Determinants of Stock Prices: A Study on the Indian Banking Sector

This paper seeks to study the determinants of the prices of the banks in NSE, India. In order to measure the relationship with the stock market price, the study utilizes firm-specific variables such as the PE ratio, EPS, net value, book value, ROCE, debt/equity ratios, etc. The analysis of pane data is used to understand the relationship among the macroeconomic variables and the closing price of the stock. A sample of 15 Banking stock from the period of 2012 -2020 was considered in the study. It indicated that the market capitalization had a low positive significant effect while Networth has an adverse impact on the Market Price during the said period. The Net profit/loss has low positive significant effect , while Gross NPA and Total Income has a slightly negative impact on the Market Price of the Banking Stocks during the COVID-19 Period.