BS 200
BS 200 stocks account for over 85 per cent of the volume of shares, value and trades on BSE and NSE. Routine information on other stocks are given separately under Other Traded Stocks. Only NSE quotes are given in italics for all other stocks. For the remaining stocks, we carry BSE quotes.
For BS 200 stocks, the company name is followed by its BSE group in brackets and the symbol indicating the paid-up value . Four categories of information are provided : First, the basic information on the day’s trading. Information is also given on the number of shares traded, and the number of trading transactions, as also the price trend with highs/lows (3-month and 52-week).
The third sub-set of information is on a particular stock’s one-year return calculated on a point-to-point basis for 1 month and 1 year followed by market cap.
In order to assess a scrip’s future potential, the table contains ratios on valuation, profitability, strength, growth and efficiency. The idea is to get an understanding of why a share may be active and what is in store at the counter.
In this segment, a new byte of information is given every day:
On Tuesdays: 1) Cash P/E, 2) Industry P/E, 3) Quarter on quarter EPS growth (Q/Q), and, 4) Standalone EPS in the trailing twelve months (TTM). On Wednesdays: quarterly EPS for the last four quarters.On Thursdays; 1) Dividend yield %, 2) Payout ratio, 3) Free float, and 4) FII stake. On Fridays: 1) Book-value per share, 2) Price/book value, 3) Return on Net Worth (RoNW) and, 4) Return on Capital Employed (RoCE). On Saturdays, the focus is on the volatility of returns using: 1) Alpha, 2) Beta, 3) Standard deviation, and 4) Mean
P/Es have been arrived at by dividing the day’s closing price by its reported earning per share (EPS) for trailing 12 months. EPS is calculated on the basis of consolidated earnings wherever available.
The industry P/E is the aggregate market capitalisation of the industry divided by the aggregate standalone net profit (trailing 12 months) of the industry, after excluding loss-making companies.
The market capitalisation is shown in ~crore and is arrived at by multiplying the closing prices of shares with equity capital. It changes either because more shares have been issued (or extinguished) or the price has moved. Book value is net worth (equity capital plus reserves and surplus minus accumulated losses) divided by the number of shares outstanding as reported by a company. Price to book value ratio compares the prevailing price to BV.
RoNW is the ratio of net profit to net worth, while RoCE is the ratio of PBDT to capital employed. Capital employed is net worth plus total long-term borrowings. High RoNW and high RoCE imply a business is capital-efficient.
Standard deviation in the returns of a stock measures the volatility of the stock over its trend. Beta indicates how much the scrip moves for a unit change in the index. A negative beta indicates the share moves in a direction opposite to the market and vice versa. The beta of the index is 1. Beta is used in conjunction with R Squared to draw inferences of volatility.
Alpha is the excess return of the stock above the risk-adjusted market return, given its level of risk measured by beta. It is the return given by a stock when the market index has zero movement. A positive alpha indicates the stock performs better than expected, given its beta and viceversa. A high alpha value indicates the stock has a strong trend independent of the market’s moves.
R Squared is the square of the coefficient of correlation between market returns and stock returns. It is the percentage by which the market influences an individual stock’s movement. R Squared could range from 0 to 1, where 1 would indicate perfect correlation between the market index and the stock and 0 indicates no correlation.
Open Interest: OI is the number of contracts open at end of day in the futures and options segment. OI thus indicates traders’ expectations. High OI is typical when traders see a continuing trend.
Market Lots: The designated value of a single F&O contract. This differs from underlying to underlying. For example, it is 50 Nifty and 25 Nifty Junior
Strike Price: The price at which an option may be exercised. An option is “in-the-money” if the market price exceeds the SP (in case of a call option) and the market price is below SP (in case of a put). Otherwise it is “out-of-money”
Expiry date: The date on which a derivative expires . An unexercised option becomes valueless while futures contracts are compulsorily settled on expiry. On NSE, it is the last Thursday of every month.
Put/call ratio: The ratio of open interest in put options & call options.
Average of daily returns of a scrip in the last 30 trading days.
formula= sqrt (((n* åy2)- (å y * å y))/(n*n)
formula ((n * å xy) - (å x* å y))/(n* å x2 - (å x * å x)),
formula (å y/n) - (Beta * (å x/n)) where n is 30 trading days, y is å (sum) of daily price returns of a scrip for 30 trading days, x is å (sum) of daily index returns (BSE Sensex for BSE stocks and Nifty for NSE stocks)
When a significant change occurs in the day’s closing value compared with the previous close, the close price is underlined. A significant change means a 3 per cent rise or fall in scrips whose market values are over 10 times paid-up value or 15 per cent for the rest of the shares.
The letters H or L appended to prices indicate a new high or low in the scrip; the letters XD after the traded quotes indicate that the scrip has gone ex-dividend after that date; XB denotes ex-bonus, XR ex-rights; XO ex-indicator for other corporate actions like AGM/EGM/ preference shares/mergers and others . M denotes volume of shares in million, L in lakhs & K in ‘000’.