Need Topmost Factors Influencing The Stock Prices Assignment Help? Expertsminds Is A Best Choice For Your Requirements!

Home   Course   Factors Influencing The Stock Prices Assignment Help
Previous << || >> Next

Factors Influencing The Stock Prices

WORK TOGETHER WITH EXPERTSMIND’S TUTOR TO ACHIEVE SUCCESS IN FACTORS INFLUENCING THE STOCK PRICES ASSIGNMENT!

Question: Summarize the article: Study Of Factors Influencing The Stock Prices Of Selected IT, Cement And Pharmaceutical Companies In Indian (2011-2016).

a. Introduction

Answer: The Author is trying to say that the stock prices of a firm is dependent upon the firms earnings and the prevailing price earning ratio. How the firm's management pursues a dividend policy is also very important for the stock prices. In the short term the stock prices are believed to be influenced by the earnings, future earning potential and price earnings ratios. Also the research assignment is aimed to prove that other economic factors and growth of the economy would influence the stock prices in the long term. The paper looked at providing conclusive evidence as to how the EPS, dividend payments and the price earnings ratios would influence the stock prices in the selected industries in between 2011-2016.

b. Theoretical Background (literature review).

Answer: Many studiesundertaken in the recent past has reflected that the industry PE ratio affects the stock prices in particular periods but the researches generallyignored the effect of the EPSon the stock prices. However many writers like (Damodaran, 2012) believed that the stock prices were influenced by the ability of the firm to earn or generate significant EPS. If the EPSis believed to be growingthenthe same would mean the stock prices are expected to increase in the near term(Agnihotri, 2017). However its certain that there are many other variables which can be prove to be decisive in determining the stock prices and their impact can vary in different industries.

c. Research Methodology

Answer: The research which was undertaken was only analytical in nature and data from a selected 15 firms from the IT, cement and pharma segments were included.

Statistical tools such as Regression, Correlation, Multiple regression were included in the study. Data for the respective analysis was selected form the NSE website and was analyzed using software.

EXPERTSMINDS.COM ACCEPTS INSTANT AND SHORT DEADLINES ORDER FOR FACTORS INFLUENCING THE STOCK PRICES ASSIGNMENT – ORDER TODAY FOR EXCELLENCE!

d. Empirical analysis.

Answer: The Empirical analysis undertaken pointed towards the following results for the Cement industry :

a) It was found that there exists a significant relationship (correlation) between the firms stock prices and EPS/DPS.

b) However for the cement companies it was found that the stock prices were more influenced by the price earning ratios.

The Empirical analysis undertaken found the following results for the IT industry :

a) It was found that there exists a significant relationship (correlation) between the firms stock prices and EPS/DPS.

b) However for 50% of the companies it was found that the stock prices were more influenced by the price earning ratios. Also there exists a very strong relationship between stock prices and DPS.

For the Pharma Industry the following results were detected:

CIPLA which was a big pharma company showed higher correlation with the firms EPS and stock prices and lower correlation with P/E. however some companies showed very high correlation with stock prices as with the Eps/DPS and the P/E ratio.

e. Conclusions and Recommendations.

Answer: The hypothesis that EPS, DPS and Price earnings ratios were independent variables exercising considerable influence over the stock prices were accepted after the ANOVA test was done. For most of the Firms under analysis the DPS was found to have a significant driver of stock prices. However it was analyzed that the DPS , EPS and Price earnings ratios were not too explanatory for the Pharma industry and economic growth of the industry and future innovations might be more significantly related to stock price movements. Thus it can be concluded by saying that even though DPS, EPS and P/E ratios were variables which were seen to be influencing the stock prices they were not always the most significant variables. Management expertise and the ability ofthe management to drive growth is a significant variable driving stock prices and firms valuation(ROSS and Westerfield, 2012).

GET GUARANTEED SATISFACTION OR MONEY BACK UNDER FACTORS INFLUENCING THE STOCK PRICES ASSIGNMENT HELP SERVICES OF EXPERTSMINDS.COM – ORDER TODAY NEW COPY OF THIS ASSIGNMENT!

Tag This :- Factors Influencing The Stock Prices Assignment Help, EM201923HAS71FIN

get assignment Quote

Assignment Samples

    Reflection Paper Assignment Help

    reflection paper assignment help - based on the ability to capture the value of the seminar series, critique its contribution to their professional development

    BUMGT5970 Leadership Assignment Help

    bumgt5970 leadership assignment help - the assignment was a reflection on the leadership classes that the student took. the entire structure was provided

    ITC595 Research Project Assignment Help

    itc595 research project assignment help, Charles Sturt University, Australia - Prepare a research paper on "Security threats in cloud computing and prevention.

Get Academic Excellence with Best Skilled Tutor! Order Assignment Now! Submit Assignment