Market Value Research Articles

The Influence of Sustainability Disclosure on Market Value of Quoted Stocks: Evidence from Nigeria

The Influence of Sustainability Disclosure on Market Value of Quoted Stocks: Evidence from Nigeria

Shares traded separately, bonds traded separately

Subject. This article examines the behavior of stocks, bonds and loan debt in the Russian economy. Objectives. The article aims to conduct a critical analysis of the dynamics of quoted shares of Russian issuers circulating in the domestic market, debt securities issued in the domestic market at market value, debt on loans and acquired rights of claim on loans granted to resident legal entities and individual entrepreneurs in the context of a high key rate of the Bank of Russia. Methods. For the study, I used analysis and synthesis, special economic and mathematical methods, in particular, correlation and regression analysis, as well as a graphical method of presenting the results obtained. Results. Based on a critical analysis of the dynamics of quoted shares of Russian issuers circulating in the domestic market, debt securities issued in the domestic market at market value, debt on loans and acquired rights of claim on loans granted to resident legal entities and individual entrepreneurs, in the context of a high key rate of the Bank of Russia, the article determines the growth driver of Russian shares, which is debt on loans. Conclusions. The results of the critical analysis of the dynamics of stocks, debt securities, loan debt, in conditions of a high key rate, will be useful for investors purchasing Russian securities.

Uneven development and the anti-politics machine: Algorithmic violence and market-based neighborhood rankings

This paper investigates the role of supposedly objective algorithms in producing uneven urban spaces through market-based neighborhood rankings. Focusing on the Market Value Analysis (MVA), we argue that municipal governments' failure to explicitly account for the racialized and class-based production of urban space in ranking algorithms hinders their capacity to foster equitable and vibrant neighborhoods. Instead, these algorithms deepen existing inequalities and reinforce market-based approaches to neighborhood typologies and spatial organization, effectively serving as tools for capital accumulation. Through a comparative analysis of the Market Value Analysis (MVA) and historical Home Owners' Loan Corporation (HOLC) maps across 10 cities, we illustrate how the MVA preserves wealth while simultaneously producing poverty in certain areas to benefit affluent landowners. We argue that the MVA typology, presented under the guise of technological objectivity, functions as part of an anti-politics machine that depoliticizes and institutionalizes race- and class-based housing segregation. By positioning city residents as "customers" and aligning government spending with market-driven priorities, the MVA algorithm places profit motives above the immediate needs of vulnerable communities. Consequently, it perpetuates and amplifies existing disparities in urban geographies, reinforcing racial capitalism through ostensibly "objective" market-based approaches to public policy. Toward realizing a more equitable and just future, our findings challenge claims of the objectivity of technical planning products and instead elucidate the role algorithms can play in the differential valuation of urban territory.

Trading signals of the relative strength index and market valuation of State Treasury companies listed on the Warsaw Stock Exchange

Abstract Accurate forecasting of the level of volatility of financial instrument prices is important from the point of view of stock exchange investors. The aim of this paper is to measure the value relevance of transaction signals (buy/sell) by the relative strength index (RSI) in the case of State Treasury companies listed on the Warsaw Stock Exchange (WSE). The research covered the two hypotheses stating that stock buy (sell) transaction signals generated by the RSI indicator cause the occurrence of statistically significant positive (negative) abnormal returns (AR). These, in turn, support that RSI generates value-relevant signals, which are valuable investment tools and can be used to earn money on the stock exchanges. Based on the final research sample, including 75 buy signals and 88 sell signals, generated by the RSI indicator on the shares of State Treasury companies listed on WSE, an event study methodology was carried out. In 7-day event windows, calculations were made of AR, which is the difference between the realized and the expected return (estimated on the basis of the market model). The averaged ARs did not differ statistically significantly from zero on any of the tested days for both buy and sell signals. Therefore, research results do not indicate that share purchase (sell) transaction signals generated by the RSI indicator result in the occurrence of statistically significant positive (negative) average abnormal returns (AAR).

Pengolahan Pupuk Organik Dari Kotoran Kambing Dusun Sidomulyo, Desa Bangelan

The village of Bangelan holds significant potential in the livestock sector, particularly in goat farming. The Karya Mulya Farmer Group in Bangelan has been developing the Etawa breed of goats, known for their higher market value. Recognizing this potential, an innovation has emerged in processing goat manure into organic fertilizer, aiming to increase economic value and address environmental issues. This calls for an enhancement in utilizing goat resources and available land, as well as obtaining certification and distribution permits to improve the marketing of organic fertilizer products to a wider network.

