revenue. The IT business is quite competing with the top 5 IT firms contributing over 25% to the total IT revenue. For the Financial Year 2017, the national revenue is expected to be at US $38 billion while the export revenue is considered to be at US $117 billion. The IT industry is gradually affected by factors like the global market and the subsistence ofits rate of growth. ‘The slowdown in the United States also affected the IT community in India negatively. This division is| ‘encouraging and has enormous potential, but there are matters concerning the demand-supply gap, which is increasing. Some difficulties which the industry is suffering are inadequate foundation, tax problems, and limited preferential access for local firms. China and Taiwan are examples of low-cost destinations, and India ‘needs to change its current tax structure so that it can defeat opposition from other countries. One ofthe most important advantages thatthe computer and IT industry presents in India is the profession it can produce, Additional advantages are Export and Foreign Direct Investments (FDI). New businesses have slaried up in the Middle East, Africa, Easter Europe, and South and Southeast Asia. India is now a better India is required to reach the el for IT outsourcing. There is no shortage of IT job opportunities in In US to become the most amount of software developers in 2018. The best IT companies in India that allow job possibilities inthis profession are Tata Consultancy Services (ICS), Wipro Technologies, Cognizant, Yahoo!, Google, Tech Mahindra, Infosys Technologies, HP, Capgemini, iGATE Patni, Accenture, L&T, EY, Convergys, Mphasis, Genpact, HCL Technologies and Godrej Infotech. Cities like Bengaluru, Delhi, Noida, Gurgaon, Hyderabad, Chennai, Bombay, and Cochin are some of the places which have expanded into possible IT hubs of the country, recognition to the appearance ‘of those top IT companies. These are now important players which offer the maturity of the Indiatt economy through telecommunication, software development, design, mobile commerce, e-commerce, BPO, and Knowledge Process Outsourcing (KPO). The IT business is not restricted to the software community only. ‘Technology can be implemented in libraries, hospitals, benks, shops, prisons, hotels, aports, train stations, and several other places through database management systems, or custom-made software as seen fit, Among the IT sector in India has been encouraging completion for the last decade and stronger and holds other sectors, the potential to maintain doing so for the next several years if deficiencies are met and difficulties are faced, 4.2, History of IT Industryin Inia development services in India in 1968. In 1981, Services were inaugurated by the DATA group for software Informs was founded by Marinara Murphy and his colleagu jeveloping supported by a most maximum of the IT es. Informs was restricted to creating class software services and also took an IT business model which was ¢FUNDAMENTAL ANALYSIS OF IT SECTOR ‘companies in India. Economic reforms in 1991 and expansion of the IT sector in India, The Indian government had stringent power over the private business items in India before expanding the economy in 1991. ‘The first major IT change by the Indian Government was the invention of a corporation called Software Technology Parks of India (STEP). This company provided satellite links to major IT developers allowing them to communicate the job done in India immediately abroad. As a consequence, the IT industry in India converted available and the establishment of outsourcing would certainly gain energy with more and more clients and enterprises working for the outsourcing of IT, Another important result for the Indian IT industry Posts the 1991 improvements was the YUK defect. Fear of an omelet categorization of computer services, the US corporations outsourced all the tools and improving work to Indians. Influence of the recession on the Indian IT sector. The global economic crisis in 2008 and the Rezone crisis have made it a surge coaster journey for the world economies. The Asia Pacific experienced a deferred impact of the economic crisis. India was one of the world’s fastest-growing tech businesses, concentrated largely on exports, and also Domestic IT Outsourcing: For ages, the Indian IT encountered the trembling of the global economic cris industry's fature was individually being compromised by foreign markets, particularly the US. Although the businesses still hold the lion’s portion in the total IT revenues. there has been continuous development inthis course, With the financial downturn post-2008 significantly paring down IT use in the global markets, IT obstacles have been required to look out for different avenues of supporting growth. ‘A part of the canter thus started moving to the European and Asian markets. IT service providers are recognizing the potential of the intemal market and are building-specifie methods to work with Indian enterprises. Industry specialists point out that the internal 1T market is expected to increase at a CAGR of around 7% between FYI and IFFY and give more than $36 billion by the end of IFFY. 13, Obiectives of R ‘To analyze the understanding of individual knowledge of the stock market. “To find out various factors that influence the behaviour of the individual, + To find out whether investing in the IT industry is safe oF not + To.geta better perspective about the technical and fundamental analysis ofthe IT industry fe safety, income, and capital gains + Toconclude whether there arFUNDAMENTAL ANALYSIS OF IT SECTOR 14, Methodology The age group used in this project is young adults. To define them they are of the age from 16 to 35 years. This covers students who have stated their graduation and have some basic ideas about the topic of my project. The technical terms used are also helpful for them getting a clear idea regarding the same. It covers those students who have entered a corporate world and it ends where he is at @ good earning stage. In this project, used. Descriptive research can be defined as that research that can depict various characteristics and objectives and along with that the deep understanding of the topic and with various ‘conceptual larity whieh helps an adult to take the various decisions regarding the diversification of earnings during the early 30s, It does not answer the question concerning how/when/why the characteristics occurred, Rather it answers the question of what. ‘The sample design used in the project isa simple random sampling method. A simple random sampling method isasubset ofa measurable populace where every individual from the subset has an equivalent chance of getting selected, A simple random sampling is intended to be a fair portrayal of group. Researchers can make a simple random sampling utitizing a Few techniques. This just means that there were no hardcore efforts required to collect the data, D ut across contacts from various colleges. However, the geographical boundaries were limited to the is collected! in such a way that its convenient for the researcher. Google forms were made and sent ‘metropolitan region of Mumbai. The sample size used in this project is 151 responses. The age group is divided. into 16-25, 26-35. 36-45, 45, and above. 1S, Sources of Data Primary data is involved as a structured questionnaire with questions that mainly focus on covering all the aspects of technical and fundamental analysis of the IT sector. There were a variety of questions asked to respondents and each respondent has answered diligently making it easy to interpret the data, The questions IT sector tll the respondents engaged in activities of the stock that were asked from the investment in the ‘market were asked to understand the overall aspects of responses given by respondents, A total of 151 respondents were taken o get a clear picture and this was used to geta better conclusion for my topic. Secondary data was collected from many journals, papers, online sites including more control, stock edge app, ‘nd BSE Indi o gana beter understanding of the price movement swells the fundamentals of the NIFTY TT index. The main focus has been the questionnaire and the conclusions are based on what are the findings of primary data,FUNDAMENTAL ANALYSIS OF IT SECTOR LG, Scope of Study The project will help to get an in-depth understanding and helps me to find the level of knowledge the youth hhas when it comes to stock market analysis using technical and fundamental analysis. The analysis will help us to know the source of information regarding IT sector analysis. It will help us to know whether the respondents are keen on gaining knowledge from the stock market and the number of respondents who are cf This study also enhances the knowledge of respondents which helps ced in doing trading or investing ce more money andl get attracted towards the fundamentals of the companies specifically toward them to the IT industry The satisfactory level of the respondents can be noticed via this project. The analysis ofthe project will help Us to take various suggestions regarding the analysis of the market. 