Current Market Value Research Articles

Methods and data needs to estimate the economic market value of livestock at different spatial scales.

Assessing the economic value of livestock such as cattle, goats, sheep, pigs, chickens and fish can offer information about their financial performance and economic importance at farm, national and global scale. Such information is needed for decision-making surrounding livestock finance, investment and strategic development. The aim of this study was to provide an overview of the key livestock valuation methods and associated data requirements. The study was conducted using a literature review. Five key livestock valuation methods were identified and described: historical costs, net current market value, replacement costs, net present value and cost of production. The findings of this study may be of interest to livestock scientists, veterinarians, policy-makers and other stakeholders who aim to assess the economic value of livestock herds. The Global Burden of Animal Diseases programme relied on the outcomes of this study to identify methods for the estimation of the economic value of livestock at the global scale and for its Ethiopia and Indonesia case studies.

Estimating the cost of young stock mortality in livestock systems-An application to sheep farming in Ethiopia.

In sub-Saharan Africa, pre-weaning young stock mortality (YSM) is in the order of 20 to 30% across most livestock species and production systems. High YSM has significant economic implications for livestock keepers, but few studies provide estimates of the "cost of YSM." This study explores a bio-economic herd modeling approach to estimate the "cost of YSM" at farming/livestock system level. The static zero-growth version of DYNMOD was used to calculate the annual physical and monetary output of a sheep flock consisting of 100 breeding females at different levels of lamb mortality. Production parameter values and prices were taken from recently published research. Calculations were carried out for values of lamb mortality decreasing from 30% to 0% in 5% intervals, with 20% representing the "baseline" YSM. Calculations were repeated for a "high" fertility scenario (100% vs. 59% parturition rate) to gauge the sensitivity of the cost of YSM to another parameter determining flock productivity. The relation of revenue per head and YSM is close to linear over the range of analyzed YSM with 1% decrease in YSM resulting in an increase in revenue per animal of approximately 1%. At the higher fertility rate, the absolute cost of YSM to sheep farmers is higher while the relative increase in revenue per animal resulting from YSM reduction is lower. The estimated difference in revenue of the 100-ewe flock between the 20% and 0% lamb mortality scenarios (at baseline fertility) amounts to approximately USD 90 per additionally surviving lamb, which is far above its market value. Reduced lamb mortality ultimately impacts flock revenue through increased sales of "mature" animals, which embody the value of a lamb plus the revenue/profit from raising it to marketable age/weight. The modeling results suggest that foregone profit is an important component of the systemic "cost of YSM." Consequently, expected profit per animal, in addition to its current market value, is essential for estimating the absolute cost of YSM at farming system level.

Impact of credit use on crop productivity and gross income of smallholder farmers: a propensity score matching approach

BackgroundAgriculture is Ethiopia’s principal economic activity, employing the vast majority of the population, however, smallholder farmers in the country face long-standing challenges, including low levels of production, low income, and less credit use. This study aimed to analyze the impact of access to credit on crop productivity and income among small-scale farmers in the study area.MethodsWe conducted a cross-sectional study from January 1st to 30th, 2022. Primary data were collected from purposely selected seven (7) kebele of the district based on potential users of agricultural credit. Then the impact was investigated by applying the propensity score matching technique. A Probit regression model was used to determine factors associated with credit use. The significance of the variables was decided at a 5% level of significance.ResultsIn our study, a total sample of 347 smallholder farmers were randomly selected, out of which 42.9% were credit-users while 59.1% were non-users. Regarding sources of credit use, Vision Fund was the most commonly used source of credit with 67.8% of users, followed by the Omo Microfinance institution with 22.1%. Sex of the farmer, age of the farmer, existence collateral, farm size, attitude towards risk, extension service, membership in credit institutions, road access, and number of total livestock units in tropical livestock units (TLU) had significant effects on credit use at a 5% level of significance. Moreover, the estimates showed that utilizing credit resulted in a rise in crop productivity in current market value and total yearly income by 19,302.44 and 18,009.63 respectively.ConclusionOur study suggested that credit use had a considerable impact on crop productivity and total annual income. As a result, the study recommended that the government’s rural finance policy agenda should prioritize opening different branches near farmers, improving credit usability, and providing more training programs to smallholder farmers to improve their skills and help reduce the problems that impede their use of agricultural credit.

