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The board of directors is an important corporate governance mechanism as it is responsible for the operation of a firm and protects the value of the investment made by investors in the firm. Therefore, board members should be supplied with an appropriate incentive to properly discharge their duties. One of the most important incentive mechanisms is remuneration. This study aims to reveal the effect of board members' remuneration on the firm performance. Regression analysis was performed to test the hypotheses. 210 firm-year observations obtained from 76 non-financial firms traded in the BIST 100 between the 2018-2020 period were used. The indicators of firm performance return on assets, return on equity, and earnings per share. As a consequence of the study, the relationship between board members' remuneration and firm performance was found to be positive and statistically significant. These results show that the board members' remuneration is a strong incentive used to increase the firm performance and that a suitable remuneration policy should be established for directors. [ABSTRACT FROM AUTHOR]

The shipping industry transports nearly 80% of the goods worldwide and requires large funding. The shipping industry shifted from debt to equity as the source of funding in the last decade. Because most shipping companies already had their initial public offering before 2013, these companies tend to engage in follow-on equity offerings (FPO). However, the challenge faced by the shipping companies is the lack of knowledge on successful FPO. The purpose of this study is to identify the most influential factors affecting shipping companies’ FPO from the investor perspective. This research applies a hybrid multiple-criteria decision-making model integrating the fuzzy-Delphi method and Decision-Making Trial and Evaluation Laboratory, processing survey responses covering four dimensions and 16 criteria from 33 investment experts. The results show that financial indicator is the primary cause affecting offering condition, technical indicators. An increase in earnings per share would help the financial performance of the shipping companies to appear most attractive to investors. [ABSTRACT FROM AUTHOR]

Financial management is an important part of enterprise management, aiming to ensure the reasonable utilization of financial resources and help enterprises achieve business goals. This study utilizes chaotic particle swarm optimization algorithm to optimize the backpropagation neural network, and based on this, constructs a financial management early warning model for enterprise circular economy. Performance testing experiments show that the error reaches the target accuracy of 0.042881, with an R-value of 0.92287, indicating high prediction accuracy of the model; In the comparison experiment with the backpropagation model and the genetic feedback model, this study constructed a model with faster convergence speed and an overall accuracy of 92%, significantly higher than the other two models, further verifying the superiority of the chaotic particle swarm feedback neural network model. This indicates that the research model has certain application value in the financial management of circular economy in enterprises. Financial risk early warning model (EWM) usually include two basic parts: warning indicators and simulation scenarios. Early warning indicators offer insight into the financial status of investment schemes, which may include return on investment, asset turnover, and earnings per share, among others. A variety of indicators can effectively represent the financial state of a company. This study will provide a detailed introduction to the indicator system of the financial management (FM) EWM. Before constructing an EWM indicator system, it is essential to first classify the financial risk levels. [ABSTRACT FROM AUTHOR]

An investor who wants to invest must consider his investment goals, by looking at the range of the length of time to anticipate risks that may occur as little as possible. So the most important thing for investors is to understand what investment instruments are suitable and will be chosen to be used in investing, and to achieve the purpose of the investment itself, namely the acquisition of profits in the future. In this study the author used quantitative descriptive method. Quantitative research according to Sujarweni (2021: 39) is a type of research that produces findings that can be achieved using statistical procedures. Meanwhile, according to Sujarweni (2021: 39), quantitative research is a process to find knowledge that uses data in the form of numbers as a tool to analyze information about what you want to know. [ABSTRACT FROM AUTHOR]

In this study, listed manufacturing companies in Borsa İstanbul are examined for the 2017-2021 period to reveal their motives for revaluing Property Plant and Equipment. Financial Leverage (LEV), Return on Assets (ROA), Return on Equity (ROE), Market Value/Book Value (M/B), and Earnings Per Share (EPS) ratios are compared based on borrowing capacity, political costs, and information asymmetry theories. Results reveal that there is no difference between the pre and post revaluation periods. However, revaluing and non-revaluing companies exhibit statistically sifgnificant differences in ROA, ROE, and EPS. It may indicate that revaluing companies use revaluation to improve their equity and total assets. [ABSTRACT FROM AUTHOR]