The Effect of Companies' Internal Control Structures on Their Financial Performance: An Application on BIST-30

Purpose: The aim of this study was to investigate the effect of internal control structures on the financial performance of firms included in the BIST-30 Index. Design/Methodology: The data of the firms for the period 2018-2022 were used annually. Return On Equity and Market value to book value were used in the study to represent profitability as dependent variables. The independent variables were the number of audit committee members, the number of internal control reports, the number of audit committee meetings, the number of audit committee reports, and the rate of graduates in the audit board. GMM which is a dynamic panel data analysis technique and Driscoll Kray Regression were used as the method. Findings: As a result of the findings, it is seen that the ratio of postgraduates on the audit committee, the number of audit committee members and the number of audit committee reports may have an effect on both ROA and PBRD, while the audit firm being a large firm may have an effect only on PBRD. Limitations: The reason is that the study was applied only to Türkiye and no country comparison was made. Originality/Value: There are a limited number of studies examining the impact of companies' internal control structures on their financial performance. This study is original in terms of both variables and method.

True Cost Accounting Using Life Cycle Assessment Methods and Data: A Case Study Comparing Palm, Rapeseed, and Coconut Oils for Sustainability and Nutrition

True Cost Accounting (TCA) aims to assess positive and negative externalities in agri-food value chains by focusing on four capitals: produced, natural, human, and social. While produced capital is easily measured through market values, obtaining relevant data for measuring natural, human, and social capitals can be challenging. To address this challenge, this paper presents a case study around the production in Asia of three globally important edible plant oils: palm, rapeseed, and coconut. Results show that readily available methods and data from different types of Life Cycle Assessments (LCAs) can be integrated into the framework of TCA to quantify and monetize positive and negative externalities associated with the production and consumption of these oils and to analyze the tradeoffs involved in choosing among them. However, the use of LCA methods and data also entails significant assumptions and limitations that must be considered when evaluating their use in TCA. Specific results show that the environmental impacts of production are small in comparison to the potential nutritional health benefits of consuming one oil over another. This study provides a roadmap for conducting similar analyses, allowing for a greater understanding of often overlooked sustainability and nutritional issues of food items.

Job satisfaction and turnover intention: A comprehensive review of the shared determinants

Background Human capital is a critical asset for organizations, impacting financial performance and market value. Maintaining a stable, committed workforce is challenging. Job satisfaction emerges as a pivotal factor influencing employees’ intentions to leave or turnover intention. However, both encompass diverse dimensions that can exert positive or negative effects. Objectives To explore the common factors affecting job satisfaction and turnover intention, focusing on the significant positive and negative relationships. Method A systematic review based on the PRISMA framework has been conducted. The data has been precisely identified, evaluated, and extracted from the SCOPUS database based on set benchmarks. Result The investigation revealed a variety of determinants that exhibit a significant correlation with job satisfaction and turnover intention, manifesting in both positive and negative associations. Furthermore, these elements have been linked to established motivational theories, suggesting a theoretical underpinning for the observed relationships between workplace dynamics and employee behavior. Conclusion The result intended to provide a comprehensive understanding of the factors by offering a framework for studying job satisfaction and turnover intention guiding future research in the field of knowledge.

Market Valuation Analysis of Selected Companies in the Healthcare Industry

The COVID-19 pandemic was characterized as a global phenomenon by the WHO in March 2020. The pandemic had significant effects, short and long-term impacts on healthcare companies and the healthcare industry. Hence, healthcare companies should analyze their financial performance to sustain themselves in this critical period. For that reason, this paper aims to comprehend how selected companies in the healthcare industry utilize all the components in a company’s financial statement to achieve outstanding company performance. Our analysis used market valuation ratios such as earnings per share (EPS) and book value per share (BVPS). To strengthen our analysis, we determine the strengths and weaknesses to assess the healthcare companies’ position in the market. Thus, we will recommend strategies that will aid the company in better performance in the future.

The impact of sustainable development on the relevance of accounting information and financial activities: Evidence from Thailand.

