FINANCIAL

MANAGEMENT

INVESTMENT DECISION
PREPARED BY : ARUNESH PATHAK
( 20SOMBA21033)
SUBMITTED TO : PRO. VIVEK PATADIYA
 INDUSTRY INFORMATION

• Iron and steel industry is often referred to as the backbone of modern industry because almost
everything is either made from iron or steel.
• The first indian steel industry was established in jamshedpur, jharkhand, in 1907 AD.
• Steel industry now contribute 2% to indian GDP employs 6 lakh people directly and 20 lakh people
indirectly.
 SAIL STEEL LTD

Steel Authority of India Limited is an Indian government owned steel manufacturing enterprise based in New Delhi, India.
It is under the ownership of Ministry of Steel, Government of India with an annual turnover of INR 66,267 Crore for fiscal
year 2018–19. Incorporated on 24 January 1973, SAIL has 65,807 employees.
CEO: Soma Mondal (Jan 1, 2021–)
Founded: January 19, 1954
Headquarters: New Delhi, India
Number of employees: 65,807 (1 Mar 2021)
• Owner: Government of India (64.9%)
 TATA STEEL LTD
Tata Steel Limited is an Indian multinational steel-making company based in Jamshedpur, Jharkhand, and is
headquartered in Mumbai, Maharashtra, India. It is a subsidiary of the Tata Group.
Founder: Jamsetji Tata
Founded: August 25, 1907, Jamshedpur, India
CEO: T. V. Narendran (Oct 31, 2017–)
Revenue: 1.417 trillion INR (US$20 billion, 2020)
• Parent organization: Tata Group
 JSW STEEL LTD
JSW Steel Ltd. Is an Indian steel making company based in Mumbai, Maharashtra. It is a subsidiary of JSW Group. It is
one of the fastest growing companies in India with a global footprint in over 140 countries. After the merger of ISPAT
steel, JSW Steel has become India’s second largest private sector steel company.
Parent organization: JSW Group
Founder: Sajjan Jindal
Founded: 1982
Headquarters: Mumbai, India
• Number of employees: 12,599 (2019)
SAIL STEEL LTD.

Regression Statistics

Multiple R 0.978778

R Square 0.958007

Adjusted R Square 0.957654

Standard Error 10.31963

Observations 121
 SAIL STEEL LTD
SAIL Closing Stock Price Anaysis

600
500
400 Actual Closing Stock
Stock Prices

300 Price
200 Predicted Closing Stock
Price
100
0
1 12 23 34 45 56 67 78 89 00 11
1 1

Months

• From the above chart we can see that predicted closing stock price of sail is neutral than actual closing stock price
of sail , so from regression analysis we can predict that it is risky to invest in sail than tata and jsw.
TATA STEEL LTD

Regression Statistics

Multiple R 0.935384

R Square 0.874944

Adjusted R Square 0.873893

Standard Error 43.93359

Observations 121
 TATA STEEL LTD

TATA STEEL Closing Stock Price Analysis

1600
1400
1200
1000
Stock Prices

Actual Closing Stock Price

800
Predicted Closing Stock
600 Price
400
200
0
1 11 21 31 41 51 61 71 81 91 01 11 21
1 1 1

Months

Observing above chart we can say that predicted closing stock price of tata Steel is lower than the actual closing
stock price of tata steel , So from the regression analysis we can predict that tata steel is better for investment than
sail But risky than jsw steel.
JSW STEEL LTD

Regression Statistics

Multiple R 0.985672

R Square 0.971549

Adjusted R Square 0.97131

Standard Error 14.94537

Observations 121
 JSW STEEL LTD

JSW STEEL Closing Stock Price Analysis

800

Stock Prices 600 Actual Closing Stock

Price
400 Predicted Closing
200 Stock Price

0
1 12 23 34 45 56 67 78 89 00 11
1 1
Months

• From above chart we can See that predicted closing stock price of jsw is lower than actual closing stock price of jsw ,
so from regression analysis we can predict that jsw is best for investment than sail and tata steel.
 CONCLUSION

Standard error of

Tata > Jsw > sail

( 43.99 ) ( 14.94 ) ( 10. 31 )

Thus JSW steel is first preference of customer for investment.

THANK YOU