Graphene Derived from Municipal Solid Waste.

Landfilling is long the most common method of disposal for municipal solid waste (MSW). However, many countries seek to implement different methods of MSW treatment due to the high global warming potential associated with landfilling. Other methods such as recycling and incineration are either limited to only a fraction of generated MSW or still produce large greenhouse gas emissions, thereby providing an unsustainable disposal method. Here, the production of graphene from treated MSW is reported that including treated wood waste, using flash Joule heating. Results indicated a 71%-83% reduction in global warming potential compared to traditional disposal methods at a net cost of -$282 of MSW, presuming the graphene is sold at just 5% of its current market value to offset the cost of the flash Joule heating process.

Assessing the Socio-Economic Benefits and Costs of Insect Meal as a Fishmeal Substitute in Livestock and Aquaculture

Sustainability targets set by the United Nations, such as Zero Hunger by 2030, encourage the search for innovative solutions to enhance food production while preserving the environment. Alternative protein sources for feed, while conventional resources like soymeal and fishmeal become more expensive and scarcer, is one of the possibilities. Studies on substituting fishmeal with insect meal show promising results in terms of animal growth and feed efficiency. This paper aims to assess the socio-economic benefits and costs of insect meal substituting fishmeal in feed and to highlight the factors influencing performance most. The study evaluates the economic value of insect-based products, waste reduction, and reduced greenhouse gas emissions as socio-economic benefits. It combines empirical data derived from laboratory trials and two case studies covering black soldier fly (Hermetia illucens) and yellow mealworm (Tenebrio molitor). Current analyses reveal negative socio-economic balances, emphasizing that reduction of operating and investment costs through upscaling and technological advancements can give a positive move, as well as factors such as current market valuations for nutrients can change significantly. Thus, a negative balance at the moment does not mean that insect rearing, and larva processing are not desirable from a long-term socio-economic perspective.

Potential of Establishing Industrial Hemp Value Chains in Northern Australia

Globally, industrial hemp offers consumers with over 25,000 value-added products that are valued at approximately US$4.2 billion of current market value and likely to surpass US$26.6 billion by 2025. In Northern Australia, the industrial hemp sector is at infancy stages of development. Given the suitability of certain Northern Australia’s geographical zones in terms of soil, water, and climate, a study was conducted to identify potential industrial hemp value chains. Probable value chains were developed by characterizing the production to market segments of the supply chains to determine the return on investment and analyzing the capacity of the stakeholders in terms of communication and relationships. Consequently, the strengths, weaknesses, opportunities and threats (SWOT) of the developed value chains were analyzed. This study collected data from three complementary sources that included review of the literature, results of variety trials evaluation conducted in Northern Australia, and survey of hemp industry stakeholders. Results suggested that Northern Australia offers conducive growing conditions for hemp that allows for the development of three value chains including seed, fiber and silage. The research recommended ongoing investment in the industry through engagement of public and private sector while focusing on further establishment of the industry.

Wet Aging USDA Select Beef Strip Steaks: Implications on Consumer Acceptability, Demand, and Product Selection

The objective of this study was to determine if wet aging increases the value and demand for lower-quality USDA-grade beef steaks. USDA Select boneless beef loins (NAMP #180) were dorsally divided into 4 equal portions, which were randomized to receive 0, 7, 14, or 21 d of wet aging. A total of twenty 2.5-cm-thick steaks from each aging time (n = 20 steaks per aging treatment) were cooked to an internal temperature of 71°C, cubed, and served to a consumer panel (N = 126), which evaluated acceptability using a 9-point hedonic scale with 1 and 9 representing “dislike extremely” and “like extremely,” respectively. Immediately after the panel, a elicitation mechanism auction method was used to obtain independent consumer willingness to pay for each aging time. Consumers were separated into 6 clusters based on overall acceptability ratings. Cluster 1 (n = 24) preferred steaks that were aged for 0 and 21 d (P ≤ 0.014). Cluster 2 (n = 50) liked all treatments moderately but liked steaks aged for 7, 14, and 21 d more than 0-d aged steaks (P ≤ 0.018); Cluster 3 (n = 20) preferred 0-d steaks over 7-d steaks and 7-d steaks over 14-d and 21-d aged steaks (P ≤ 0.044). Cluster 4 preferred 7-d and 21-d aged, and Cluster 6 preferred 14-d and 21-d aged steaks. Demand analysis indicated that 0, 7, and 21 d of aging would sell 5.29, 5.34, and 6.94 more units (0.454 kg) (P < 0.001) than steaks aged for 14-d holding price constant at the current market value of $14/0.454 kg. Overall, results indicated that wet aging for 14-d was not sufficient to provide the flavor and tenderness improvements that were apparent after 21 d of aging. Under optimal pricing and various cost scenarios, 21 d of aging was the most profitable single product offering only if daily production costs were sufficiently low.

