scholarly journals Corporate governance and market cap destruction: A predictive model

2015 ◽  
Vol 12 (2) ◽  
pp. 659-665
Author(s):  
Hugh Grove ◽  
Maclyn Clouse
Keyword(s):  
Corporate Governance ◽  
Stock Market ◽  
Predictive Model ◽  
Gold Mining ◽  
Market Performance ◽  
Company Performance ◽  
Market Capitalization ◽  
Mining Companies ◽  
Stock Market Performance ◽  
The U.S

By focusing on specific board variables, both company performance and stock market performance have been investigated and a more comprehensive corporate governance approach has been advocated to help improve such performances (Larcker et al. 2007 and Grove et. al. 2011). In this paper, we extend such analyses by investigating a relationship between such corporate governance variables and market capitalization. We specifically integrate corporate governance variables into a predictive model for market capitalization (cap) destruction, using the example of the largest six (“Big 6”) gold mining companies publicly-listed in the U.S.

scholarly journals COMPARATIVE ANALYSIS OF POST-RECESSION STOCK MARKET PERFORMANCE IN THE BALTIC STATES

2018 ◽  
Vol 12 (1) ◽  
pp. 37-46
Author(s):  
Irina Pilvere ◽  
Aija Pilvere-Javorska ◽  
Baiba Rivza
Keyword(s):  
Comparative Analysis ◽  
Stock Market ◽  
Market Performance ◽  
Bank Lending ◽  
Listed Companies ◽  
Baltic States ◽  
Market Capitalization ◽  
Main Research ◽  
Stock Market Performance ◽  
The Baltic

Stock market is alternative place to bank lending for company’s finance and contributor to economic development. Baltic States is market, which traditionally is perceived as one, however it is comprised of 3 separate stock markets. Research aim was to conduct comparative analysis of stock market development performance post-recession in the Baltic States.. In order to perform analysis, number of listed companies, their market capitalization and structure in Baltic States were analyzed and also compared to main economic indicators structure in 2008-2018 6 months. The main research methods are: analysis, synthesis, the logical construction method, the induction and deduction methods, as well as time series analysis. Authors have determined main stock market performance indicators and compared stock market indicators structure with Baltic region’s economic structure. Research results indicates that number of listed companies had increased only in Estonia, also market capitalization there had experienced their value to more than double in analyzed period. In Lithuania number of companies had declined, while market capitalization the growth was slower when compared to in Estonia, while more linear. In turn, stock market capitalization and number of listed companies in Latvia were declining in 2008-2018 6 months. Overall number of listed companies in Baltic States was decreasing, while their market capitalization is increasing, but still is only 60% of value it was in pre-recession year 2007. In Estonia and in Lithuania average listed companies are larger in size, when compared to in Latvia. Size of average listed companies on stock market in Estonia and in Lithuania more than doubled in size, while in Latvia it showed insignificant growth. Stock market indicators’ structure had insignificant deviations from the main economic indicator structure in 2008, while in 6 months 2018 dynamics in Latvia stock market parameters had dropped in the structure among all 3 Baltic States. Overall, in Latvia stock market is lagging behind, when compared to one in Estonia and in Lithuania in analyzed period, thus all 3 Baltic States has had asymmetrical recovery and development speed post-recession.

scholarly journals STOCK MARKET PERFORMANCE AND THE AUGMENTATION OF FRONTIER ECONOMIES: A Comparative Scrutiny of Nigeria & Mauritius

2016 ◽  
Author(s):  
Edesiri Godsday Okoro
Keyword(s):  
Stock Market ◽  
Financial Services ◽  
Negative Impact ◽  
Market Performance ◽  
Modus Operandi ◽  
Market Capitalization ◽  
Paired Samples ◽  
Economic Progress ◽  
Stock Market Performance ◽  
Fail Safe

<p><em>This paper provides a comparative analysis on stock market performance and augmentation of frontier economies: Nigeria and Mauritius. Using a Paired-Samples T-test statistical modus-operandi, data of Market Capitalization and Gross Domestic Product were obtained from the Central Bank of Nigeria Statistical Bulletin and Annual Financial Services Commission Statistical Bulletin of Mauritius during 2006-2010. The findings revealed that stock market performance for Mauritius was superior to Nigeria and same for GDP. In addition, the negativity shows that stock market performance has a negative impact on economic progress in Nigeria and Mauritius. This may be due to the fact that frontier markets give attention to money market while relegating stock market to the background. </em><em>On this note, since stock market contributes significantly to economic growth, efforts by both governments should be that of developing policies aimed at further strengthening stock market. These policies should not be ‘written-policies’ but policies that can be put into practice. Also, market capitalization can be stimulated by encouraging investments in stock market. This can be done by ensuring investors are fail-safe of their investments. When investors perceive a safety of their investment, they may want to commit their resources and in turn make the economy to flourish.</em></p>

scholarly journals Does CEO Turnover Affect Stock Market Performance through Company Performance in Indonesian Companies?

