A financial Health Analysis of Selected Companies from Nifty 50 using Altman Z-Score Model
Keywords:
Z Score, NSE-National Stock Exchange, Nifty 50, ANOVA- Analysis of Variance, RBI- Reserve Bank of IndiaAbstract
India has become the world's fastest growing major economy and is expected to be one of the world's top three economic powers for the next 10 to 15 years, backed by its strong and largest democracy. In this paper Researcher has randomly selected five companies from Nifty 50 and period of study is four financial years. Objectives of the study is to check financial status of selected companies and compare Z-Score among randomly selected Nifty 50 Companies. Altman Z Score model has been used for analysis of study. In last Researcher has found that only one Britannia Industries Ltd. has come under safe zone, two companies’ vis Mahindra and Mahindra Ltd. and Shree Cement Ltd. have in Grey Zone and remaining two vis Tata Steel Ltd. and Bharti Airtel Ltd. have in Distress Zone. So, it can said that these two companies need to check their financial position and improve their sales and working capital position to come in good Z Score position.
Downloads
References
• https://www.ibef.org/economy/indian-economy-overview
• https://www1.nseindia.com/content/indices/Method_Nifty_50.pdf
• https://www.moneycontrol.com
• Pradhan, R. (2014). Z Score Estimation for Indian Banking Sector, International Journal of Trade, Economics and Finance, Vol. 5, (6)
• Altman, E. I. (1968). Financial ratios, discriminant analysis and the prediction of corporate bankruptcy. The Journal of Finance, 23(4), 589-609. https://doi.org/10.1111/j.1540-6261.1968.tb00843
• Kothari, C. R. (2004). Research Methodology. New Age International (P) Ltd, New Delhi, 2nd Edition.
• Chawla, D., and Sodhi, N. (2011). Research Methodology: Concept and Cases. Vikas Publishing House, New Delhi 2nd Edition.
• Fundamentals of statistics – V. K. Kapoor (Sultan and Chand)
• Testing Statistical Hypothesis – Lehman E. L. (Willy Eastern)