12, Limitation of Study The limitations are that various respondents are not aware whether they must use technical or fundamental inthe stock market. Many respondents are not aware that while using fundamental ‘analysis while investi Analysis the growth of the company, ROE of the company and net profits decide the future while for technical s ie, the candlesticks, bar charts, and various other forms of charts which ‘analysis what matters are the el fre unknown to respondents. The age group is also another factor where people at age of 16 do not have complete knowledge and they end up facing losses and also questionnaire, 4, Scope of Further Research The study of the 17 sector isnot only restricted to giant companies ike WIPRO and TCS. This study is of @ ‘ast field where the respondents are not only knowledgeable about this sector but the overall market, The buyers and sellers ofthe shares are the true owners. The study of the IT sector reveals various facts and figures, {and corresponslingly the Fundamental and technical analysis. Ths study can also be extended with different Scclos and this helps the researchers odo various research. The fundamental and echnical analysis helps the trader as well as an investor to predict the growth and to eam good profits within a short period, Thus, its ‘mandatory to have good knowledge and enhance various skills fo prepare a good strategy.FUNDAMENTAL ANALYSIS OF IT SECTOR CHAPTER 2FUNDAMENTAL ANALYSIS OF IT SECTOR CHAPTER 2 - METHODOLOGY 2 TECHNICAL ANALYSIS. 2.1.1. Definition Technical Analysis refers to the study of the aetion of the market itself as hostile the study of the products cot deals, Technical Analysis is thatthe seience of recording, sometimes in graphic kind, within which the mi the particular history of commercialism in an exceedingly bound stock or monetary plus and so deciding from that pictared history the probable future trend 2.1.2, Assumptions ‘is has additionally supported some assumptions. Like any alternative science, Technieal Analy + Stock costs area unit determined entirely by the interaction of demand and provide. + Stock costs tend to makeover in trends. ‘+ Shifts in demand and provide cause reversals in trends, + Shifts in demand and provide may be detected in charts, + Chart patterns tend to repeat tht 2a, . History redibly poorly recorded, as there's no proof of it being employed. The history of Technical analysis is ne at technique of analyzing markets and costs was uilized in the distant however, it may be formed that this ae! Past in freely listed markets. Markets in one kind or another have existed for hundreds of years. as an example, we all Know that notes and checks between raders and bankers existed in the metropolis by 2000 BC. Currency exchange, commodities, tnd parcpation in mercantile voyages were listed in Osi, the port of Rome, within the second century AD. ‘ean, oat, and barley costs were offered from 1160 on in Frenchman, England; carly as 1203. publicly offered proof suggests that as ost cities and cities and were joined in an exceeding. Within the Middle Ages, wheat, ‘nd an oversized grain market existed in Toulouse 2 carly because the twelfth century, markets existed. hetwork of arbitrage.FUNDAMENTAL ANALYSIS OF IT SECTOR, In the eighteenth century, because the Dutch empire dectined, the London and Paris Exchanges step by step surpassed the Amsterdam Exchange inactivity and offerings. In alternative elements of the planet, specifically in Japan, cash-only goods markets in rice and silver were developing, sometimes at the docks of major seashore ally have recorded info of a loaded bargained World Health ipline to amass a fortune. Cities. i's in these markets that we tend to Organization used technical analysis and commercialism d Japan is thatthe intial place within which revorded technical rules are found, several historians have prompt n within the rice markets in Japan, However, it appears impossible that technical that technical analysis b und earlier markets anil exchanges in Medieval Europe. Indeed, ‘analysis wasn’t utilized in the additional subtle a even in Japan, it's thought that charts were introduced initially within the silver market around 1870 by associate “English man”. Thus. the technical analysis contains a poorly recorded history however by logical thinking maybe a recent technique of analyzing commercialism markets and costs, 2 Alternative Technical Analysis Although the observation of technical analysis in some form doubtless dates back several centuries, Charles Dow was the primary to present and inquire into it in recent times. he's thought of the daddy of “modern” to live the performance of the securit technical analysis. Dow's introduction of stock inde: allowed fora significant advance within the sophistication of securities market participants. With the arrival of computers, many faculties of technical analysis have arisen and moder technical analysis has been modified utterly. Earlier traders want to draw chats on paper and so take off with associate analysis ‘on it an explicit plus, But now. it's utterly machine-controlled wherever knowledge is directly fetched from exchanges and also the value charts area unit drawn on the technical associate Iysis package armed with a finish range of tools to investigate out of it. Today, the technical analysis covers many alternative tins horizons: (1) long finance and (2) short swing and (9) intraday commercialism being the foremost basic. The symptoms and ways used for these horizons usually have their characteristics. additionally, instruments exist: Commodities, as an example, have their technical info and peculiarities, as do currencies 10 time horizons, completely different finance or commercialism ‘nd monetary instruments like bonds and notes. The topic of technical analysis is advanced, As a result of data oF al prospects isnot possible the individual shoul decide the amount, methods and instruments bes euited knowledge, and time offered. Though the fundamental principles of| (© his or her temperament, ability, Uechca analysis that we tend to investigote during tis book are unit common fo any oral areas of markets, ying, and experiencing the peculatis ofthe markets within which ‘investors should team by reading, stud they need to profit,FUNDAMENTAL ANALYSIS OF IT SECTOR ‘While coming into the stock markets one ought to have the whole strategy to earn because the market may be ‘ competitive field within which your analysis is matched withthe toughest minds of the trade, Unless you've ‘got developed the whole strategy of your one cannot say the great from the unhealthy. 2.2, Fundamental Analysis Fundamental analysis is that the examination of the underlying forces that alfeet the well-being of the economy, rade teams, and firms, like most analyses. the goal is to derive a forecast and make the most of future value movements. At the corporate level, an elementary analysis could involve the examination of monetary knowledge, management, business conception, and competition. At the trade level, there may bean ssociate examination of providing and demand forces for the merchandise offered. For the financial system, sdge to assess this and future growth of the economy. To an elementary analysis may target ezonomic knowles and company analysis to forecast future stock costs, the elementary analysis combines economic, industry, devive a stock's current honest worth and forecast future wort, Ifthe honest worth isnt eapable of the present stock value, elementary analysts believe that the sock is either overvalued or undervalued and also the {market price market worth value} can ultimately gravitate towards honest value, Fundamentalists don't heed the recommendation of the random walkers and believe that markets area unit \eek-form economical. By a basic cognitive ved value diserep: process that costs don't accurately replicate all offered info, ‘elementary analysts look to maximize percei 2.2.1. General Steps to elementary analysis 1 breakdown is given below within the order associate epee capitalist may proceed. This methodology employs top-down approach that starts with the economy rporations, As apart ofthe analyzing method, i's necessary are compared against alternative trade teams (and Even though there's nobody clear-cut methodology. ‘and so works down from trade teams to specific co 'o recollect that everyone's info is relative. trade teams Usually, corporations are compared with others within comporations and firms} against alternative companies the same cluster for instance, a medium operator (J10) would be compared to 2 different medium operator (AIRTEL), to not associate degree company (COP) 2.22. Keonomie Forecast dingly in a very} top-down approach would be an First and fore ring align associate degree ocr most, {in adoring aligr jis just like the tide and therefore the numerous trade Overall analy werall economy. The economy ysis ofthe o ce the economy expands, most rade teams and ‘sams and individual corporations are Tike boat: 10 —FUNDAMENTAL ANALYSIS OF IT SECTOR corporations’ profit and grow. once the economy declines, most sectors and corporations sometimes suffer Several economists link economic growth and contraction to the number of interest rates. Interest rates are seen a the number one indicator forthe stock exchange yet. Below could be a chart of the S&P five hundred and therefore the yield on the 10-year notes over the las thirty years, Though not precise, a correlation between stock costs and interest rates is seen. Once a state of affairs for the economy has been developed, associate Agree capitalists will break down the economy into its numerous trade teams. This is eg of long term chart of S&P 500 large cap which is US market related. eRe as ( Gye sn High 17210 Low (872% Coe 1926 Vote 210 hg 203005705) = TOA Bo av £43 0 Od aeons eee eee rig, No. 2.22 Beonomic Foreast for Long-Term view Fig. No. 2.22. 