This study presents a comprehensive analysis of dividend payouts in the banking sector, with specific focus on cash flow and earnings approaches. Study examines and tests the determinant variables of dividend payouts using the Ordinary Least Squares (OLS) Regression method. Data for this analysis is collected from the audited financial reports of 50 manufacturing companies listed on Pakistan Stock Exchange during the five-year period from 2017 to 2021. Study's results reveal that firms tend to exhibit higher dividend payouts when they project high profitability growth, indicating a correlation between profitability and dividend payments. However, study did not find a significant effect of earnings per share on dividend per share, despite the positive impact of profitability on dividend payout. On the other hand, cash flow per share demonstrated positive and significant influence on dividend per share. These findings offer valuable insights for the investors and decision-makers, providing them with useful information for making investment choices. The analysis allows for an examination of the factors that affect dividend decisions. This research expands the understanding of how cash flow and earnings influence dividend payouts and enhances the theoretical foundation of dividend policy in context of listed manufacturing companies. [ABSTRACT FROM AUTHOR]

This study aims to test and analyze the effect of capital structure, profitability, investment opportunity set, firm value, earnings per share, and dividend policy, on stock returns. Our research uses regression analysis to determine and analyze the influence of independent variables on dependent variables. The objects in this study are companies incorporated in LQ45 for the period 2013 - 2021. The reason for choosing LQ45 is because it is a type of index used to measure the price performance of stocks that have high liquidity and large market capitalization and are supported by good firm fundamentals. The results of the study found that the capital structure with indicators debt to equity ratio has a significant negative effect on stock return. Profitability with indicators return on equity and investment opportunity set with indicators price earnings ratio have a positive and significant effect on stock return. While other findings from our study are firm value with price to book value indicators, profitability from the investor's point of view represented by earning per share indicators, and dividend policy with dividend payout ratio indicators have no effect on stock return. [ABSTRACT FROM AUTHOR]

The article informs about the need to revise diluted earnings per share (EPS) calculations in financial reporting standards. Topic include It highlights the historical complexity and issues with previous standards and presents recommendations for improving the economic reality and presentation of diluted EPS, especially in the context of increasing convertible bond issuances, to better serve the needs of investors, lenders, and creditors in making financial decisions.

In this study, the financial performance ranking of the companies included in the BIST Corporate Governance Index for the period 2019-2021 was made using the CRITIC-MABAC and ENTROPY-MABAC methods. Return on assets, return on equity, gross profit margin, net profit margin, EBIT margin, earnings per share and market value/book variables were used as evaluation criteria in the research. In this context, the weights of the criteria were calculated with the CRITIC and ENTROPY methods, which are among the methods of determining the criteria weights objectively, and then the financial performance ranking of these companies over the years was carried out with the MABAC method. Performance rankings obtained by ENTROPY-MABAC and CRITIC-MABAC methods were compared. As a result of the analysis, it was determined that the company with the best performance in 2019 according to the CRITIC-MABAC and ENTROPY-MABAC methods was the LOGO company, and the company with the best performance in 2020 and 2021 was the PRKME company. [ABSTRACT FROM AUTHOR]

While businesses make their financial analysis and planning according to the balance sheet and income statement, businesses that want to make more accurate decisions also benefit from the cash flow statement. In this context, businesses are divided into profiles according to the criteria determined by Gup et al., based on cash flows from operating activities, cash flows from investment activities and cash flows from financial activities, which are the components of the cash flow statement. In this study, cash flow profiles of 47 companies traded in the Borsa Istanbul (BIST) 100 index were determined developed by Gup et al. according to the 2012-2021 cash flow table data. According to their cash flow profiles, 57.87% of the companies are 2nd profile "successful businesses", 23.19% are 4th profile "growing businesses", 8.51% are 3rd profile "declining or restructuring companies". " and 8.30% clustered in the 6th Profile "fast growing young business" profiles. The CRITIC-based MOORA method, one of the multi-criteria decisionmaking methods, was used in the ranking, which was made by taking into account the cash flow profiles of the companies. Which of the criteria determined in the ranking of the companies will be explained better by the CRITIC method, and the ranking of these companies according to the determined criteria was made by the MOORA method. According to the criteria weighting made with the CRITIC method, the most important criteria to be taken as a basis for the ranking of the companies were determined as leverage ratio, group model score, stock return, market value / book value ratio, price earnings ratio, total debt and earnings per share. EGEEN, KUTPO, SASA, HEKTS and OTKAR were identified as the top 5 companies in the ranking based on the MOORA method, taking into account the financial ratios and the group model score. [ABSTRACT FROM AUTHOR]

