A STUDY ON EXPECTED RISK-RETURN OF SELECTED STOCK WITH RESPECT TO GROWTH INDUSTRIES

Investors' investment activity usually revolves around high-growth industries in order to take advantage of growth in respective industry. Expected Return, Expected Risk, Co-efficient of Variation (CV) and Beta of stock have been calculated and sectorwise comparative analysis of all the above parameters have been made to analyze and present the performance of stocks of 35 companies across seven sectors. This would help investors to identify the expected return and risk associated with the stock in relation to the stock market and support investors to make appropriate investment decision. From the analysis it is found that a risk averse investor can consider investing in Godrej Properties and HDFC Bank because both these stocks have higher expected return, lower expected risk and low CV and Beta value of less than 1. Next category of the stock that investor can consider investing in will be the stocks of TCS and PVR because both these stocks have higher expected return, lower CV and Beta value of less than 1. But in terms of expected risk, both of these stocks have higher expected risk.