2 23. Cluster Choice i ce degree ineesing 20009" then sure teams are doubtless to lean over others is is for associate degree ine Js that are best suited to learn from the presen Se ne eee that are n from the present capitalist will slen "1FUNDAMENTAL ANALYSIS OF IT SECTOR oF future economic surroundings. If most corporations are expected to learn from associate degree growth, then tisk in equities would be comparatively low associate dogreed an aggressive growth-oriented strategy ‘may well be judicious. A growth strategy may involve the acquisition of technology, biotech, semiconductor, and cireular stocks. If the economy is forecast to contract, associate degree capitalists could pick a lot of conservative strategies and hunt down stable income-oriented corporations. A defensive strategy may involve the acquisition of shopper staples, utilities, and energy-related stocks. To assess associate degree trade group's potential, associate degree capitalists would wish to contemplate the s tate, market size, and importance to the economy. Whereas the individual company remains necessary, trade cluster is probably going to exert even as a lot of, of more, influence on the stock value. Once stocks ‘move, they sometimes move as groups; there are only a few lone guns out there, Many times, i's alot necessary to be within the right trade than within the right stock! The chart below shows the relative performance of five Sectors over a T-month timeframe, because the chart ilustrates, being within the right sector will create all the distinction. [EEE Er emai vas a ter of Lines for Analysis Fig, No. 2.23. CustFUNDAMENTAL ANALYSIS OF IT SECTOR the leaders and therefore the innovators at intervals a bunch, The primary task is to spot this business and competitive atmosphere at intervals a bunch also because ofthe future trends. however, do the businesses rank per market share, product position, and competitive advantage? United Nations agency is that the eurrent leader and the way can change at intervals {the sector the world the square measuring} affect this balance of power? What are the barriers to entry? Success depends on having a footing, be it promoting, Technology, nat intervals a sector can facilitate ‘market share, or innovation. A comparative analysis of the compet and people presumably to slay it ‘stablish those corporations with a footin 22.5. Company analysis: With a range of corporations, associate degree capitalists would possibly analyze the resources and capabilities at intervals every company to spot those corporations that square measure capable of making and maintaining 4 competitive advantage. The analysis might specialize in choosing corporations with a smart business arrangement, solid management, and sound financials: 2.2.6. Business arranges The business arrangement, model, or conception forms the bedrock upon that all else is made, If the arrangement, model, or ideas stink, there's very little hope for the business. For a replacement business, the Query is also these: Will its business build sense? Is it Feasible the queries could be: Is thatthe company’s direction clearly def ? Is there a market? Will a profit be made? For A long-time business, ed? Is that the company 4 pacesetter within the market? Will the corporate maintain leadership? 22.7, Management ‘To execute business, range, a corporation needs the finest management Investors Would possibly verify ‘management to assess their capabilities, dynamic industries will attend waste with dangerous management (AMD in semiconductors). Or else, even in strengths, and weaknesses. Even the bestlaid plans within the most an exceedingly mature rade, robs manayement willake increased success (Aloe inaluminium), A number oF the inquires to raise would possibly include: However proficient is thatthe management team? Do they need 4 track record? However long have they worked together? Will management deliver om its promises? If Management may be a drawback, its generally best to makeover on 2.2.8, Money Analysis The fnal step tothe curent analysis method would be t0 requte apart fom the money statements and are !vailable up witha way of valuation. Below may be ist of potential inputs ino money analysis, 8FUNDAMENTAL ANALYSIS OF IT SECTOR ‘Accounts Payable Accounts Receivable ‘Acid Ratio Amortization. Assets - Current Assets - Fixed Book Value Brand Business Cycle Business Idea Business Model Business Plan Capital Expenses Cash Flow Cash on hand Current Ratio Customer Relationships Days Payable Days Receivable Debt Debt Structure Debi: Equity Ratio Depreciation Derivatives-Hedging Discounted Cash Flow Dividend Good Will Gross Profit Margin Growth Industry Interest Cover Intemational Investment Liabilities - Current Liabilities - Long-term ‘Management Market Growth Market Share Net Profit Margin Pageview Growth Pageviews Patents Price/Book Value Price/Earnings PEG Price/Sales: Product, Product Placement Regulations R&D Revenues SectorFUNDAMENTAL ANALYSIS OF IT SECTOR Dividend Cover ‘Stock Options | Eamings Strategy EBITDA Subscriber Growth, Economic Growth Subscribers : Equity Supplier Relationships Taxes Equity Risk Premium Expenses ‘Trademarks Weighted Average Cost of Capital Table No. 2.2.8.1, Classification of tems The fist wi he list wil appear quite ong and discouraging. However, when a ily, Associate in Nursing capitalist can eam wi im what works best and develop a group of most popular analysis techniques. There square meast nic cycle. An entire ire many Altemative valuation metrics and far depends on the business and stage of the econo nee model may be engineered to forecast future revenues, expenses, and profits or an Associa 18 ‘using capitalist will deem the forecast of alternative analysts and apply varied multiples to gain ‘valuation. ‘A number of the additional standard ratios square measure found by dividing the stock value by a key worth river, Pat coeyte | | Price/Book Value | Oil | Price/Eamings Retail | Price/Eamings/Growth | Networking BIB Price/Sales Price/Subscribers ISP or Cable CompanyFUNDAMENTAL ANALYSIS OF IT SECTOR co ——— Price/Lines Telecom Website Biotech i i I | It L Sander Ras Tor Compay This me his methodology assumes that a corporation can sell at particular multiple of its earings, revenues. of {r0wth, The associate capitalist could rank firms that supported these valuation ratios. Those atthe high finish Could also be thought-about overvalued, whereas those a the low finish could represent comr paratively smart Price, 229. Golf shot it all at once £2 with one or two firms that stand out from the pack. Alter at fier all, is alleged and done, associate capitalists are let tal Ov the course ofthe analysis method, associate understanding can develop of that firms stand out as eve thought-about laggards and unpredictable. The te "es and imovtors, As, lemative fms woud be vi timate step of the basic analysis method is to synthesize all information, Setual picks, analysis, and understanding intoFUNDAMENTAL ANALYSIS OF IT SECTOR CHAPTER 3 wFUNDAMENTAL ANALYSIS OF IT SECTOR PT! EVIEW OF LITE} 1. Ashish Aroral, V. $. Arunachalam2, Jai Asundi3, Ronald Fernandes (1999): The Indian Software Industry This paper records the results of the analysis on the Indian software industry moved out at Camegie Mellon | University, We use a mixture of sources, including a questionnaire review of Indian software Firms, and field interviews and interviews with industry participants, observers, and US-based clients. ‘The Indian software industry is unusual in several respects. Itis setting rather than product-oriented, heavily ©xportoriented, and is mostly managed by expert and entrepreneurial executives. Also, domestic market knowledge and expertise seem to have very limited benefits for strong importers. Although the industry has become spectacularly, providing this performance will pose several challenges. To prevent the generally described deficiencies of skilled software professionals and the potential competition from other low wauss, ver exe working to move up the vale chen by geting amore extensive aman capital-rich countries, Indian fi and to decrease prices by producing superior teow ledge of business domains and management capacity, "ethodologies and tools. Whether firms will receive will depend critically on their management expertise and enthusi husiasm to buy along with several dimensions. een domestic and export the company is & major hurdle. but From a {Lm cultural perspective, the disconnect bet "hat th inereasing numer of computes and the expansion ofthe information infastnctre should make it "nore comfortable to conffont, Inthe end, te largest impact the software industry is equrel. nave onthe nusiness organizational form and as Ingi itn economy is complicated, in its position as an example of the new P AN ng incentive to other administrators. 