ABSTRACT

Indian stock market has seen phenomenal and incredible growth in recent times. This is largely due to increased income level, change in investor’s behavior. The impact of annual performance on the price movement of the shares of the companies continues to be an important research question in finance. A study of the stock market with respect to factors affecting the supply and demand of stocks helps to understand the intrinsic value of shares and to know whether the Shares are undervalued or overvalued. The stock market indicators would help the investor to Identify major market turning points.  The objective of this paper to examine whether different sector companies has been able to generate value for its shareholders and to compute the performance of companies by applying new corporate performance measure EVA as per CAPM model of selected stocks of Banking, IT, Automobile sector companies.This study is purely based on data provided on stocks listed in Indian Stock market. For the purpose of analysis, techniques used as Average/Mean ,Standard Deviation, Co Efficient of Variance, Return and Beta.

Keywords: CAPM, EVA, Standard Deviation, Co Efficient of Variance, Return and Beta.