BSE INDEX AUTO (AUTO) live share price today at BSE

The BSE Auto Index reflects the constituents involved in the BSE 500, and forms a part of the transportation sector. The BSE defines classification in the equipment transportation sector industry, and is selected from the BSE AllCap Index. The Automobile industry is considered an essential part of the economy, with a GDP contribution of 7.1%. It stands as the fourth-largest automobile industry in the world, according to the valuation based on the free-float cap. Investors can gain the opportunity for long-term growth and high profitability after investing in the BSE Auto Index.

The automobile industry is rapidly growing, so it provides benefits to the investors with high returns and growth. The companies in the automobile industry form a part of the manufacturing and distribution of automobiles, and the involvement in the automobile industry is not considered only with the manufacturing of cars and bikes, but also with the manufacture of the parts and components of it.  The BSE Auto Index serves as a benchmark, which allows investors to track the behaviour of the automobile industry, and helps in assessing the growth level of the country on the national and international levels.

The calculation of the BSE Auto Index is based on the float-adjusted market capitalisation method. The BSE Auto Index came into effect on 23rd August 2004, and the calculation of the share price is based on a real-time basis, represented in both USD and INR. The total no of constituents in the BSE Auto Index at present is 15, which has a market capitalisation of ₹717,194 million. The adjustment of the market capitalisation is determined against the freely tradable shares for calculating the float-adjusted market cap.

• The full market capitalisation of the BSE Auto Index is ₹2,817,661 crore, and the free-float market capitalisation of the fundamentals is ₹1,367,883 crore.
• The P/E Ratio of the BSE Auto Index is 29.29, the P/B Ratio is 6.93, and the dividend yield is 1.08.
• The calculation of the BSE Auto Index is based on the float-adjusted market capitalisation method.
• The classification of the sector is divided into transport equipment and capital goods.
• The weightage of the transport equipment sector is 98.56, and the weightage of capital goods is 1.44.
• The BSE Auto Index came into effect on 23rd August 2004, and the calculation of the share price is based on a real-time basis, represented in both USD and INR. 

• Companies selected for the BSE Auto Index must be part of the automotive sector.
• The stocks must be listed on the Bombay Stock Exchange, and companies must form a part of the BSE 500 Index.
• The frequency of the continuous trading for the last three months shall be not less than 90% of the trading days from the preceding month.
• The calculation of the BSE Auto Index is based on the float-adjusted market capitalisation method. 
• Exclusion of the companies which are not follow the rules and regulations given by the SEBI, and stocks are highly illiquid.
• The focus of the sector of the company shall be different from the Indian Equity Market and must be well-positioned and diversified into various sectors.
•  Companies with IPOs must have a history of at least one month to be eligible for inclusion.
• Companies that follow the scheme of arrangement, debt restructuring, and many more shall have a history of listing for at least one month.
•  Exclusion of the companies, if they have undergone the process of mergers, delisting, takeovers, suspension, and many more.

 The company shall follow the eligibility criteria for the calculation of the BSE Auto Index, then use the free-float market capitalisation method to calculate the value of the index. 

The decision for calculating the coefficients of variation of the BSE Auto Index was made based on the base year. The consideration of the value for the base year is taken from the lowest base value of the successive years. 

Firstly, calculate the free-float market capitalisation and then adjust it with the base value of the index, using the sum of the figures of all companies engaged in the automobile sector. The year of the base value, which is taken into consideration, is 1988-99, and the base value is 1000.

Formula of the BSE Auto Index = Total free-float market capitalisation * Index Value for the Base Year / Market Capitalisation for the Base Year.

• The BSE Auto Index helps investors, analysts, and fund managers to track the sectoral trends, growth opportunities, and risk factors in the automobile industry.
• The Index provides investors with an opportunity for diversification, allowing them to explore various sectors of the automobile industry.
• The BSE Auto Index reflects sector advancements, such as EV adoption, and structured investment products for traders and institutions.     

• The rules and regulations made by the government highly impact the performance of the auto industry, which negatively affects the decisions of the investors.
• The auto sector is susceptible to economic fluctuations, changes in interest rates, and changes in the prices of fuels, which affect the profitability and performance of the stock.
• The scope of diversification in the automobile industry is not wide, which does not provide investors with the opportunity to explore different segments of the automobile industry.

Investors can check availability on AMC websites, NSE/BSE sites, or apps, which provide a reliable broking facility, enabling them to select the most profitable and highly growing stocks for their long-term investments. A demat account is necessary if investors want to buy ETFs or constituent stocks, but it is not required if they want to invest through mutual funds and SIPs. If the availability of a direct BSE Auto Index fund is not available, investors can consider mutual funds or ETFs. They also provide direct exposure to investors in the BSE Auto Index.  

Investors can replicate the index by purchasing the major stocks that are included in the BSE Auto Index. The chance of direct control and the advantage of capital and portfolio management are also necessary.

The BSE Auto Index reflects the constituents involved in the BSE 500, and forms a part of the transportation sector. The BSE defines classification in the equipment transportation sector industry, and is selected from the BSE AllCap Index. The companies in the automobile industry form a part of the manufacturing and distribution of automobiles, and the involvement in the automobile industry is not considered only with the manufacturing of cars and bikes, but also with the manufacture of the parts and components of it. The adjustment of the market capitalisation is determined against the freely tradable shares for calculating the float-adjusted market cap.

Companies that follow the scheme of arrangement, debt restructuring, and many more shall have a history of listing for at least one month. Investors can replicate the index by purchasing the major stocks that are included in the BSE Auto Index. The chance of direct control and the advantage of capital and portfolio management are also necessary. The ability to exert direct control and the advantages of capital and portfolio management are also essential.