2 Ashok Desai (2003): The Dynamies ofthe Indian Information ‘Technology Industry information atthe business is frequently shaped by official statistics. In he cease of the Indi 4 that are not pats of NASSCOME a single director. for example, lists to expect bias in NASSCOM’s characters, they are jport figures recently published by the Reserve Bank cs Over gn FTA firms in the busines: DS from firms (EFY 2002). Although there is no basts its afitiates* figures. A connection with IT &x 18FUNDAMENTAL ANALYSIS OF IT SECTOR of India shows that NASSCOM’s figures are within 10 percent of gross exports. Imports are less than 10 Percent of exports; NASSCOM does not consider them. The true and NASSCOM figures are similar; the difference between them could be due to advances and Ings. Inthe support of the paper, we will practice the NASSCOM figures. But we should at the starting point out the weaknesses of representing the Indian IT industry in terms of what occurs within India’s borders. Thus hus established, the industry holds the subsidiaries of multinational companies, which are an essential part M their gl Of their global progress. NASSCOM estimates their share in the sales of the Indian industry in 2001-02 at 26.6 ca On the other hand, Indian companies have branches and subsidiaries outside, The accounts of selected companies present financial investments to have been 24 percent oftheir gross assets in 2001-02; practically ‘lof those would be abroad, 3. Carnegie Melion University (2000): The Globalization of Software: The Case of the Indian Software Industry The accelerated globalization ofthe software industry inthe modern years has focused a big deal of tention ing part ofthe international movement of labour. on Indi dia whose software industry is now a minute but becom in characteristics ofthe Indian software industry. Ours tudy had two main purposes: To learn and explain the mal nd to follow its links with the American software industry and with W un dey Seanad up with a smaller number of phone interviews rl ; Wg: ERE Inia, We also had short sructared inteneN and how they have been raised and the nature of te work they do, Besides to 'emmen officiate in tie and industry experts in both India and the US. The completion of hs research tare industry, establishing some impressionistic accounts thirds of the revenues ofthe Indian software industry are 's with 61 Indian programmers to know better we examined several tha nates det Sm issues compared to the Indian so len fom ge oers. In particular approxitmately 0" ox ‘Ports, with a much smaller home market ational Software Industry Survey 4 * Hel i : 'sinki University of Technology (2009): is, fs National oftware Industry Survey. The software industry i @ Aric f software; Software isa key element of many bag tele “allen Presents'the effects of the welfl 8 0 sive natureo! 'one for review research due tothe pervasive nate 19FUNDAMENTAL ANALYSIS OF IT SECTOR ‘modem technology products and can be also used as a combined element when providing services. Moreover, itis trying to separate the software industry from other leaming product industries and the recent increase in online services has further developed the challenges in defining the boundaries of the industry The software industry is a subset of expert software development. We classify these activities into four ‘ategories as shown, The software business has been traditionally divided into software products and custom- ‘made software. This organization is displayed on the horizontal axis of our organization. Lately, the barriers between the software industry and other industries have grown frequently clouded due to courses that are 4iscussed more in the next section, Hardware generators are relying on software for functionality and) ‘lifferentation, In some instances, firms deemed traditionally to be individual devices or machinery vendors ave developed thir business to carry also corresponding software products or services that have a significant *ofware component. §. Indian Embassy (2008): India's Information Technology Industry The indian software industry has developed from the mere US S 150 million in 1991-92 tthe wavering US s 5. bition (including over $4 billion worth of software exports) in 1999-2000. No, another Indian business has performed so well against te global conflict, The yearly growth rate of India's Sefiware exports has been consistently over 50 percent since 1991. Asperthe predictions made by the National Association of Software and Services Companies (NASSCOM) for 2000-2001 (April 1, 2000 ~ March 31, 2001, India's software trading’ would be around § 6.3 billion. in addition to $2.5 bllon inthe domes” Sil 6. Jettvey Tucker, Stephen Chen, Corrie DeCamp (2006): Future of the Baterrise Software Industry. kh ol g the next technological wave mana [, extremely competitive mosphere oF enterprise software making Ihe nes nological wave managed i vith innovative new technology could mean beginning as the the Way to win, Doing the first busin extn " Hake iM instead of being folded into larger coma Similarly, * developing technology could accommodate the incremental development needed to draw ahead of the for customers, early selection of the X a <0 ies, Perversely forboth vendors and clients, no major imate are no longer attempting these sme a’ : to five years. No new thoughts as ‘npg, S%PECted in the ie = a 7 "28 supply chain management (SCM) or custome" e are market in the next three ver relationship management (CRM) are on the nearFUNDAMENTAL ANALYSIS OF IT SECTOR horizon—u izon—just a continuous pressure to make incremental changes. Meanwhile, practically every company that % eeded 10 add business software to its application portfolio has already done so. With no completely new teal nologies expected and with most markets soaked, the enterprise software sector can anticipate seeing the shakeout : keout sequence typical of any growing industry, as companies merge and rationalize. 7. Ashish Arora a, V.S. Arunachalam (1999): The Indian software services industry Its leader has, forthe most part, been a mixture of The Ind Indian software exportation has grown spectacularly. y intrusive regulation, and ourve revenues, a mix of favourable failure and ongoing support from @ usuall {80d timing. The majority of the Indian software exports have consisted of reasonably normal services such * ow. i ; low-level programming and support. The marked dependence on the introduction of low-cost human pis) has ing inspired significant uncertainty about the strength of the Indian software industry to maintain its Production, given the accelerated growth in the demand for engineers and the almost inlastc soppy of| engin Wwincers. This paper discusses the effects of an investigation ofthe Indian software industry We a Use a blend of sources, including a questionnaire survey of Indian software firms, and field visis and ‘merviews ie ' with industry participants, observers, and US-based clients. Although maintaining the prevailing quiring ng better software project manag "ducing Ig costs and improving quality by exhibiting superior methodologies and 1015. rr carcer advantages, disadvantages and Benefits (2003) te dia software industry future: ei 4 lot of people have been dsbating about the fare of the Indian software industry, whether itis @ Serer move fi J for people out of colleye oF not Mo " re or not”, In the lest few months, I have Ore anc more students in college are asking “Should! go insofar rious experts on the internet, and even ey 2rching this topic, eading te predictions and projections of ‘the Indian IT industry. In this article, 1 will share ‘many software professionals about the future of Ch Mee aoe Mth Yeu neluding the pros and cons of the so ‘ms and Final Conclusion aware profession. I have divided this analysis into Pos es, Negatives, you are mostly sitting in a nice air-conditioned ona May te software is a white-collar job. meaning Z a1 do not have to run around to get your work done, There fessions you 2FUNDAMENTAL ANALYSIS OF IT SECTOR se pleny of jobs and you ean change companies every two years and your salary increases each time you do so Mexico, and the Philippines are slowly catching |memational competition increasing: Countries like China, 4p. Several Indian companies have already opened their offices there. Did you know that China produces more ‘engineers than india but they cannot speak English? The upcoming Chinese generations are much better and Will certainly compete with India in the future.FUNDAMENTAL ANALYSIS OF IT SECTOR CHAPTER 4 23FUNDAMENTAL ANALYSIS OF IT SECTOR cH = EI 4.1. TATA CONSULTANC i 7 441, Company History ry worldwide renowned IT company and busines solutions to workd enterprises. We've got a organization providing transformational conjointly as outsourcing serviess da fashionable portfolio of services, Tata a Consultancy Services Lud. may be an obligator, ‘Worldwide presence deep domain experience in multiple trade verticals an tation services and psychological feature uses of those and its industry-leading suite + solutions investment the most recent Consisting of aa isting of consulting and repair integration digital transform: siness operations - targeting each C-suite neutral. The corporste of Merchandise and platforms to deliver high-quality & high-impac t nologies to customers across the world t a Consultancy Services geographic footstep consists of North-America tion and Middle-East, The corporate cou rnglomerates and most revered brands. The Id also be a neighbourhood Continental Europe Asi °F Tata cluster Pacifie Asian n ‘5 most revered business cot Fone in every of India's ive through 285 offices in forty-six countries oon "Porate is headquartered in Mumbai. TCS hhas been operat countries. T sian nations. Tata Consultancy Services Ltd was *ivionally as 147 detivery centers in wwenty-0Ne ‘ne company shares are listed on the National “SuPies market and Mumbai securities market of hed the company 2s a sg. Within the year 1971, they started their 1" om bined inside the year 1968. Tata Sons Ltd establish division to service their Electronic Dx ' Process (EDP) needs and provide industry 5 meered the worldwide delivery model for IT services with their inten More tional responsibility. The corporate Pio! Shore shopper in 1974 117, RAD division the Tota analysis style and jon established India’s hey acknowledged their 1 elient-dedieated offshore they discharged AN electronic installation Switzerland. Within the year 1997, the op |As of thirty-one December 2020, the a Practiced for 5634 patents as well a8 134 applied throughout the quarter and has continued te 3 patents, -Forms new services patents registered. 