The accounting component of human capital has not yet been fully adopted and implemented in the corporate financial reporting of corporate organizations. Determining the impact of human resource accounting on turnover, earnings per share, and capital employed in the corporate performance of the listed businesses on the Nigerian stock exchange is the goal of the current study. The study used a descriptive longitudinal research design, and the sample size used was 29, with the study population being made up of 188 companies that are listed on the Nigerian Stock Exchange. The study employed both descriptive and inferential statistical tools of analysis. The inferential statistical approach used was panel regression analysis, and frequency tables were the descriptive approach for the study's demography part. The results of the study demonstrate that (I) human resource accounting significantly influences business turnover, (ii) human resource accounting significantly influences earnings per share, and (iii) human resource accounting significantly influences the return on capital employed. In conclusion, financial reports would be more useful for making decisions if human resources were included as an asset rather than reported in the traditional manner. Therefore, the study suggests that the listed firms adopt a culture of valuing and disclosing education, training, and ongoing retraining of their human resources to enhance performance. [ABSTRACT FROM AUTHOR]

The study analyzed the relationship between optimism, anchoring, overconfidence, representativeness, realism, commonality and time, with the accuracy in the profit forecast of analysts. Publicly traded Brazilian companies were considered in 2019, and correlation tests, mean differences and multiple regression analyses were applied. The results indicated that accuracy is negatively influenced by optimism and positively by anchoring and commonality. In addition, the uncertainty present in the distance between the forecast issued and the disclosure of earnings per share also negatively influences the accuracy of analysts. Additionally, it was found that fair value, profitability, issuing ADRs and self-regulated sector, are aspects related to greater accuracy. Thus, the research contributes to the literature by linking behavioral and temporal aspects to financial ones, as well as by signaling the importance of analysts' forecasting models to consider behavioral aspects in their information technologies. [ABSTRACT FROM AUTHOR]

The present study has been conducted to examine the impact of seven of most important internal factors on stock prices for all listed banks in Dubai and Abu Dhabi stock markets. Pooled Least Square, Fixed Effects (FE), and Random Effects (RE) models have been used to carry out the analysis for data pertaining to 23 banks for a time period between 2014-2017. The aim of the study is to examine the most important internal factors affecting stock prices in the banking sector of United Arab Emirates, and whether internal factors determining stock prices in this sector are the same for Dubai and Abu Dhabi stock markets. The results give evidence of positive and significant impact of Earnings Per Share (EPS) and Dividend Per Share (DPS) on market price for shares, in all markets for the former and only in Abu Dhabi stock market for the later. By contrast, the study reveals a negative impact of Return on Equity (RoE), Dividend Yield (DY), and Price Earnings (P_E) on market price for shares. Even more important, the study gives evidence of differentiated impact of variables representing dividend policies, on market price for shares, between the two markets investigated in United Arab Emirates. [ABSTRACT FROM AUTHOR]

Integrated reporting (IR) contains a lot of important information for firms, such as income, cash flows, risks, uncertainties, intellectual capital, social capital and environmental capital. Based on the relevant literature it is found that the adoption of integrated reporting affects the firms' value in the short, medium and long term and, at the same time affects its environmental, social and governance performances. The aim of this paper is to analyze the impact of integrated reporting in European energy firms' value relevance. To do so, the panel data concerning 38 European energy distribution listed firms are analyzed, using statistical and econometrical methods including OLS, WLS, fixed effects and random effects models. The paper's main novelty is that it concerns a sector that plays a key role in the economic development of countries and, at the same time only a few studies are carried out concerning the examined subject in this sector. The research results have revealed that integrated reporting, book value and earnings per share have a statistically significantly effect on energy firms' market value. Thus, it is proposed that energy firms adopt IR. [ABSTRACT FROM AUTHOR]

