An Empirical Analysis of Stock Price Volatility: A Study of Samvardhana Motherson International Ltd using Historical Data

Dr. H. Mickle Aancy, Mr. Somnath S

Dr. H. Mickle Aancy, Professor, Panimalar Engineering College, Chennai - 600123 Mr. Somnath S, Student, Panimalar Engineering College, Chennai - 600123

Abstract
This study analyzes the stock price volatility of Samvardhana Motherson International Ltd over a five-year period from 2021 to 2025 using historical data to understand its price movements, trends, and risk-return characteristics. The research is based on secondary data collected from reliable financial sources and uses simple statistical tools such as returns, standard deviation, variance, beta, and moving averages to measure fluctuations and performance. The findings show that the stock experienced noticeable ups and downs during the study period, with phases of strong growth as well as periods of decline and market corrections, indicating that the stock is not completely stable and carries a moderate to high level of risk. At the same time, a recovery trend was observed in the later stages, particularly towards 2025, suggesting potential for improved performance. The study also highlights the role of overall market conditions and investor behaviour in influencing stock price movements. Although the analysis provides useful insights into the stock’s past behaviour and helps in understanding its volatility, it is limited to historical data and basic analytical methods, and therefore may not fully predict future market conditions. Overall, the study offers valuable information for investors and analysts to make more informed investment decisions.