1, European country additionally as in Switzeriand mn any stratified profered for client satisfaction ® wos anc “thi tS 920 IT Sourcing Study supported a survey of C county editions of White lane analysis 2 24senior IT executives from the very’ best IT outlay enterprises in these 2 countries. The corporate has been. awarded the Best Patents Portfolio inside the big Enterprises (Information and Technology and Services) class 4 the Confederation of Indian Trade (CII) Industrial Material Possession Awards 2020. TCS Connected Clinical Trials answer a neighbourhood of the ‘lass ‘Best Patient-facing Technol and driving pote 2004 > 2005 * 2008 FUNDAMENTAL ANALYSIS OF IT SECTOR ‘TCS ADD platform won the 2020 Cite line Award inside the Inititive’ for providing positive expertise to patients in clinical trials y. swhange (NSE) and conerete center exchange with associate intial public essary in the Republic of Bharat at the time, by a Debuted at the National e giving (1PO) that was termed the Foremost nec private sector company. Priced at Rs, 850 per share of Rs. 1 at par, the commerce was sold-out seven times and listed on. the NSE at Rs 1199. making it the third costliest company in the Republic of Bharat then. Certainty’ tagline. Launched the “Expe' Won a deat vied at $847 million (£486 Mn) to produce insurance back-office act technique services to the UK-based Pearl cluster. ‘Acquired Sylney-hasel cash Network Services for roughly USS twenty-six million and Chilean business technique outsourcing company, Comiom. for $23 milion Iroc a pair of new service lines, Remote Infiasuctare Management and Basness technique h of our full services strategy. Outsourcing, marking the formal launch Acquired Citigroup international Services Ltd (the erstwhile eServer Lid), the back-office operations of Citigroup in the Republic of Bharat for $505 Million. Reorganized ourselves into a predominantly verticalized, ancient stnicire ‘composed of about Several business stutions units cach with end-to-end responsibility for Punch of shoppers among, associate business vertical, and owning its profit & loss (PALL) account, +5 Ministry of External Affairs, for the Passport govt. of In Signed a Rs 10 Billion upset the have opened and managed Seventy-seven Passport Seva Automation Project. Since then. We Kendra’s across the Republic of Bharat 26FUNDAMENTAL ANALYSIS OF IT SECTOR ~ 2009 +S Ramadorai, World Health Organization semiconductor TCS for 13 years, and had Brobdingnagian its revenues from $140 Million to over $6 Billion, stepped down from his govt position, making manner for N Chandrasekaran, then Chief operational Officer, to want over as a result of the chief operative officer & MD. * 2010 icrvals the GB life and pensions third party administration like Phoenix cluster, National Employment + Became the second-largest player jeals with compa market once language me Savings Trust, and Friends Life. » 2011 + Launched panicle, an integrate cloud-based,pay-perase platform for tiny and. Medium Businesses in the Republic of Bharat + Formally used the term “Digital” to clarify a contemporary crop of technologies that helped » superior consumer experience; launched a fll erop of recent services and and large enterprises deli information analytics technologies. Solutions finance mobile. social. cloud, * Became the first code firm to be assessed at CMM Level 5 enterprise-wide in code services and development, * ae Crossed $10 Bn in revenue. > 2013 [Acquired French IT services fim ALTI militia, one in every of the most effective doable five Package implementers in Franee * 2014 ignio that uses its Brobdingnagian body of gomation product, ‘Launched Tm hed a psychological feature a i" 4 autonomously fix problems that arise in knowledge and discourse awareness 10 diagnose an Fefined enterprise IT environments and endlessly manufactre #2 “Default is Digital” to clarify the presence ofthe yme-over time. Then-CEO, N Chandrasekaran coined the ferm™ came up with the min Japan. Digital Reimagination framework that used ind togeth ew Digital technologi ‘the Acquired Mitsubishi Corporation’ IT 3" 6FUNDAMENTAL ANALYSIS OF IT SECTOR Opened Saudi Arabia's initial all-women BPO center in the city, presently once that, ladies in TCS crossed 100,000, > 2015 * Cloud Platforms (ion assessments. cash inclusion. HR, eash accounting, TAP, acquisition, and 100 Mn revenue mark, analytics) crossed the S Articulated “There unit only heritage technologies. no heritage people”. Digital resklling of the tal Learning Platform that mixes physical, viral, and ‘on any device. Over 120,000 employees trained at personnel at scale vietimization the Di anytume, and experiential learning anywhere (000 competencies leamed. intervals the initial year, resulting in 3494 > 2016 Opened gov informing Centre in metropolis. India then the Digital Reimagination Studio in town, ca. » 2017 Tata Sons appointed Chanda as result of the Chairman of the Tate clase ‘The TCS Board appointed then-CFO Rajesh Gopinathan as a result ofthe eet operating officer and dreeton N ent, and V Ramakrishnan as administrator. The Ganapathy Subramanian as COO and govenme veto the organization then the launch of recent Digital ind future changes transition was seamless, progressive and technique. Transformation service practices ~ We! ip framework to help customers leverage digital Unveiled the Business four. thought leaders mation agendas throughout the fourth historic technologies to plenty of their growth and transfor moun, Tnstuted the foremost necessary ever parehase at intervals ihe history of the capital of Bharat markets, retuming Rs sixteon 000 Cr(S2-4 Bn) to shareholders * 2018 J transformation deals. at intervals the most smerica to interchange their fragmented ._industry-defining dig! important ever deal signed by TCS. it primred wih Tense heritage core with a contemporary, cloud-based digital one o Ma&G prudent at intervals the United Kings wn the TCS BaNCS Insurance platform iom, The selection ofa pair of deals. with M&S and : ss four wil jeir operational models to adapt to a Busines leverage digital echnollogies «0 rework (eit OP Worl 2 ————FUNDAMENTAL ANALYSIS OF IT SECTOR + Ranked among the most effective doable three costliest wholes at intervals the international IT services sector and named the fastest growing IT services complete in an associate assessment done snd to face live class-conscious as a result ofthe prime leader globally by by whole Finance. We ter ‘among the foremost effective Employers by Forbes, the most effective doable leader Institute and 42. WIPRO CO.,LTD 424 1. Company History porated within the year 1945. The Wit ib Lid, the flagship company of the Azim H Premji cluster was incor refined edible oils, ete., bit by bit oo *Porae started originally as a manufacturer of vegetable ghee!vanaspath the ‘Corporate has diversified into numerous alternative businesses. Tod Oday Wipro restricted is thatthe intial PCMM Level five and SEL CMM Level five certified IF Services solutions mation, package application development and Con "pany globally. Wipro provides comprehensive IT 1d services, together with systems 'Mlegratior tion, data Systems outsourcing. packaze im? ally. Mainte ; ance, and analysis and development serviees to fim & IT solutions and services for the company phase in Inthe I indian market, Wipro may be a leader in providin yetwork i the Rey oan Public of India giving system integration." curation, package solutions, and IT services. Wipro i . onal ncudes a probe presence in nce marke sexments of sn poduts and HENNE within Asia Fg, Pai ana the Mideast marks, Wine POY ies IT solutions and services for intemational x its equity shares are listed in the Republic of 1s market, among others. ibe’ a India DSs are listed on the big apple securities market me securit the securities market — metropolis, and also the National securii the Republic of India, the center East, and