A Comparative Liquidity Analysis of Selected Steel Manufacturing Companies

Liquidity is a very underestimated element of every business.Despite being very import aspect of a regular day to day business of a company, liquidity still ignored for s major portion of the time.Without liquidity, business cannot run their day-to-day functions flawlessly.A continuous watch on Liquidity is very much necessary because if it does not get enough supervision, it might lead to delayed payment, ruining the credibility & value of company and may be liquidation of company in worst possible case.Hence, liquidity analysis is important for every company.Liquidity analysis of a company ensure that company has enough liquid or quick assets to pay or clear off short-term debt or payment.Which helps in also working capital management. LITERATURE REVIEW:(Anam, Hasan, Huda, Uddin, & Hossain, 2012) [1] In this article, researchers compared the liquidity analysis of Conventional Banking and Islamic Banks of Bangladesh.For that, they have used the data of these bank for the period of 5 years stared from 2006-2010.It was revealed that Islamic banks were not as much efficient as the conventional banks.The module was failed to prove that Islamic banks were in higher profitable situation than conventional ones.(Qin & Pastory, 2012) [4] This study focused on the banking liquidity of Tanzania.The investigative period was 10 years starting from 2000-2009.As a sample three national commercial banks of Tanzania were chosen namely, National Bank of Commerce (NBC), CRDB, National Bank of Micro Finance Bank (NBFB).From the financial information, ANOVA test-A large sample size statistical test was used to get output from it.It was unveiled that National Bank of Commerce (NBC) was having strongest liquidity position than rest of banks.(Tomczak, 2014) [5] This paper unveils the liquidity position of bankrupt manufacturing companies.For that purpose, data was used from 2007 to 2012 for 5 years.It was revealed that those units that were closed were struggling through profitability crisis.Which was initially started as liquidity crunch and as negligence towards this liquidity problem that led them to out of business.(Meena & Dhar, 2016) [2] This study throws light on liquidity position of various banks situated in India.For that, researchers took nine banks as a sample, 3 banks from Private Sector, 3 banks from Public Sector and 3 banks from foreign sector.To analysis purpose, they took the liquidity ratios of all he banks.It was found out Abstract: This study aimed to analyze and compare the liquidity position of major steel manufacturing companies of India.For that 4 Major steel manufacturing companies namely, TATA, Steel, Steel,Authority of India (SAIL), JSW,Ltd and Jindal Steel Ltd were selected with the help of Non-Probability Sample technique (Judgmental Sampling).Period of Investigation was 5 years, Starting from 2019-20 to 2023-24.For analysis purpose various liquidity ratios were taken and analyzed with the statistical tool of ANOVA test.It was revealed that in most of aspects of Liquidity, Jindal Steel was better performer than other samples.