Since the industrial revolution, greenhouse gas emissions, especially carbon dioxide (CO2) emissions, cause climate change. In addition, the stakeholders of the firms are conscious about the management of climate change risks and demand non-financial information as well as financial information from the firms. Therefore, in the fight against climate change, firms provide explanatory information in sustainability and Carbon Disclosure Project (CDP) reports to their stakeholders about what they do to reduce greenhouse gas emissions and the number of emissions over the years. Because the amount of carbon emissions is not only for global warming, but also affects the financial performance of firms and jeopardizes their sustainability. In this context, the purpose of the study is to investigate the effect of carbon emissions on the financial performance of non-financial firms listed in the BIST100 Index in the period of 2014-2021 with panel regression models. Accordingly, the relationship between firms' total carbon emissions and financial performance indicators (return on assets, return on equity, Tobin's Q, net profit margin and earnings per share) has been tested. The findings show that although there is a significant and negative relationship between carbon emissions, return on assets and earnings per share, there is no significant relationship with other financial performance indicators. [ABSTRACT FROM AUTHOR]

Purpose: This study aimed to analyze the relationship between executive remuneration and the economic-financial and socio-environmental performance of publicly traded Brazilian companies. Methodology: The study sample comprises companies in the Brazil Index 50 (IBrX-50), portfolio from May to August 2020. After exclusions, the final survey sample is composed of 34 companies, with a total of 68 observations and the period of analysis was the years 2018 and 2019. Data were collected manually in the Reference Form, item 13 and on the website of each company. For data analysis, statistical techniques were used, such as descriptive, correlations and multiple linear regressions. Results: For model 1, the Return on Equity (ROE) and Business Sustainability Index (ISE) variables showed significant and negative relationships with the RTM, indicating that the higher the ROE of the companies, the lower the Average Total Compensation (RTM). Also, the variable ENVID showed a significant and positive relationship, where the higher the company's Total Debt (ENDIV), the higher the RTM. For model 2 of Fixed Compensation (RF), the ROE also presented a significant and negative relationship. The Earnings per Share (LPA) and ENDIV variables showed a significant and positive relationship, indicating that higher values in these variables will increase the RF given to executives. Contributions of the Study: This study contributes to the literature on compensation and performance by adding social and environmental variables to the theoretical and practical framework through the interconnection of executive compensation. Thus, it was possible to understand new relationships between traditional economic-financial and socio-environmental factors, while good communication and good governance practices with stakeholders present positive results for the organization. [ABSTRACT FROM AUTHOR]

The study examined the relationship between ownership structure and financial performance of commercial banks in Kenya for the period 2009–2020. The data were collected from audited financial statements of 39 commercial banks in Kenya. Regression results found strong evidence on ownership structures in explaining the differences in commercial banks' financial performance. The results established that the greatest influence of ownership structures was on net interest margin at 53.04% and return on assets at 31.37%. Influence of ownership structures was found to be low on return on equity at 3.32% and earnings per share at 2.13%. The results found a negative association between state ownership and net interest margin, negative association between management ownership and both net interest margin and earnings per share, negative association between institutional ownership and return on assets and a negative association between foreign ownership and earnings per share. Based on the findings, commercial banks should vary their ownership structures to boost financial performance. Secondly, banks with high percentage of state ownership should consider partial privatization to improve corporate governance practices. Third, banks should adopt managerial ownership policy limiting the proportion of equity stock on executives to limit their powers in strategic decision making. Fourth, the study proposes a percentage limit on equity stock of an individual institutional investor. Lastly, the study proposes that bank's management to come up with a policy detailing the role and place of foreign investors in strategic decision making to ensure their presence in every decision undertaken by bank managers. [ABSTRACT FROM AUTHOR]