Asia Wi ‘re is that Tee Page hat the leading strategie IT partner for Finns e210 “ifie _ Eiving integrated IT solutions. They plan, depley Sei . busines sustain and maintain your IT lifecycle through — gations, and skilled services. Wipro InfoTech helps you al oy "sourcing, consulting service hive men in you'r in Oe your organization despite what domain youre 7 in managing international purchases across hun bY their sturdy quality processes and made expertise 0 ging fr siness goals n conjunction with their best-of n IT methods to your b ly helps: you ind IT nb Md gy tess vets, they ab agg ORY Partners, Wipro InfoTech 24 onal lute desires, along with your hardware ‘aFUNDAMENTAL ANALYSIS OF IT SECTOR The vario us accredi 10 be achieved for each service they provide mirror their commitment towards ‘quality assurance, Wipro InfoTech was the primary intemational package company to realize Level besides, because the tions that they need five SEL ms I-CMM, the world's initial IT Company to realize Six alphabetic characters, S iital company to realize Level five PCMM Their continued success in the death penalty comes may be a result of their demanding implementation of ‘along with your business providing complete IT lifecycle management. provide you with the ality pr 'Y Processes. Deploying quality frameworks to align 04 thi ne thing about a swish and clear transition where ‘cheniiy and petestion ae esl of tear 0 ss quality benchmarks and this has been cir ©y discriminator whereas serving drive the business momentum y recognized standards to make sure of The company’s expertise and experience are measured against global Wipro InfoTech epitomizes quality Seis ee to delivering competitive solutions to their customers ote, a high standards in commission offerings and pro age Mangement They believe in perpetually scaling a ‘on the far side oftheir basic IT offerings malty standards by increasing our potency in ‘at Wipro InfoTech, their innovative thinking Dittere te ts understand innovation in mameows WHS that, rz = adopt newer business lines and offerings that supported your business e | 1/98 0 0.00 Pre-operative 0.00 | et oa Expenses pending ay at gpanTe PA TszaO | Assets in ost 500 *4 000 ae [pagan 21860 | ae Taare} 15,704.00 | Non-Current 7189.00 | 2186.0 i os sers cong Tomtom | OM 552.00 [savor | 35FUNDAMENTAL ANALYSIS OF IT SECTOR 21,99 8.80 | 24,841.20 | Other Non-Current 7,152.00 | 887.00 Assets 340.3 3430 | Total Non-Current | 18,371.00 19,783.00 Assets 10,648.60 | 9,502.00 | Current Assets Loans & Advances 7035030 12590.00 | Curent vestments "] 28280.00 35,073.00 0.00 0.00 Taventories 70.00 | 25.00 4352.50 | 6,007.80 _ | Sundry Debtors 74029100 | 18,882.00 FTA 42,567.30 | Cash & Bank 3500.00 | 3,487.00 GE PORIO | 5867130 | Other current Assets 70,484.00 [7,673.00 Shon Term Loans & [7529.00 3,082.00 ‘Advances “Fotat Current Assets | 79,032.00 66 222.00 TEIRDO | TO.1S.10 | Net Curent Asset 736.00 | 54,164.00 (including Current Investments) oo 0:00 Total Current assets 50,752.00 | 33,149.00 Excluding Ci Investments iy” SP ares Loose | 0.00 0:00 Faiscatancows «| 0.00 Ta Expenses not writen es off Saas 0.00 000 Total Assets 57,405.00" | 88,005.00 ORS 0.00 0.00 Contingent Liabilities $505.00 | 7595.00 Sa N Foral Assets 37,403.00 | 88,005.00 alas in F |___riities | 650 7,595.00 Se. ‘oreign | 23,056.20 | 20,783.10 Contingent Lisbilites 6,505.00 | ™ NOY ae | 25:00 NSN Total Debt soo | ee soFUNDAMENTAL ANALYSIS OF IT SECTOR Dien Re = Book VaheGaRs) [20941 | 000 5 ‘Adjusted Book Value [209.71 | 0.00 (in Rs.) & zy 3 z 2g] rt ings 44,458.40 | 39,180.70 i Caigh WHY Share 7205.19] 908.50 ay ttPeaE ame 8,250.30 | 5,841.60 ve Sr Ra 14,201.80 | 15,289.10 m Vag tt Tnves Woted Bonnents [7,797.00 _ | 9,552.10 {| | “Table No. 5.1 Balance Sheet : “Stenson hc nani statsment of incom . ind of investors and these financial state ans ofthe co a impact upon the mi s company has 2 song IP enough ands 08 BeOS or they will ‘can lead to an overall he registrar of] loss for funds y. pa to which there may be a stoppage of SOM? ting” T Company needs to prepare these statements SVS year shareholders Noggin ton torte and even showease 1M or and this given "ciation schedule, 2 is followed # PoeFUNDAMENTAL ANALYSIS OF IT SECTOR The fina cial statemet sment not only includes the balance sheet but also includes the income I flow Statemes mts. The ii he income statement is a statement whet ‘issatemen tel Ips the investors. investors and shareholders to getan idea about how the company | dow: arises in comes from the services provided by them. The income sttem it may show whether @ compa no Yeas o F more may ever may even indicate a trend where same kind of a part 3 cular source “amen indica and how long the company will be able (0 2021" the ates wi 1 one Following year is not “then cai hhether the expenses made i Ips the investors 1c by the company and this hel ication is needed for the sam: growth and increas 'y think about t he funds as these factors also determine the Future fits earmet The income a statement "Oe with the sen sans with the heading revenues and it ends with the pro ce reserve “ey hi « to be ereated by the company and even the tal” reserves a8 is to be transferred mandatorily by the company for that year and ever an fr, | "rcoming years. Af | sen fer the completion of the income stateme i ie ys, The heads means the operating at, the ets as per AS 3 and comply with the eqwiremen a "S Wher e the company has to bifurcate among three m=! activities mainly ons. es. After that, there a este le “tamara activities. The operatin me wtonens the company performs the primary funct wri to be made below the operating activi a pur! and wee ngs aetivty where al i ensnction spre, and ato ih ie HES give various desert ‘There are certain 1 PF re act snase and sell of inv the com npany invests for the assets oF there 5 es the last act ing F shares “heat ig oe , securities, bonds, ete are recorde % recorded under this activity: Ro for year 17-18 and fo Rs 1207 er07es on of Financial Statements of wip! gn oc they tind th the company was Rs 905 crores FoF increments can be an increase in the ‘Shar op, tes ‘ 1 employees to generate additional cAP! yany ‘ to eg ne tes ue ty Ves which shows an inereasin® trend. I th 4 hy lg He re the indicating trend where the €O™P Tey ‘enue re serves, The capital reserves re all the expenses and revenue are reco excess then the prev ‘company must prepare t cash flow statements compl 1 for which sivity whieh ceash is involved for statement and cash ded and snages its expenses sats when compared between ny has a consistent revenue revenue, even this us yearand and shareholder to of profits 1 by the company | applicable forthe carry forward the the eash ty with the| ies, investing ions about the core rovisions for whieh vities of investing ash is is termed the sale and 1 received for the 18-19 for 18-19 and the ‘company m8 = aFUNDAMENTAL ANALYSIS OF IT SECTOR created 2 which ca not be revenue reserv Utilized for the iss lized forth issue of bonus shares and the next concepts the revere resene lS fom operat erating activities ising the revenue of the company | Mshateholder fund: ler funds are i are increased from selling the share of stock and r fect for the same. ad alog with en at, the o 4 the operating expenses are to be reduced to give a net ¢ ged thatthe company will be rowed a ean and Asa ‘ompany is having such k such Inge reserves, it ean be even not ebro and «previous year the company as POL bot iat ed in th e balance sheet “Yese loans cann: : i. sheet in the current as well ot be state aed under long term liabilities The abilities a stated by AS 22. Under AS ‘put it hs paid for the current Year and sny has to pay tX 17-18 and 90" rare ‘wo con cepts regarding deferred tax assets and deferred 8 ii , defer ed tax mi eans a c company has liability of tx for the FOU ilities mean the comp will | beta se off fe "bear forthe same in subsequent years. Defered year but i Madore but itis created for the Future. This company had Rs (72.40) rors for year Thee tax asset at Rs (22) erores for year 18-19. fet re Rs 1085 crores # sof tis date and it was 1309 6rreS x fora short te shows the company Are tainly 0 Previous a ther long-term liabilities which wet ar cong hich shows the company has bee” boty, eany does lee taie Ne any tnetem™ trade payables for any ©! borrowing mone’ the years and this are cena in e long-term provisions for the company which S35 reary 169 crores for yeas 17" 18 and n0 for more than ayeR™ ctor eS. The: se long-term provisions are those Prov#s' eet ofthe company and ed in the balance s investors re Ying main det "eu tails about the assets of the Co! pportunites "coy Many ¥ since the 1970s with excellent grow! and providing | excellent 0 M4, Ma ea gy, 84 nun "2 cg, umber of profits. a mens ms on the Financial statement of TCS comPENY pn tein of HOES an ai yorthey Nag al sta r by aoa of the company has # stron impact UF on funds (© the compan) we "ot finda dae ’ne whether the company vith be geting enous ads to run the coma ne activitic ape Y. The to which there may be storPeue ors ies Ma and company needs to prepare these statements ever) eRe ia “tin othe *T authorities and even showcase 10 the the in ever or med ements Play a major role among the mind of ho in esting Mes hy 18 their