FINAL PROJECT REPORT ON
FUNDAMENTALANALYSIS OF HDFC BANK & AXIS BANK
-------------------------------------------------------------------------------------------- A Report Submitted to RashtrasantTukadojiMaharaj
In Partial Fulfilment of the requirement of
Master of Business Administration (MBA) Course
Specialisationin Finance Management
Academic Session 2014- 15
PRITI ASHOK MOHITE
Tirpude Institute of Management Education
Civil Lines, Sadar, Nagpur – 440001
INTRODUCTION TO THE INDUSTRY
OBJECTIVES OF PROJECT
RATIONALE OF STUDY
DATA COLLECTION METHODS
ANALYSIS OF DATA
LIMITATIONS OF THE STUDY
RECOMMENDATIONS / SUGGESTIONS
INTRODUCTIONOF FUNDAMENTAL ANALYSIS
What is analysis?
Analysis is the process of breaking a complex topic or substance into smaller parts to gain a better understanding of it. The technique has been applied in the study of mathematics and logic since before Aristotle, though analysis as a formal concept is a relatively recent development. “A systematic examination and evaluation of data or information, by breaking it into its component parts to uncover their interrelationships”. “An examination of data and facts to uncover and understand cause-effect relationships, thus providing basis for problem solving and decision making”. In following way analysis are described two categories.
The method used to analysis securities and market investment decision fall into very broad categories. Fundamental analysis.
Fundamental analysis involves analyzing the characteristics of a company in order to estimate the values. Technical analysis takes a completely different approach; it doesn’t care one bit about the value of a company or commodity. Technicians are only interested in the price movement in the market. What is technical analysis?
In finance, technical analysis is a security analysis methodology for forecasting the direction of prices through the study of past market data, primarily price and volume.Behavioral economics and quantitative analysis use many of the same tools of technical analysis, which, being an aspect of active management, stands in contradiction to much of modern portfolio theory. The efficacy of both technical and fundamental analysis is disputed by the efficient-market hypothesis which states that stock market prices are essentially unpredictable.
What is fundamental analysis?
Fundamental analysis of a business involves analyzing its financial statements and health, its management and competitive advantages, and its competitors and markets. When applied to futures and forex, it focuses on the overall state of the economy, and considers factors including interest rates, production, earnings, employment, GDP, housing, manufacturing and management. When analyzing a stock, futures contract, or currency using fundamental analysis there are two basic approaches one can use; bottom up analysis and top down analysis. The term is used to distinguish such analysis from other types of investment analysis, such as quantitative analysis and technicalanalysis.Fundamental analysis is performed on historical and present data, but with the goal of making financial forecasts. There are several possible objectives: to conduct a company stock valuation and predict its probable price evolution, to make a projection on its business performance,
to evaluate its management and make internal business decisions, to calculate its credit risk.
Fundamental analysis involves examining the...
Please join StudyMode to read the full document