Effect of Diet Supplementation with Oat Hay and Whole Carrot on Rabbit Growth and Productive Efficiency.

Is it possible to reduce feeding costs in rabbit meat production without compromising rabbit health and productive yield? The study tested four feeding strategies: Control group (CC) fed exclusively with concentrate feed; group CT supplemented with whole carrot; group OH supplemented with oat hay; and Group CO supplemented with oat hay and whole carrot. Each feeding strategy was tested in 20 rabbits, randomly allocated in five cages with four rabbits each. The average daily weight gain (ADG), feed conversion ratio (FCR), and the amount of concentrated feed consumed daily were estimated in all experimental groups. Group CC displayed the best ADG (37.1 g/rabbit/day), carrot had no significant influence on ADG (34.2 g/rabbit/day), but oat hay had a negative impact (p < 0.05), either used alone or in combination with carrot (33.0 and 32.6 g/rabbit/day, respectively). Supplementation with carrot, oat hay, or both increased the FCR (p < 0.001). Nevertheless, there were no significant differences in final live weight or carcass weight between the rabbits in the different experimental groups. In conclusion, supplementation with oat hay, carrot, or both can be a valid approach to reducing production costs by decreasing concentrate feed without affecting rabbit's health and meat yield. The combined supplementation with oat hay and carrot proved to be the best option in reducing the amount of concentrate feed ingested by rabbits (less than 1107 g/animal), but at current market values, supplementation exclusively with oat hay was the less expensive feeding strategy (less 14% than fed exclusively with concentrate feeding).

Assessing market efficiency in Palestine Securities Exchange (PSE) market at weak form: Analysis from 2010–2022

The efficient market hypothesis (EMH) asserts that financial markets are efficient, meaning that current market values of stocks incorporate all available information. This study examines the weak-form efficiency of Palestine Stock Exchange stocks using the indices returns from 2010 to 2022. The study used parametric tests (Augmented Dickey-Fuller (ADF) unit root, serial autocorrelation) and nonparametric tests (Phillips-Perron (PP) unit root, run test, variance ratio test). The findings of these tests provide insights into the behavior of the Palestine Stock Exchange market. The run test outcomes reveal a statistically significant pattern in the data for general, insurance, and service indices, with a p-value below the significance level. Furthermore, the unit root tests indicate statistical significance for all indices with 0.00 p-values and t-statistic below the critical values of –2.86 for level and intercept, and –3.14 for level, trend, and intercept, signifying that the indices returns are stationary. In addition, serial autocorrelation test show that the general and Al-Quds indices show statistically significant links between consecutive observations at all four lags. However, the insurance, investment, and services indices show statistically significant results on three lags. The variance ratio test results challenge the random-walk hypothesis for all indices except industry and insurance. With low probability values, a discernible, long-term, predictable pattern is evident in the Palestine Stock Exchange indices. The analysis reveals that Palestine Stock Exchange index returns exhibit nonrandom behavior, suggesting predictability and patterns in daily returns, indicating the possibility of exploiting market inefficiencies in investment strategies.

