Abstract

A company acquiring an ownership through transfer of resources and technical know-how is essential for a sustainable growth and to face competition in the existing industry. The aim is to study the effect of CAGR on Foreign Direct Investment (FDI) inflows into Indian Pharmaceutical sector, secondly to regress the stock prices of top listed Indian Pharmaceutical sector and finally to analyse the Generalised Auto Regressive Conditional Heteroskedasticity (GARCH) effect on the Stock prices of selected Pharmaceutical sector. The research methodology applied is descriptive, analytical and univariate analysis. Time series tool of Auto Regressive Integrated Moving Averages (ARIMA) and GARCH is applied for generating the output and the major findings from the study is Apollo Hospitals Enterprise Limited, Cipla Ltd and Dr. Reddy’s Laboratories Limited Lab are stationary and optimum model as per information criteria is at ARIMA, (1, 1, 0) for Apollo Hospitals Enterprise Limited and ARIMA (0, 1, 1) for Cipla Limited and Dr. Reddy’s Laboratories Limited Lab.

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