Presentation Title
P-27 The Positive Relationship Between Stock Price of Technology Firms and ROA, EBITDA margin, Bond ratings, and Current Ratio
Presenter Status
J. N. Andrews Honors Scholar
Second Presenter Status
Associate Professor of Finance
Third Presenter Status
Associate Professor of Economics
Preferred Session
Poster Session
Location
Buller Hall Hallways
Start Date
22-10-2021 2:00 PM
End Date
22-10-2021 3:00 PM
Presentation Abstract
This research updates expanding literature in the financial field on the relationship between stock price and financial performance indicators – return on equity, debt to assets, net margin, return on assets, EBTIDA margin, bond rating, and current ratio. Specifically, stock prices of year-end 2018 were examined to 2018 year-end financial data. The hypothesis developed is that financial performance indicators validate the stock price. Therefore, using an (OLS) multivariate regression analysis the explanatory variables were tested for their significance to price. Return on equity, debt to assets, net margin, and current ratio proved to be statistically significant.
P-27 The Positive Relationship Between Stock Price of Technology Firms and ROA, EBITDA margin, Bond ratings, and Current Ratio
Buller Hall Hallways
This research updates expanding literature in the financial field on the relationship between stock price and financial performance indicators – return on equity, debt to assets, net margin, return on assets, EBTIDA margin, bond rating, and current ratio. Specifically, stock prices of year-end 2018 were examined to 2018 year-end financial data. The hypothesis developed is that financial performance indicators validate the stock price. Therefore, using an (OLS) multivariate regression analysis the explanatory variables were tested for their significance to price. Return on equity, debt to assets, net margin, and current ratio proved to be statistically significant.