money in the company fOr i Ve to my orga Mandatoly comply with (he seh dep ciation schedule, 2 is followed #° hwo =FUNDAMENTAL ANALYSIS OF IT SECTOR The financial statement not only includes the balance sheet but also ineludes the income statement and cash flow statements. The income statement isa statement where all the expenses ane revenue are recorded and this Siotement helps the investors and sharcholders to get an idea about how the company manages its expenses and 4ow itarises incomes from the services provided by them. The income statements when compared between two « it may show whether a company has @ consistent revenue from ears or more may even indicate a trend whe ® particular source and how long the company’ will be able to receive the same kind of revenue ever this Statement indicates whether the expenses made in one following year is not excess then the previous yearan | ame by the company’and this helps the investors and shareholder to ititis then clavti is then clarification is needed for tl ‘Wisely think about the funds as these factors also determine the future growth and increase of profits The income statement starts with the heading revenues and it ends with the profits eamed by the company ‘long with the reserves to be created by the company and Sompany which is to be transferred mandatorily by the company ceven the statutory reserves as applicable for the for that year and even carry forward the balance for coming years. After the completion of the income siatement, the company must prepare the cash "low statements as per AS 3 and comply with the requirements. The cash flow statements comply with the ®Xtvties where the company has to bifureate among three main heads means the operating activities investing vities mainly give various descriptions about the core *tivities, a ‘Wities, and financial activities. The oper 1s, There are certain tax provisions for which tivitie function: ies under which the company performs the primary Funct activities. After that, there are activities of investing the Arangements are to be made below the operating, ee ee ee riine ero e S aee erated, and that effet is shown here as the cash is involved. There comes the lst activity which is termed *S Fined ativiten and under tis ncivty where al he cansaction were eash s involved for the sale and Ce ee eae ines stm; ‘ment is to be recorded under this activity. between FY 17-18 & FY 18-19 * Comparison of Financial Statements of TCS The eee c : Share capital ot the company was Rs 75:66 eres for 1718 which ese 1 RS 78.898 crores for 18-19 mber of shares as allowed where a company A the» er reson bend the inerements can be an increase in ths additional capital 11 reduce the wealth of the actual investors, ray Y kive and this indicates the company and this is bonus shares to employees to wenerate pany sd th 1eof new shares ie ef sitive news as the ist he 7 Ola ey is eaming good profits and these profits re then 1 trond where the company "nse ng trend wh serves are the indicatin trend. It may be due to an inerease in capital reserve or yj 19 the Feserves which shows an inereasi tice eel ee 40/ sti ce from operating activities. as The shareholder fu ing the share of stock and raising the revenue of the co is are increased from selling ing P of the company and along wit 18 With that, the operating expenses are to be reduced to give a net effect for the same. Asa com pany is having such huge reserves it ean be even noticed thatthe company will be debt-free and as indicated in ti ie 5 7 the balance sheet in the current as well as previous year the company has not borrowed a loan and these 4oans cannot be stated under long term liabilities. The sec “ured loat cay loans are the loans for which any assets are pledged for short-term purposes and these loans are ually used to meet working i to meet working capital requirements and as indicated the secured loans are reduced for both Years, Th 1s, a company figure indicates itis constantly working for reducing the loans of the company '$ 22. Under AS. here are 0 fe by two concepts regarding deferred tax assets and deferred tax liabilities as stated by A’ int year and », 2, defer rs ed tax means a company has a liability of tax forthe future but it has pai forthe cur fat of rhe sme in ubenuet yor Deferred tax liabilities mean the company has to pay 1 curren te 1 year but its ereated forthe fature. This company bad Rs (2,627) erores for year 17-18 and now 1 leferred tax asset at Rs (1758) crores for year 18-19. here ate ce centinly other tong-ter liabilities which were erres as ofthis date and it was SB] crores for the Previous year year wi wi short term. Year which shows the company has been borrowing money for a short te Sompany doesn! sn't have any long-term trade payables for any of the years and this shows the company is % longer abe Th Te are iggy Tai loner provisions for the company which was nearly 88 crore for yeas 17-18 and now 0 Ne Tes, These long-term provisions are those provisions that are for more than a year. dings of current liabilities t ade Payables are regarded as the current creditors which are under the hea pany is witnessing a credit i Means Michase the payment for the same has to be made within 12 mnths; The com brigg voT SOME time due to whieh there ist drostie change in the figures which was 4775 crores and now Tey 9 it rosed up 10 7692 crores. The oy ro ' investor as these are the much necessary for the i in one year. The liability Tent liabilities are those items that are not liability that is tobe paid Qi "sel eu ‘ Algg 'S amount that is added at one place indicating, en y increased with an increasing trend 1 particular ct on the company £0 Ua) fg tia i, il Fe aly ies have been increased which may ereate an a@¥eRe ef QL _FUNDAMENTAL ANALYSIS OF IT SECTOR | The study ofthe balance shect is incomplete without the study of the Assets ofthe company The ase 7 ets are the core of the company which is much important fr any company to sais the Bing SON h shows the non-current assets which] once = Under the concept of assets, there exists a fist concept whic nw a hich are tangible, and these assets are reduced b ed depreciation mainly at the end of nd this is said to be a non-cash expenditure, Further, certain yy an amount cal losses are are said to be impairment losses basicall mnt assets. The company is not facing any company. The non-cutent asses are recorded the gross value to be recorded as netblocks where ‘he financial year for the wear and tear of assets peof these ly for the non-cure ese eri api ao cprciaton isto be deducted from the sae epreci lation needs to be calculated as per schedule 2 of companies been reduced as compared t0 the jtalized in books of accounts. later these assets are act 2013. previous year which There ig is a capital WIP for the company which has ortion 0 ments where only cates that the company has completed some P* the asset which is cai some investments are liquidated. Th ee a ie no significant changes under non-current invest be "éterm loans and advances se which are the ases ofthe company fr more than one Theo mg-term loan and advances mean the advancs nas reduced to about 4535 ers. vat he company had about 6032 erores and now Ht are inrease in vai om 87 corso 1152 ores There 1e some other non-current assets and these #S521 71 crores. ang the ol of non-eurent assets has been ranced 10183 ee main items under to be valued pro} Rs 68,222 orores to 79,302 crores. surrent assets are inventories, debtors, he ex line item is the current assets andthe items are been increased from ad S#sh and cash equivalents. All the line # pperly and this forms a major part of | as Sets. The value of current assets has shows the position ofthe company has been growling ent liability which means the Fablity which has an wn the circumstances of the lee ls has been an increase he assets which in ously in the market. There is even @ contings ore en future that may or may not be payable it fy a hii na been deresed scared me MEE year wh near future depending UPo hich indicates that the company - ov ered or paid a certain amount of Money: and which needs es this is an overvalued company icat company is witnessing Ty boo value per share has been decreased which indi tuced which indicates that the "be Adjust fag, ted accordingly and the total debt js also red Thy al tng tl the above intormation indicates that 7 “Olle ion from the creditors cy agaressive growing company wilt cS is a strong and ver r fay e and market prospects.FUNDAMENTAL ANALYSIS OF IT SECTOR Q . ior corres RATIOS ee A WIPRO = Se rn arid [Maris | Parameter Mar'id | Maris MARATIONAL & ‘OPERATIONAL tumog4e &FIANACIAL ted RATIOS (gj Per Share | 12.62 1707 Famings Per Share | 80.17 T2115 7 @s) eS) T 7 DPS (RS) 30 30 a7 Share| 81.42 93.03 Book NAV Share [200-71 [ 39730 ak @) ‘GIN RATIOS MARGIN RATIOS ee Coststo 10 7 ‘Operating Coststo 0 0 Y; Assets oo Sulavestments | 0 7 Yield on tavestments | 0 7 penal 7 7 Conf Lubinnies [0 7 0 0 = 7 7 iM Re 0 7 Tnterest Spread 0 0 ‘ORMAT PERFORMANCE pares Be a _ bg7o [ROA 122 1375 eer ROE@O 1609 Tat NG 07) a | ROCE@™) 2027 206 eERSy—t————__| EFFICIENCY | RATIOS | Ratic 0 0 Seene Rae] 7 Goat Tacome Ratio Rage RI [OL aera ost Income] ° 0 Se : }___ fing Costs to 0 0 ing {__—_ Operating | }————| ITALISATION Se ‘atio {-——o_| Fier | ratio 0 0 e Sd Fier ratio 7 0 — 3FUNDAMENTAL ANALYSIS OF IT SECTOR car i o 0 A VatvaTION CAR 0 7 ARAMETERS VALUATION PERG PARAMETERS Pea wore [a7 | PERG) 395 | 1078 Peas 79K 1437 BCE - ae TS 2 33 305 Price Book() | 954 a Rivers 0.39 036 Yield (%) 15 Las em ea® 3.08 253 EviNet Sales (@) [602 350 = fe FSA 131 Tat EVI Cow EBITDA [174 Ter WR &) Br Ter &) 14.28 12.56 EW/EBIT ©) 15.14 1693 . 