Volume : V, Issue : I, January - 2015

EQUITY SHARE PRICE DETERMINANTS–AN EMPIRICAL ANALYSIS (An Empirical Analysis on select Steel Companies in India)

Kiran Challa, G. V. Chalam

Abstract :

The determinants of share prices are frequently a topic of debate. Economists and Investors hold different view as far as the pricing of a share is concerned. Fundamental variables on share price are very much helpful to investors as it will help them in taking profitable investment decisions. To estimate the future share prices, fundamental analysts use stock valuation ratios to derive a shares current fair value and estimate future value. This study analyses selected steel companies to know the impact of selected accounting variables like Book Value, Dividend per Share, Earnings per Share, Size of the Firm, Dividend Payout ratio, Dividend Yield, Return on Net worth and P/E ratio on the equity prices of listed companies in Bombay Stock Exchange. The results confirm the significance of Book value and Return on Net worth as determinants of Market Share Price by the statistical tool of multiple regressions.

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Article: Download PDF   DOI : 10.36106/ijar  

Cite This Article:

Kiran Challa,G.V.Chalam EQUITY SHARE PRICE DETERMINANTS‾AN EMPIRICAL ANALYSIS (An Empirical Analysis on select Steel Companies in India) Indian Journal of Applied Research, Vol.5, Issue : 1 January 2015

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