This study investigates the impact of sustainable development on the relevance of accounting information and financial activities of companies listed on the Stock Exchange of Thailand (SET). The results reveal that earnings per share and book value per share have a positive effect on market value, implying that higher earnings signal strong financial performance, thereby attracting more investor interest. Short-term and long-term debt financing have a negative effect on market value, suggesting that debt financing leads to increased financial risk. Current asset and fixed asset investments have a positive effect on market value by signaling confidence in operational performance. Dividend payouts have a positive effect on market value, demonstrating a commitment to returning value to investors, resulting in a stronger firm reputation and investor perception. However, firms that adhere to sustainable development guidelines face more complex dynamics. The results show that both earnings per share and book value per share have a negative effect on market value, suggesting that while they report high earnings per share and book value per share, these financial metrics cannot alleviate investor skepticism regarding sustainability as a cost of the firm. Short-term debt financing has a positive effect on market value because it provides a flexible and efficient way to fund sustainable investments without diluting equity or incurring long-term debt obligations, while the implications of long-term debt financing and current asset investments are insignificant. Furthermore, the significant positive effect of fixed asset investment underscores the potential long-term benefits of sustainability, despite high initial costs. Lastly, the non-significant negative impact of dividend payouts on market value suggests that the overall effect may also depend on various factors. These results support the idea of efficient market theory, which posits that investors may have negative reactions to what they perceive as financial burdens, diminishing the importance of positive financial metrics and altering market value. This study recommends that policymakers should carefully design regulations and incentives to support sustainable investments. Such approaches may include establishing specific funds, tax incentives, subsidies, and soft loans. Additionally, policymakers need to promote transparency and consistent reporting on the long-term financial benefits of sustainability, which can help reduce investor skepticism and foster a more positive market response. Finally, firms should clearly communicate their long-term sustainability efforts and benefits to investors and various stakeholders, leading to a positive interpretation of the firm's commitment to sustainable development.

Who benefits more from supply chain alliances? Customers or suppliers

Existing research provides limited evidence on the impact of supply chain relationships on the financial performance of upstream and downstream firms. Taking the recent proliferation of supply chain alliances between Chinese listed companies as an opportunity, we study the impact of supply chain alliances on the performance of customers and suppliers as well as the underlying mechanisms at play. We focus on Chinese A-share listed companies from 2001 to 2021 and use announcements issued by the listed companies to identify whether they have established a supply chain alliance with another listed company. The announcements come from the information disclosure system of listed companies of the Shenzhen Stock Exchange and the Shanghai Stock Exchange. Finally, we obtained 148 pairs of supply chain alliances which formed by 231 listed companies and involved 296 announcements of supply chain alliances. By using the propensity score matching method and difference-in-differences regressions, we find that supply chain alliances can alleviate friction between customers and suppliers and significantly improve the efficiency of working capital used by both customers and suppliers. Supply chain alliances increase suppliers’ inventory turnover and accounts receivable turnover, and reduce cash holdings, while supply chain alliances improve customer raw material turnover, and reduce accounts payable turnover. Moreover, the economic impact of supply chain alliances on customers and suppliers is asymmetric. Suppliers benefit more from alliances relative to customers, as evidenced by significant improvements in their financial performance and significantly reduced performance volatility. The “inherent differences” in market power and market value between customers and suppliers can have considerable asymmetries on economic consequences. We divide firms in a pair of supply chain alliances by market power and market value. The magnitude of the financial performance accruing from an alliance is considerably higher for the lower-market-power firm than for the higher-market-power firm. The magnitude of the financial performance accruing from an alliance is considerably higher for the lower-market-value firm than for the higher-market-value firm. Additionally, vertical supply chain alliances can significantly improve firm performance and reduce performance volatility compared to horizontal supply chain alliances. This paper provides new empirical evidence for our insight into the economic consequences of supply chain alliances and their boundary conditions.

ANALYSIS OF DIVIDENDS, DEBT, AND LIQUIDITY ON MANUFACTURING COMPANY VALUE IN THE COVID PERIOD

Company Value is a comparison between the market value of shares and the book value of the company's equity. The purpose of this study is to determine the effect of Dividends, Debt, and Liquidity on Company Value in manufacturing companies listed on the Indonesia Stock Exchange in 2020-2022. Using a sample of 48 companies and the analysis method using regression analysis with eviews software, it resulted that Dividends had a significant negative effect on Company Value. Debt Policy had a negative but insignificant effect on Company Value and Liquidity had a positive but insignificant effect on Company Value. The determination coefficient value of 75.03% means that the Company Value variable can be explained by the Dividend, Debt and Liquidity variables by 75.03%, while the remaining 24.97% is explained by other variables that affect Company Value. Suggestions that can be given to investors are to pay attention to the Dividend ratio because it affects Company Value, so that investment will be more profitable. For further researchers, take samples from other sectors so that results are obtained that better describe the overall condition of the company.