Techno-economic assessment of an autothermal poly-generation process involving pyrolysis, gasification and SOFC for olive kernel valorization

The present work elaborates on the simulation and techno-economic analysis of a proposed MW-scale hybrid scheme that enables the production of different marketable products (i.e., electric energy and bio-oil) from the thermochemical exploitation of olive kernel residual biomass. In this regard, detailed calculations for mass and energy balances, process simulation in Aspen Plus and economic analysis with complementary sensitivity scenarios were conducted, with the aim to model and assses the feasibility of an integrated process for electricity and crude bio-oil co-generation via subsequent stages of biomass pyrolysis, bio-char gasification, syngas-fed SOFC and steam turbine. Notably, it was demonstrated that the provision of 20 tn/day of raw olive kernel resulted in a net electricity generation of 1685 kWel as well as production of 3.4 tn/day of bio-oil, without the need for external heating. Equally importantly, the overall electric efficiency and the combined bio-oil/power co-generation efficiency of the integrated process were equal to 46.8% and 77.0%, respectively, being amongst the highest values reported in relevant works. Moreover, economic analysis revealed that syngas clean-up and SOFC units account for 75% of the total fixed capital investment as well as for 62% of the annual operation costs. Nonetheless, increased unit cost is largely counterbalanced by the fact that electricity generation accounts for ∼85% of total profits. Also, it was found that the proposed venture is not profitable considering current market values for electricity and bio-oil. However, sensitivity analysis revealed that a main equipment cost reduction of 70% is a prerequisite for the break-even electricity price to attain the current market values. Moreover, profitability can be marginally improved further by accounting for a state subsidization of more than half of the initial investment and by the increase of the crude bio-oil price at 700 €/tn.

Assessment of Factors Influencing Smallholder Farmers Willingness to Pay for Climate Change Adaptation Information Access in South- Eastern Kenya

Farmers’ adaptation to climate change is crucial in ensuring agricultural production and improving food insecurity. Farmers needed access to climate change adaptation information to enable them to plan their agricultural investments. This study sought to assess farmers’ willingness to pay to access climate change adaptation information as they seek to achieve resilience in the face of changing climatic conditions. Qualitative and quantitative research approach was adopted where data was collected first-hand by interviewing 443 smallholder farmers. Ordinary Least Square method was applied to analyse the factors that influenced farmers' willingness to Pay. From the findings, 77.2% of the farmers were willing to pay for climate adaptation information. The mean willingness to pay in Cash was 12.78 USD per year. Farmers who wished to pay through provision of farm produce were highly skewed towards provision of maize that amounted to 18.40 USD at current market value. The climate change adaptation information effectiveness, knowledge, and access to information were the leading factors that influenced farmers’ WTP. Age and main source of income significantly influenced WTP negatively. Dissemination of this information through effective channels is encouraged to enable farmers to access and improve their WTP.

Financial Profitability Analytics of Selected Fertilizer Companies in India

Governments of every country formulates their policies which enhance the growth of the agriculture sector and thereby push the availability of the resources for the growth of the industrial sectors and thereby generates the real income for the livelihood of their citizens. The current market value of the Indian chemical and fertilizer companies is approximately around Rs. 898.5 billion for the financial year 2021-2022 and its projected growth is probably 4.7% of CAGR during the period 2023 to 2028 and the market growth is being witnessed by increased demand for food manufacturing industries. The Indian government consistently acting proactively to tap the projected grow of the chemical and fertilizer companies which leads to achieve the objectives of Atmanirbhar Bharat and become most efficient player all over the world. The below chart clearly indicates that the Indian fertilizer market will reach US$ 1460.8 billion by the end of the year 2029 from US$ 937 billion which is quite remarkable. For the study five fertilizer and chemical companies which are listed at the recognized stock exchange in India have been selected randomly and profitability ratio in relation to selected elements of financial statement used for the period from March 2016 to March 2022. Single Factor Analysis of Variance (ANOVA) has been used for testing the hypothesis and the results derived. The results shows that there is positive relationship between investment in fixed assets and generation of profit and for achieving desired profit the management should be aggressive to increase the investments over the fixed assets rather than focusing on net worth, capital employed and total assets.

METAL, PAPER, AND RUBBER WASTE MANAGEMENT SCENARIO A CASE STUDY OF KHULNA CITY

Because of modern day overpopulation, rapid industrial and lifestyle growth, and Khulna citys geographic location, natural resource consumption is rising while their availability is deteriorating. This paper has been designed with an attempt to inform the policymakers of Bangladesh regarding the potential of waste management and recycling as a renewable source of energy. Due to economic and environmental initiatives, metal, paper, and rubber waste recycling rates continue to rise.The total daily waste collection volume considering four areas of the city (Fulbarigate, Khalishpur, Sheikhpara, and Zero Point) was found to be9.91tons. Its daily output is made up of metal (7.1tons), paper (2.2tons), and rubber (0.59tons). The substantial amount of these components in Khulnas waste composition emphasizes the significance of frequent collection and disposal.The current daily market value of this waste has been estimated to be BDT 4,36,879 in total. Each year, the income is close to BDT 160million.