The aim of this article was to analyze the relationship between the informational content of the key audit matters (KAMs) reported in the Independent Audit Report (IAR) and financial analysts’ forecasts for the companies listed on the B3 S.A. – Brasil, Bolsa, Balcão (B3). The research that has investigated the relevance of KAMs has not analyzed the incremental information about the audited firm, from the independent auditor’s viewpoint, that can affect financial analysts’ forecasts. The findings of this research reveal that the KAMs reported present relevant informational content about the audited firm for financial analysts, thus improving the quality of their forecasts. In addition, it was observed in the quantile analysis that the KAMs contribute to the fine tuning of analysts’ forecasts. The debate on the auditor-analyst relationship is also widened, specifically regarding the utility of KAMs for financial analysts, in terms of them considering using this information in their projections for the analyzed companies, thus reinforcing the search for their improvement by the regulator. The analysis was conducted based on generalized least squares (GLS) and quantile regressions covering 137 non-financial companies, using data from (quarterly and annual) analysts’ forecasts available from Thomson Reuters Eikon® and financial information from Economatica®. In general, the quantity and content of the items reported as KAMs were revealed to be significant in relation to the analysts’ earnings per share forecasts and to their forecasting error, revealing a reduction in asymmetry. Thus, the higher the informational value of the KAMs, the better the quality of that information is, contributing to forming an earnings forecast consensus and minimizing the error in the financial analysts’ estimates. In addition, it was observed that the disclosure of KAMs has no immediate reflection in the earnings forecast in the quarter following their disclosure, with their informational content being diluted over the following financial period, impacting the annual earnings forecast. [ABSTRACT FROM AUTHOR]

Dividend policy is one of the most important financial decisions managers encounter. This study contributes to empirical studies examining the relationship between cash dividends and earnings growth of companies listed on the Tehran Stock Exchange during the period 2007- 2020. As a result, 131 companies have been examined with the multiple regression estimation model. The findings show a significant relationship between cash dividends per share and future earnings growth. Furthermore, there is a significant relationship interaction term between the dividend payout ratio and the investment growth assumption. This relationship is also observed for return on equity and dividend payout ratio. [ABSTRACT FROM AUTHOR]

Mergers and acquisitions (M&As) constitute an important part of investment banks' business portfolios. While dealing with such processes, they often employ the accretion-dilution model. This model endeavours to give a tentative view about how a merger or acquisition impacts the acquirer's Earnings Per Share (EPS). Some analysts believe that an accretion of EPS would be good for the acquirer company. It is rather strange that a set of analysts, based on certain assumptions which - as per their own admission - may very well be wrong, should try to predict if a merger would be accretive or dilutive, and then conjecture that an accretive merger may augur well for the acquirer company. This exercise does not even try to explore whether such a merger would be feasible. If a merger is not feasible and cannot be implemented, there is no point trying to conjecture whether it could have been good or not for the acquirer company. In order to provide a firm footing to this concept for a systematic analysis of various M&A processes, we formulate here a consistent and comprehensive framework based on rigorous mathematical analysis. We derive necessary and sufficient conditions for Break Even Exchange Ratios for both zero and non-zero synergies and systematically study the impact of accretion-dilution on earnings, price and value. We also integrate this precise analysis with results of other M&A theories to predict and explain decisively all happenings on the ground, including the feasibility of mergers, for various kinds of scenarios. [ABSTRACT FROM AUTHOR]

The prediction and recommendation of financial stocks are of great values. This study mainly analyzed the application of K-means clustering algorithm in stock forecasting and recommendation. Firstly, it introduced the k-means algorithm briefly and analyzed its advantages and disadvantages. Then, the k-means algorithm was optimized by introducing artificial fish swarm algorithm (AFSA) to obtain KAFSA. Then 100 stocks of listed companies were taken as the research subject and predicted by KAFSA designed in this study. The prediction results were verified through closing price, price earning ratio, earnings per share and return on net assets. The results showed that there were obvious differences between A and B stocks divided by KAFSA, and the differences of B stocks were significantly larger than those of A stocks. It shows that 100 stocks are well divided into high performance stocks and poor performance stocks through clustering, which provides a good reference for investors to invest in stocks and is worth of further application. [ABSTRACT FROM AUTHOR]

