Does the Impact of Converging with IFRS, by Pharmaceuticals Companies in India, Influence Their Stock Market Performance?

Abstract

The paper examined the impact of converging with IFRS, on stock market performance of 12 pharmaceuticals companies listed in S&P BSE 100. The time frame of six years from 2013 to 2018 was selected and Ordinary Least Square (OLS) regression model was used for the analysis. The result revealed that the value relevance of financial statements was high on converging with IFRS. The impact of financial statement variables on Indian Stock Market was significantly positive with reference to PAT. However, all financial variables did show significant association with stock market indicators.