Extraction and analysis of TCO coated glass from waste amorphous silicon thin film solar module

Considering the fast pace of the development of the Photovoltaic (PV) market and the installations in last two decades and also the increasing scarcity of resources for semiconductor materials, recycling waste PV modules including thin film is very important. Transparent conducting oxides (TCOs) are extensively used as front contact electrodes in thin-film photovoltaic devices. The paper presents, the new strategies developed to extract TCO coated glass from thin film amorphous silicon PV end-of-life modules. The recycling of thin film PV modules is based on a very simple approach that includes chemical, thermal and mechanical treatments. Optimised solutions of 1 M NaOH and 1 M KOH were used to extract TCO coated glass. The feasibility of the processing steps was demonstrated on laboratory scale size module and the etching rate for P, I, and N-layers of amorphous silicon is also studied. The extracted TCO was identified as fluorine-doped tin oxide (FTO) using X-ray diffraction and UV–visible spectroscopy techniques. The laser scribed FTO glass was successfully extracted without damaging the properties of the material. The extracted FTO has very low resistivity and sheet resistance in the range of 10−4 Ω-cm and 11.74 Ω/sq. respectively, has uniform transmission throughout the measured film surface of 2 cm2 in the visible region having bandgap ∼3.8eV. The recycling cost and current market value of the recycled FTO are also estimated for all the installed capacities of amorphous silicon. Considering the TCO properties, extracted FTO has the potential for its reuse in the fabrication of new thin film PV modules and other optoelectronic device applications as well.

THE MARKET VALUE OF NON-FAMILY FIRMS: A STUDY ON OWNERSHIP CONCENTRATIONS, FINANCIAL POLICY AND PROFITABILITY

This study investigates the market valuation effect of ownership concentration, financial policy and profitability in a sample of 109 non-family over the period 2012 to 2019. Hence, we used balance panel data to investigate the market value and possible effect of the variables identified using the General Method of Moment (GMM) estimator. The results market value is dynamic in nature, implying that last year's market value significantly affects the current market value. Although the major shareholders are not family members, ownership concentration still has significant negative effects on market value. However, the financial decision shows that leverage gives a positive and significant effect while investment and dividend policy seems to have a negative effect on market value, although the investment is insignificant. Lastly, profitability is positive and has significant effects. Lastly, profitability is positive and significant effects. This study concluded that ownership concentration, leverage and profitability have important factors affect market value. This study contributes to non-family firm’s literature and provides new empirical findings and policy implications of regulators to enhance the market value.JEL: G11, G30, G32.

Exploring the Relationship between R&amp;D Investment and Business Performance—An Empirical Analysis of Chinese ICT SMEs

Service and product innovation have been emphasized as being essential to the success of ICT firms in numerous studies. Being ongoing processes, R&amp;D activities make it challenging to forecast the benefits to a business. Does the company obtain immediate returns on its research and development expenditures? How long will their effectiveness remain? During the development of a strategy, business managers must take all these factors into account. A major objective of this paper is to determine the relationship between a company’s R&amp;D investment and its business performance. We collected data from 1262 small- and medium-sized enterprises in the ICT service industry in China between 2011 and 2020. The R&amp;D investment was selected as the independent variable, while its financial performance (ROA, ROE, liquidity ratio, debt asset ratio, and interest cover ratio) and market value (Tobins’ Q) were selected as the dependent variables. Multiple linear regressions were used to determine whether there was a correlation between these variables. Firstly, R&amp;D investment improve current profitability and there is a one-period lag in these benefits. Second, R&amp;D is negatively correlated with short-term debt-paying ability, but positively correlated with a long-term view, and these effects will last for one period. Lastly, R&amp;D investment has a negative impact on the current market value, but the R&amp;D investment within the two lagged periods still has a positive impact. This study addresses a significant gap in empirical research. Recommendations for companies to consider when making R&amp;D decisions are also included in the paper.

