Global markets crashed after the 2008 recession is one of the best examples. In such a scenario, trend analysis of stocks using a comparison of average returns and market returns provides an investor with information to make optimal investment decisions.
Due to diverse impacts and severe threats to investors, there is a need to examine the annual average returns and market returns of stocks in presence of financial crisis.
The annual average returns of a stock define the earning possibility of investor from a particular investment whereas the market return states the return deriving capacity of all stocks traded in the market.
This article compares the annual average returns against the market returns for the time period 1st April 2000 to 31st March 2020 into 5 different groups.
Stocks categorization is the process wherein stocks are classified into three categories. Ratio analysis is an invaluable tool for stocks categorization.
The study aims in understanding dynamism in the Indian stock market and formulating a model to analyze the dynamic behavior of investors. To this effect, investment in three different stocks i.e. income, growth, and value are studied.
Stock market trend analysis or equity market trend analysis refers to the process of examining the current trends based on the past and current movement of the stocks in order to predict future trends.
The stock market analysis aims at predicting the movement of the stock market and price behavior and can be classified into two categories: fundamental and technical analysis