AN EMPIRICAL STUDY ON THE PERFORMANCE EVALUATION OF IPO’S LISTED IN NSE

Abstract

Initial Public Offerings are picking up prominence universally as a noteworthy wellspring of raising assets for the organizations for nutriment their development by utilizing assets raised from such issues to either expand or to bring up new creative strategies. IPO are also gaining significance since it lays down a platform for gaining extensive profits on the Listing day.

IPO ranks top amongst the biggest wellspring of boosting resources for the businesses in India. By learning about IPOs it helps the financial specialist choose whether the investment matches their necessities and gain optimum returns. The aim is to comprehend the mechanism of IPO procedure and to assess the execution of the IPO’s being listed on National Stock Exchange.

Method utilized for the study is Descriptive study and the information is gathered from official websites of respective organizations and National Stock Exchange. The sample population of the project comprises of 111 IPO’s which are been recorded on National Stock Exchange while the period of the study from 01/01/2012 – 31/01/2018.

Raw Returns, Market Returns and Market Adjusted Excess Returns (MAER) are estimated to break down the performance of stock. 0ne way Anova test of hypothesis is utilized to analyze the factors.

With critical Analysis and Interpretation the conclusions are drawn which says that IPOs are one of the possibilities for gaining profits than perceiving it as an avenue of broadening investments.