Free Float in the Polish Capital Market and Its Importance for Investors

Theoretical background: Free float (hereinafter referred to as FF) refers to the ratio of shares held by small investors (less than 5%) to all shares in a company. FF investors are generally unrelated to each other or to ma-jor shareholders and they constantly review the company’s current stock market valuation and thus improve the stock market efficiency. This means that the higher the FF, the potentially higher liquidity and better valuation of the company’s shares. A low FF recalls the institution of protecting the rights of minority shareholders, calls into question the sense of maintaining a public company status, and raises the potential risk of incorrect valuation. The literature generally lacks studies referring to all these issues as well as FF statistics in Poland. Purpose of the article: The purpose of the article is to sum up the term “free float”, analyze FF statistics on the Polish capital market, indicate the link between FF and market liquidity, identify potential risks associated with listed companies having low FF and to determine whether it makes sense for the strategic investor to maintain public company status with low FF. Research methods: Theoretical analysis (including analysis of capital market laws) and statistical analysis. Main findings: The research confirmed that the relationship between FF and stock market liquidity is positive, but only considering FF in nominal terms. On the Polish capital market, as the nominal level of FF increases, market capitalization and trading liquidity increase largely and the average market spread decreases slightly. The article also points out important risks associated with low FF conditioning low liquidity, such as the risk of stock manipulation and the risk of incorrect company valuation. Potential areas for changing the law on squeeze-out/sell out institutions due to the inadequacy of the FF percentage were also pointed out.

Valuate Stock Based on Accounting Approach Using Feltham and Ohlson Model

Residual Income Model (RIM) is an accounting approach introduced and used by Feltham and Ohlson to measure firm value using future income based on most current information. The surplus relation applying firm earning and book value is used to forecast with consistent manner. This research uses RIM to valuate the pharmaceutical companies’ stocks listed on the Indonesia Stock Exchange (IDX) for the year of 2010-2019 to be able to estimate the intrinsic or fair values of the companies’ shares for the year of 2020-2023, compared to their current market values and used as the basis to make decisions. Macro economy information of Indonesia that strongly relate to the pharmaceutical companies are applied to forecast the future values of the companies and the stock market information to determine the market values and the investment interest rates. The stock intrinsic values of DVLA, INAF, KAEF, KLBF, MERK and PYFA are confirmed below the market values for the year of 2020-2023. But, the stock intrinsic values of SCPI are above the market values. Thus, the stock intrinsic values of TSPC are fair. There are 6 (six) company stocks overvalued or expensive, 1 (one) company stock is undervalued or cheap, and another is fair.

Business Valuation Analysis: Taking Lululemon as an Example

Lululemon's unique and innovative brand culture and concept, combined with the pursuit of healthy living and the globalization of sport, has led to the company's global growth. Lululemon’s creative fabric technology and design also enhanced its competitive edge. From the perspective of politics, economy, society and technology, due to the rapid expansion and emerging yoga culture and heathy life concepts, it might be overvalued according to its leading and fast-growing status in the athletic clothing market. In this paper, P/E ratio, forward P/E ratio, EV/EBITDA ratio and discounted cash flow model are adopted to value the company. The results of valuation ratios of Lululemon are higher than other competitors, and the data generated from the discounted cash flow model is lower than its current market value, indicating that the price of Lululemon is indeed overestimated. This paper would provide the investors an overview of Lululemon’s brand history, market position and basic valuation statistics.

“Estimating the recoverable value of in-situ building materials”

Construction, renovation and demolition of buildings in our cities is driving substantial material consumption and waste streams. They can be reduced by recovering in-situ materials from buildings with controlled demolition, disassembly, and deconstruction of components and materials. To do this, a decision support tool that can be used to estimate current recoverable environmental and market values from the owner's perspective of in-situ construction materials in a specific facility must be developed. Here, a linear programming optimization methodology is used that considers cost, value, duration, environmental impacts, and building component precedence in demolition and deconstruction activities. It helps choose the optimal combination of reuse, recycling and disposal options for those materials. The resulting decision support tool is functionally demonstrated on an institutional building to find the building components’ optimal end-of-life alternatives to maximize the recovered value from the in-situ materials. Sensitivity analyses add further validation. Thus, this research supports the transition to a more circular economy in cities by making it easier to realize the full value of in-situ materials for planning, asset management, and demolition project bids.