2019 ◽  
Vol 4 (1) ◽  
pp. 15
Author(s):  
Nera Marinda Machdar
Keyword(s):  
Stock Market ◽  
Stock Exchange ◽  
Theoretical Perspective ◽  
Market Performance ◽  
Ceo Turnover ◽  
Company Performance ◽  
Manufacturing Companies ◽  
Age Related ◽  
Stock Market Performance ◽  
Positive Effect

This study analyzes whether CEO turnover affects stock market performance through company performance in Indonesian companies. Specifically, this study examines: (1) Does the CEO turnover affect the stock market performance? (2) Does the CEO turnover affect the company performance and (3) Does the CEO turnover affect the stock market performance through the company performance? This study does not test the CEO turnover due to death, forced resignation, voluntary departures, and age-related retirement considering that almost all companies in Indonesia are family companies. This study uses the manufacturing companies listed on the Indonesia Stock Exchange as an analysis unit with the study period during 2010-2015. The finding of this study concludes that (1) the CEO turnover has a positive effect on the stock market performance, (2) the CEO turnover has a positive effect on the company performance, and (3) the CEO turnover does not affect the stock market performance through the company performance. This study has an implication from a theoretical perspective, i.e. the CEO turnover has a positive effect on the stock market performance and the company performance. However, CEO turnover does not affect the stock market performance through company performance. Then, the company performance is not an intervening variable of the effect of the CEO turnover on the stock market performance.

A year of rising dangerously? The U.S. stock market performance in the aftermath of the presidential election

2018 ◽  
Vol 40 (3) ◽  
pp. 489-502 ◽  
Author(s):  
Olivier Blanchard ◽  
Christopher G. Collins ◽  
Mohammad R. Jahan-Parvar ◽  
Thomas Pellet ◽  
Beth Anne Wilson
Keyword(s):  
Stock Market ◽  
Presidential Election ◽  
Market Performance ◽  
Stock Market Performance ◽  
The U.S

scholarly journals COVID-19 and instability of stock market performance: evidence from the U.S.

2021 ◽  
Vol 7 (1) ◽  
Author(s):  
Hui Hong ◽  
Zhicun Bian ◽  
Chien-Chiang Lee
Keyword(s):  
Stock Market ◽  
Linear Time ◽  
Market Performance ◽  
Price Volatility ◽  
Wealth Inequality ◽  
Return Predictability ◽  
Theory And Practice ◽  
Link Type ◽  
Stock Market Performance ◽  
The U.S

AbstractThe effect of COVID-19 on stock market performance has important implications for both financial theory and practice. This paper examines the relationship between COVID-19 and the instability of both stock return predictability and price volatility in the U.S over the period January 1st, 2019 to June 30th, 2020 by using the methodologies of Bai and Perron (Econometrica 66:47–78, 1998. 10.2307/2998540; J Appl Econo 18:1–22, 2003. 10.1002/jae.659), Elliot and Muller (Optimal testing general breaking processes in linear time series models. University of California at San Diego Economic Working Paper, 2004), and Xu (J Econ 173:126–142, 2013. 10.1016/j.jeconom.2012.11.001). The results highlight a single break in return predictability and price volatility of both S&P 500 and DJIA. The timing of the break is consistent with the COVID-19 outbreak, or more specifically the stock selling-offs by the U.S. senate committee members before COVID-19 crashed the market. Furthermore, return predictability and price volatility significantly increased following the derived break. The findings suggest that the pandemic crisis was associated with market inefficiency, creating profitable opportunities for traders and speculators. Furthermore, it also induced income and wealth inequality between market participants with plenty of liquidity at hand and those short of funds.

scholarly journals The impact of internal governance mechanisms on financial and stock market performance of listed companies: Evidence from an emerging market

2020 ◽  
Vol 9 (4) ◽  
pp. 126-138
Author(s):  
Houcine Berbou ◽  
Oumaima Sadqi
Keyword(s):  
Corporate Governance ◽  
Stock Market ◽  
Emerging Market ◽  
Market Performance ◽  
Listed Companies ◽  
Governance Mechanisms ◽  
Internal Governance ◽  
Internal Governance Mechanisms ◽  
Stock Market Performance ◽  
The Impact

The aim of this paper is to empirically test the impact of internal governance mechanisms on the financial and stock market performance of Moroccan listed companies. Board of directors’ characteristics such as independence and transparency, concentration, and presence of employees in the ownership structure, as well as some cognitive aspects of governance, represent the basis for discussion. Secondary data of a sample of 44 listed companies in the Casablanca Stock Exchange was analyzed using multiple linear regression. The results of this empirical study revealed that the financial and stock market performance of the companies that are captured by the return on equity (ROE) and the market to book ratio (M to B) significantly correlate with the adoption of the hybrid corporate governance approach. The relevance of this study is to enrich researches that deal with corporate governance and its impact on business performance in the context of Moroccan listed companies.

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