A study on the relationship between Malaysian stock returns and financial ratios / Branda Jaibol
The purpose of this paper is to study the relationship between the financial ratios and the stock returns in Malaysia during the period of 2006 - 2015. The financial ratios including dividend yield (DY), earnings yield (EY), and book-to-market ratios (BM) are selected as the predictor variables....
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| Main Author: | |
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| Format: | Student Project |
| Language: | English |
| Published: |
2016
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| Subjects: | |
| Online Access: | https://ir.uitm.edu.my/id/eprint/50111/1/50111.pdf https://ir.uitm.edu.my/id/eprint/50111/ |
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| Summary: | The purpose of this paper is to study the relationship between the financial ratios and
the stock returns in Malaysia during the period of 2006 - 2015. The financial ratios
including dividend yield (DY), earnings yield (EY), and book-to-market ratios (BM)
are selected as the predictor variables. in addition, this paper also included return on
equity (ROE) as a variable in predicting the stock return in Malaysia. The finding
shows that both DY and BM have positive significant relationship towards Malaysian
stock return while EY and ROE have no significant relationship with the Malaysian
Stock Return. It was proved that financial ratios can predict the stock return and BM
have the highest predictive power among the variables. |
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