Impact Of Fundamental Factors On The Share Price Movement Of Indian It Stocks
European Journal of Molecular & Clinical Medicine,
2020, Volume 7, Issue 6, Pages 3213-3221
Abstract
The stock market is the barometer of the Indian economy. Trading in the Stock market issubjected to market risk, and therefore returns can be affected, although it provides
diversification to the portfolio of Retail investors, HNI & FII clients. The investment
pattern of each category affects the growth of the country. As investments reduced due to
risk aversion factor, the GDP fall to 5 percent for Q1 FY19, which is the least of the six
years as per the annual report of RBI, resulting in a domestic slowdown in Q2 FY19.
This research work aims to study the blow of an assortment of fundamental factors like –
EPS, DPS, Net worth, P/E Ratio, Current Ratio on the share price movement of Top 5
performing IT sector stocks listed on the Indian stock exchange. So, the long-term
investors should look on to the fundamentals and invest wisely to earn even in the current
economic slowdown situation of FY 19. The results suggest that these two factors affect
most of the share prices, namely- EPS and P/E Ratio.
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