Purpose -- The study aims to analyze the relationship between intangible assets and the economic performance of Brazilian public companies. Design/methodology/approach -- We calculated the Degree of Intangibility (DI) to segregate companies into two groups: intangible-intensive and tangible-intensive in a sample of Brazilian public companies from 2012 to 2016. We applied the Mann-Whitney test to verify whether there were statistically significant differences between these two groups of companies concerning the Operating Margin, Return on Equity, Return on Assets, Market Value Added and Earning per Share. Findings -- The results show that intangible-intensive companies presented higher economic performance in most part of the indicators and years analyzed. In addition, we did not find significant results for Earnings per Share, although the signed rank sum mean values of intangible-intensive are higher than tangible-intensive companies in most part of the years. Practical implications - The findings seek to contribute to discussions about the importance of intangible resources as determinants of competitive advantages and reflecting in higher economic performance, and thus increasing market value. In this sense, investments in intangible resources can be applied in adopting initiatives in markets and definition of strategic positions in companies. Finally, our study seeks also to contribute to capital markets since the relationship between intangible assets and economic performance can be useful in detecting investment opportunities. Originality/value -- Previous studies analyzed the relationship between intangible assets and economic performance with other periods and samples. We also measured different proxies for economic performance as Operating Margin, Return on Equity, Return on Assets, Market Value Added and Earnings per Share. [ABSTRACT FROM AUTHOR]

This research integrates business analytics with enterprise risk management to help firms implement a decision support war-room. In particular, this study explores the hidden states of the small- and medium-sized enterprises (SMEs) which financial performances tend to intensively rise and fall. In practice, managers need to know what indicators can be good predictors to predict bankruptcy and what actions should be taken before bankruptcy? Thus, a novel framework is presented to achieve the following goals: (1) hidden Markov model is constructed to relate firms' hidden states (healthy, risky, and sick) to observable variables (ROA—return on asset, EPS—earnings per share, and NPBT—net profit before tax). (2) Ensemble learning (EL) like random forest (RF), adaptive boosting (AB), and gradient boosting (GB) is used to conduct business forecasting. (3) Probabilistic Bayes network (PBN) is used to conduct stochastic risk simulation. Data samples collected from various industry sectors (semiconductor, optoelectronics, consumer electronics) are used to justify the validity of this research. Experimental results identify cash equivalents, gross sales profit, and operating revenue can efficiently enhance the SMEs from risky states to healthy firms. In contrast, operating profit margin and net income margin are more effective to improve the SMEs from sick states to risky firms. Managers are suggested to continually monitor and track these key indicators. [ABSTRACT FROM AUTHOR]

Purpose: A major thread in accounting literature, which has remained a contentious issue, is how accounting alchemy can be modeled. The paper builds on existing accrual models in proposing an accounting alchemy model and tests if it is still the right medicine for earnings and book value of firms. The accounting alchemy model was based on mechanisms of earnings, book value, earnings before extraordinary items, net profit after tax, cashflow from operations, revenue and total assets. We modified accrual models on the view that accrual models suggest that incomes/expenses are the most manipulated; contrarily, accounting alchemy proposes that assets are alchemized. Originality/value: This paper proposes a new empirical model of accounting alchemy and practically assesses the validity of the model in Sub-Saharan Africa where there are no studies. The proposed accounting alchemy model can be used in Asia, Europe and other parts of the world to see if the study results can be replicated. Design/methodology/approach: Ex post facto design was used and secondary data were obtained for selected quoted firms in sub-Saharan Africa comprising Nigeria, South Africa and Kenya during 2012-2016. A sample of 64 firms was selected in the consumer and industrial goods subsector and data were analysed via descriptive (mean, standard deviation, correlation) and inferential (regression, fixed and random effects) statistics. Findings: Findings indicated that earnings and book value are significantly affected by accounting alchemy. This implies that accounting alchemy is not the right medicine for firm's earnings and book value. The result has practical application for researchers and the regulatory framework of accounting. [ABSTRACT FROM AUTHOR]