Effect of Lending Innovation on the Financial Performance of Listed Commercial Banks in Kenya

Commercial banks have quickly recognized that lending innovation is a viable strategy for expanding formal financial services into the unbanked regions of the country, such as urban, rural or marginalized areas. In this regard, banks have continued to deploy huge investments in financial-based innovations and manpower training to handle the new technologies. However, despite the numerous innovations that banks have adopted, a portion of them have kept on encountering a decline in market value, causing them to merge with others. Therefore, the purpose of this study was to ascertain the effect of the lending innovation on the financial performance of listed commercial banks in Kenya. The study adopted descriptive and correlational research designs. Twelve staff members from each bank were purposefully selected. The study utilized a questionnaire to collect primary data. The study assessed the validity of the study instrument using construct validity and content validity. To measure reliability, the Cronbach's alpha technique was employed. For statistical analysis of quantitative data, SPSS software version 22 was utilized. The results revealed that lending innovation had a significant positive effect on financial performance (β1=0.138, P=0.002). The study concluded that lending innovation has a significant positive effect on financial performance. The study recommended that listed commercial banks in Kenya should prioritize investment in lending innovation to enhance financial performance. This includes adopting innovative lending practices and technologies to improve service delivery and customer experience.

PKM Kewirausahaan Pengolahan Ubi Kayu Menjadi Keripik Singkong

Cassava is a food crop that has many advantages and can be an added value to increase the durability of cassava so that it is suitable for consumption and by utilizing cassava it obtains a high selling value on the market. Added value is the addition of value to a product before the production process is carried out and after the production process is carried out. Processing cassava into cassava chips is to increase the durability of the cassava so that it is suitable for consumption and to utilize the cassava to obtain a high selling value for marketing. Cassava chips are a snack product that many consumers like. The crunchy taste and cheap price offered make this product a suitable alternative to accompany relaxing time with family, co-workers, friends, and so on. Even though cassava has many advantages, including its ability to grow in difficult conditions, the price of cassava in Indonesia is still low compared to other staple crops. Therefore, innovation is needed to increase the selling value of cassava. One way to add value is to process cassava into cassava chips, which is a popular snack among people, especially teenagers. Cassava chips have a distinctive and crunchy taste, and the processing process provides added value to cassava

War Discourse and Disaster Premium: 160 Years of Evidence from the Stock Market

Abstract Using a semisupervised topic model on 7 million New York Times articles spanning 160 years, we test whether topics of media discourse predict future stock market excess returns to test rational and behavioral hypotheses about market valuation of disaster risk. Media discourse data address the challenge of sample size even when disasters are rare. Our methodology avoids look-ahead bias and addresses semantic shifts. Our discourse topics positively predicts market excess returns, with War having an out-of-sample $R^{2}$ of 1.35%. We call this effect the war return premium. The war return premium has increased in more recent time periods.

Carbon stocks and sequestration from small tree patches in grassland landscapes in Aotearoa-New Zealand

ABSTRACT Small patches of trees add structural heterogeneity to grassland landscapes, support biodiversity, and provide essential ecosystem services including carbon stocks and sequestration, erosion control, and shade provision. In Aotearoa-New Zealand (A-NZ) small patches of trees have further cultural significance within Te Ao Māori – the worldview of the indigenous Māori people. However, economic pressures have driven the management of grasslands either towards removing tree cover to enhance agricultural productivity, or large-scale conversion of grassland to production forests. Protecting existing small patches of trees, and encouraging their establishment across grassland landscapes, is challenging since the current extent and benefits of these patches is not known. This study demonstrates the critical contributions of small tree patches (those less than one hectare in area) in A-NZ grassland landscapes. Using a high-resolution tree cover dataset, we mapped 1,639,015 small tree patches in grasslands across A-NZ, with grassland small tree patches covering a total land area of between 185,589 ha and 187,928 ha. We used a probabilistic simulation approach to estimate carbon stocks and annual sequestration, revealing a potential aboveground carbon stock between 11.6 and 29.3 million tonnes (Mt) of carbon and an annual biomass sequestration of 0.3 Mt to 0.8 Mt. Despite their current exclusion from the national carbon emissions market, economic valuation suggests a liability of between $NZ 86.9 million and $NZ 8.6 billion (€47.9 million to €4.7. billion) if the small tree patches were felled, and a market value of between $NZ 2.0 million and $NZ 237.6 million (€1.1 and 130.9 million) annually for sequestration. Existing policies, including afforestation incentives, do not encourage protection or establishment of small patches of trees. Significant policy adjustments are required to recognize, protect, and incentivize the conservation and establishment of small patches of trees within grassland landscapes.

