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Amri-Asrami M, Aghaei M. The dynamics of accounting information on stock valuation: An Analysis Based on industry. Infect Epidemiol Med. 2016; 2 (2) :59-72
URL: http://journalsystem.ir/article-1-64-en.html
1- Management & Economics Faculty, Tarbiat Modares University, Tehran, Iran
2- Management & Economics Faculty, Tarbiat Modares University, Tehran, Iran , aghaim@modares.ac.ir
Abstract:   (150 Views)
Industrial groups have interactions within and outside the groups. In this paper to evaluate linear information dynamics, twelve industrial groups of companies listed in Tehran Stock Exchange are used. Two measures of conservatism are used, that is, ratio of sum of price and sum of book value and mean of price-to-book ratio. In the sample periods, to remedy the effects of special factors in the sample industries, the later ratio is de-trended and also to control the effects of each industry, inflation, and some other factors on the various industry indices, two measures are used i.e. the average annual difference between price and book value, and index each industry. Industry analysis shows that the criterion of "sum of price to sum of book value" has a significant correlation and in the opposite, the correlation would be stronger, using the de-trended average of market value to book value the results. Finally, compared to scaled variables on the average annual difference between price and book value, scaled variables based on the index of each industry led to a much stronger results for the coefficient of valuation models based on industry. Therefore, for assessment and analysis of linear information dynamics on industrial groups, with the inclusion of environmental factors such as conservatism in accounting policies, industry, stock market indices, the rate of cost of capital, inflation, the policy of dividend distribution, past and present of book value and price papers, can be used to residual income valuation models.
     
Type of Study: Research |
Received: 2017/08/28 | Accepted: 2017/08/28 | Published: 2017/08/28

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