2.23 225 EW/CE() 761 615 i wo = 719 735 i Capi Sales 609 350 W a ear GROWTH RATIO in Opera home Guin 36.59 17.88 Gore Operating F666 a5 =e Income Growth in Grong Profit “0.91 “eal Operating Profit 26.73 G16 Growth NaPromGrowh [19.11 a > BVPS Growth can ET ao Favances Grown [0 7 ov ai ()|-26.08 FPSGromn ee) [3933 i007 Cs LT TIQUIDTY RATIO Sy Deposits | ibe |? 0 Lome’ Deposits) [° 0 (ye a 0 7 Foul bev Equity | 0 Ta @) | Soa pre 0 GonenRaoy [9 7 | ms XK) | ___— ae fo Obom > 0 0 Quick ratio (9) | RN eo 0 Toabavmce |? Cue an rc) | ++ i 0 0 Net NPA in Rs. 9 Million _ ante No SE Ratio Analysis a4FUNDAMENTAL ANALYSIS OF IT SECTOR SUL Ry ‘atio analysis of the companies © Und lerstandi standing of ratios of the companies and analysis of rat rs and the shareholders where they year-to-year basis esto get to know cos are helpful for comparison o” vest in the company of not, Ratio analysis c=” re are four asc varieties of . ae cs important rote mainly for the inv Seater of the company and these rai lps to take various decisions whether 18 and even the prospects: 19 general, the ow the compa npany is performing iy, solvency, and valuation "adopted Ped in ratio analysis: profitability. au Be most 5 mportant ratios under whieh it becomes ness” to understand the same © We a Capital Ratio, k Ratio, Ean hee Per Share (EPS) “Eamings (P/E) Ratio. «ey as | Nm on Equity (ROE) lin alyst to give a judgment also helpful forthe a ty tone Se isjust an exhaustive list as various ote" ratios are ™mpany, a a maby Rates ie ily . Ni ages8 fndamena feature to analy7e whe" dering an investment ina company. This sbeeas ature wo analyze wen consider Raya NS lone don’t - nto high camings OF high dividends. In general, profitability Penge tks necessarily translate imo Hi a titi 2 analyze business productivity fro vp angles sing 4 Bee management. and mere “the ecrmpany focuses om SECHTACS defence, ment, business process Managemen “ss ae ener insti | “Motive, education, financial health retail. and oth ‘4 & Cognizant = xin ehnotony consulting 204 business “zant Techn ‘company that provides infor tutions isa company ms? eae Sas ology Solut vee hough four semen nani Services: Healeaes Products and cing services. operates HONE ee : hae oe is sions, Media. and Technology: Cognizant offers digi ae Selle ona jeation testing, application wn ne ores ” gompany also deveops, Heese Atenas, a va busiess PGES “services. The COMPAPY Ps "een ns soper a sare products and platforms "Ments, and supports propriety sand third-P" s * Mindi findtoee takes a7 a8 collaborative approach frastructure and tree detivers digital transformation and sompettion ‘our deep experdse #8 18 to run your business More 4 cli ents to outperform the © ai in 8 customized solutions 035 ol ations management tus FT in? induree o#” ie ly or accelerate reverse BF"CHA?FUNDAMENTAL ANALYSIS OF IT SECTOR (CHAPTER 6 = FINDING: hic hich age group do you belong to? market whereas elderly people soup from 16-25 ie., mainly t Nt tbove | ea, Die chart, itis visible that the youth are mors = ean notice that th Ugg PVE AS have Less interest comparatively. We ean Bet that aged in vloeinvesting where they the youth are Woles Noy eomeeand before reaching he a8 of maturity, thinking of secondary alternatives of ineo™® “which isa positive sigh Me Beou prefer toinetinTcomearte? ow ew Ste in rT companies - r 537 YSIS OF IT SECTOR 1s. As they find that IT companies ‘pout trading and investing which ential to get a bullish trend FUNDAMENTAL ANAL’ re preferring to invest in IT compan isang {0 see that more % of ppl al stic al eople are more enthusi the the future of the CMG Techworld. Pi ving great pot IT companies are hi des them an additional income. Furthermore, nvestors ete, nd of a pandemic which will boost the confidence of ’y Which rt company is known asthe veader of market? 'Strerpanses 5, Leader ofthe Market Fig, No. 6. lear es wrvesins, YON very carefully ieee their second in makes investor think for IRE leader which |g OY invest ket a Nig investment as the market al en the eompany as they are more . ery Wel Q, the survey is TCS and res ae guipRo and TATA BLXSI A considered alterna for th the market leader and the by investors ily for 'y for investment point of View 54L ANALYSIS OF IT SECTOR ( FUNDAMENTA‘ uy owas 11 ere the valuations of IT companies? @ ovewued S orranet Snows Ya jg No. 64. Valuations oFTT companies mites ie are having bli trend post oF eves aocoeing 0 given Sa respondents ae having # option which means renga 7 eaNPAS oP ey fet ike having tis vealed “bet wy re they are opting for a neutral inority respond just 10% of 57" dems are bullish on this Sector Furthermore. 1! ig orhave Ady, havea fall in short period: Y are ep “t i lanning to short their position in ne! future. i & pane among the inverio cokes traders due t Hack of confidence s Whic ; chara do you do saning nteooermt orca Grom! Soon stock Market ny rig. NOS spvesument 0 Nigam ghodsie sandamental analysis technical analysis, ing ents while investing oF tains rely onthireo om pail pe books oF #000U and understand the financials of 1 expert, Fundamental mea" to study the 55 pe 8FUNDAMENTAL ANALYSIS OF IT SECTOR on nanies and th md this method is mainly used by them whose main motive is value investing means to allocate for next 5-7 years. The technical analysis is used mney into the market by taking ‘te funds nds and forget the same by those traders whc a ¢ traders who are ing for day trades or swing trades. Some respondents just pour their mot | hice fro 1m market experts and may get good profit or may even fce losses for hei getions | 6 | Have you heard about the Nifty T Index? No. 66. Nifty IT Indes Fig. farious stocks satis iy the criteria to get listed are tun a the 0 indexes ie., Sensex and Nifty50. Under this index. ¥ index. On similar lines, there are various ther indexes, the Nifty IT index, Nifty SmallCap index, anc ve nearly 7196 of espndents ae now 10 urthermo having better ko cover the other respondents 1c to the respondents sare ledge about the secondary market gain an edge be Hyg Me options availabl Ine of te index which indicates thatthe response eth who are not hey are investing money and this helps ‘eM 1° Nell vrs ed with the same coneePt 56FUNDAMENTAL ANALYSIS OF IT SECTOR | Pie7 Do IT companies have a great future? @ Stora Aree oie @ Neurst @ dian06 © sions Oag0 Fig, No. 6.7. IT companies Future "oy mmpanies have been ata higher tren and this statement is also backed by the respondents where nearly ‘with the same and they have robust confidence which helps the long- 0% even agree with the growth of these fa MTof the sample size strongly agree ‘em jy investors to get a valuable return on their investme! Spa Panes and there are minority stakes that disagree as according to them 1 le or even bearish. ant, Nearly 859 ‘ las 4-5 months and now it may be in a consolidation mod Which I stock do you have in your portato current? ers @ Rote nobie Fig, No. 68. IT stock Ht Portfolio re selected by the respondents where \ Ne companies that a rte EE and quick returns in Mer, ecific IT Sag tying the IT sector, tere are specific T id as to where the 75 fey ‘© investor it may be 57 im —— ee = | _“AL ANALYSIS OF IT SECTOR future. TCS + considered as the market leader and as indicated by the ie chart TCS is selected by FUNDAMENT! most the respondents and even by some respondent's Tt es ‘spondents and it shows greater confidence amon hem for some good profits, th peer companies like Wi is like Wipro, HCL tech is also selected by 1 jh ies He low has your portfoto strengthin the last five years? 1S sponses Fig. No. 69. Portfolio Sensi? nade by the respondents whether sts ave pends upon the way she strength de portfolio and neatly 15% he Hine the way the investime pon and even the market tends js have an a ste "ngth of a portfolio mainly depends 4 follow fi low fundamental or technical analysis 11% 0! portfolio factor down th fresponden role in deciding the stocks, are selected to be invested. Neatly ealth created: trends play @ major yy even We alow Ww-level portfolio. The market destroy the “live ye, “ars, The inevitable condition like pandemic m2) 68 oeeC ss TE FUNDAMENTAL ANALYSIS OF IT SECTOR ew Was the thet? sector affected by the COMD-19BNGETICT 'stresgonces 0, Esfects by COVID-!? 1 sectors. With th Fig, No. 6.10 he other «outbreak of pandemic and ver the indices were drageel ‘ofcomplets lockdown. pandemic aja sharp fall wh ye news ected by the rt, nearly 37% y NT seta ree coirenars Cae th witness ahuge loss with th enaipied them 10 be less ding to the repo" ten losing ei 1 entire control, the entire stock and traders surrered "nb Mea ly 10-15% and the investors Tse ctor g ee ee which e fe sector. Accor pack on track; ith the reo pening it gained 2 Shar? SUB throughout th sy es ind woes situation vs ht for a vet Reg the by, ey were ; ere affected but this "8 Were lunder control and this h feu Do Boyou compares oom 20%