Growth and Decomposition Analysis of Major Fruits Grown in Punjab

Background: Punjab has been gifted with the suitable agro climatic conditions and topography for the cultivation of horticultural crops, particularly fruits and vegetables. Due to its easy cultivation on sandy loam soils, increased profitability and good market value in comparison to several other crops in the state, Punjab has gained popularity among fruit growers. Methods: The study was based on secondary data obtained on the basis of the largest area sown over the period of 13 years i.e., from 2010-11 to 2022-23. Statistical tools like Compound Annual Growth Rate (CAGR), instability index and decomposition analysis were used to analyze the trends in area, production and productivity of major fruits in Punjab. Result: Results revealed that growth rates of area, production and productivity had shown positive and significant in all the major fruits during the study period. The growth rate of area and production under kinnow was found to be lowest due to decline in area and production during the last three years. Cuddy-Della Valle Index indicates that fluctuations in area and production was found to be tremendously high under lemon and litchi. Decomposition analysis revealed that area under kinnow was the major contributing factor causing the change in production but it was the yield that played a major role in other fruits.

How Big Data Patents Affect Enterprise Data Technology's Impact on Market Value and Profitability

This paper explores in detail the impact of enterprise data technology capabilities on market value and profits. Using big data patent statistics closely related to data collection, analysis and application as a measurement standard, the study reveals the positive role of enterprise data technology capabilities in significantly improving market value, especially in the financial and wholesale and retail industries. However, despite the huge potential, most companies still face many challenges in converting this technological advantage into actual profits, and in some cases even have an adverse impact on the profits of industrial enterprises. It is worth noting that industrial internet supplier companies have successfully achieved a double leap in market value and profits with their comprehensive investment in R&D, capital, government subsidies and IT infrastructure. Based on this, the study puts forward a series of suggestions to promote enterprises to strengthen data technology capabilities, increase complementary investments, develop diversified application scenarios and profit models, and further improve data market mechanisms and infrastructure construction to comprehensively promote the effective development and utilization of data. In order to continue to promote the development and utilization of data by various market entities in USA, it is recommended to focus on improving enterprise data technology capabilities, increase complementary investments, develop application scenarios and profit models for data technologies, cultivate professional data service institutions, and promote the construction of data factor market mechanisms and infrastructure.

How Greenwashing Affects Firm Risk: An International Perspective

The effects of greenwashing as a corporate strategy on firm risk are not well defined. I construct a greenwashing measure for 3973 companies from 70 countries from 2012 to 2022. Using Dynamic Panel Modeling, I find results suggesting that greenwashing is a complex phenomenon with both positive and negative consequences. While it can improve a firm’s public image and potentially enhance its financial performance, it may also lead to increased risk and misallocation of resources. Greenwashing firms have a lower weighted average cost of capital due to a higher debt-to-capital ratio. They are larger, have higher institutional ownership, and lower dividend yields. On the other hand, greenwashing firms have more ESG-related controversies that can hurt firm revenues and market value, they have higher unsystematic risk, and they have lower dividend yields and return on equity. I also find evidence that there is a feedback relationship between ESG ratings and greenwashing. There is no evidence that government mandates on ESG reporting inhibit greenwashing. The implication is that ESG scoring that emphasizes reporting ESG activities while informing investors also encourages greenwashing.

The Celadon Group: accounting shenanigans backfire

Research methodology The authors gathered the core information for this case using publicly available filings from the US Department of Justice and the US Securities and Exchange Commission. Publicly available news articles were used to complement the core information. All sources are cited. Case overview/synopsis This case involves an assumed fraud perpetrated by the C-suite members of Celadon Group, Inc. – formerly one of the largest trucking companies in North America. By 2016, the value of Celadon’s truck inventory significantly decreased in value. Instead of reducing the inventory to its market value on the Balance Sheet, management engaged in a series of trades and creative accounting to conceal the fact they had overvalued the trucks. Investment analysts at Prescience Point Capital Management and Jay Yoon (both published on Seeking Alpha) found inconsistencies and red flags in Celadon’s 2016 and 2017 financial reports and reported their suspicions to the public. Soon after, Celadon’s audit committee declared the company’s recent financial statements could no longer be relied upon, resulting in an immediate market loss of $62.3m. In 2019, Celadon entered into a Deferred Prosecution Agreement and was ordered to pay $42.2m in restitution. The Department of Justice (DOJ) criminally charged Danny Williams (president of Quality, a Celadon subsidiary) and he entered a plea agreement. The DOJ also criminally charged Bobby Lee Peavler (CFO) and William Eric Meek (COO). Celadon filed for bankruptcy and operations ceased. Then, in an unexpected turn of events, in 2022, the DOJ dismissed the criminal case against Peavler and Meek. Complexity academic level This case allows students to apply theory learned in a fraud examination or forensic accounting course to an actual fraud case. It discusses red flags and how perpetrators of fraud often need to keep perpetrating wrongdoing to keep the original fraud from being discovered. The authors designed the case for upper-level or graduate business students. It should be included in the course when covering financial statement fraud.