The present study aimed to analyze the influence of sustainable performance on the market performance of companies listed on the stock exchange of the twenty most sustainable countries in the world. Regarding the methodology, in order to achieve this objective, a descriptive, documentary and quantitative research was carried out on the companies listed on the stock exchange of the twenty most sustainable countries in the world according to the Environmental Performance Index, resulting in a sample of 1,027 companies. The data were collected in the Thomson Reuters® database and relate to the period from 2008 to 2017. Sustainability was measured based on environmental (use of resources, emissions, environmental innovation), social (workforce, human rights, community, product responsibility) and economic-financial (ROA, ROE, ROS), and to synthesize these indicators the Evaluation Based on Distance from Average Solution multicriteria method was used. Market performance was measured by synthesizing five indicators (Q de Tobin, Market-to-book, share price, earnings per share, Price / Earnings ratio). The results indicate that despite the low explanatory power found in the influence of sustainable performance on market performance, it is worth highlighting in this study the fact that the explanatory power of sustainable performance in relation to market performance has increased over the years. In this way, the originality of the study shows that over the years sustainability has been conquering its space in the market. [ABSTRACT FROM AUTHOR]

Risk-based capitalization (RBC) is an insurance regulation policy aimed at protecting policyholders. But effects of this policy on insurers' performance are conjectural as empirical studies are scarce. This study investigates RBC influence, in the context of capital structure, on return on asset (ROA), return on equity (ROE) and earnings per share (EPS) of insurers using 2SLS fixed and random effect models. From the results, RBC improved ROA and EPS significantly, but reduced ROE insignificantly. It concluded that RBC policy make a significant positive contribution to ROA and EPS. ROE is not significantly affected by RBC policy for the period under review. [ABSTRACT FROM AUTHOR]

Purpose: This research examines the superiority of analysts over random walk models in forecasting the results of publicly-traded Brazilian companies in the short and long term. Originality/value: The literature indicates the uncontested superiority of market analysts because of their temporal and informational advantages. However, recent international studies call for a re-evaluation of this superiority, indicating that, for certain company characteristics, and primarily for long-term estimates, the superiority of analysts is not confirmed. Design/methodology/approach: This work evaluates the profit forecasting of analysts and simple and growth random walk models over the short and long term over 2010-2015 for publicly traded Brazilian companies, using the information available for the period with annual intervals. Findings: The results indicate: 1. the greater forecasting accuracy of simple random walk models compared to the growth random walk models; and 2. the greater forecasting accuracy of random walk models overall, with analyst forecasts only being superior for cases with three months of lag. The evidence suggests the forecasting superiority of the random walk models when compared to the market analysts' forecasts. The results suggest low efficiency of the forecasts of market analysts for the forecast of future results of publicly traded Brazilian companies in the analyzed period. [ABSTRACT FROM AUTHOR]

This study appraised the implications of CBN cashless economy policy on the performance of banks in Nigeria with specific attention on the effect of automated teller machine, point of sale and web-based transaction on earnings per share. Vector error correction model was used to estimate quarterly data collected on the variables from 2010 to 2018. It was deduced from the analyses that automated teller machine, point of sales and web-based transaction had a long-run effect on earnings per share. However, the short-run disequilibrium in the data set was not adjusting towards long-run equilibrium. This implied that the electronic banking transaction modes jointly influence the earnings per share of the Nigerian banking sector but at a very slow rate towards the long run. It is recommended that banks should extend the coverage of ATM terminals to the rural areas to enhance the level of financial inclusion and by extension boost the earnings of their shareholders in Nigeria. Adequate backup infrastructure should be provided to complement the inadequate public infrastructure since internet connectivity is a sine qua non for improved e-banking services. [ABSTRACT FROM AUTHOR]

Initial Public Offerings are, by definition, not seasoned securities. They have not been subjected to valuation by the community of investors. It is often difficult or impossible to forecast their future cash flows because most do not have a long history of publicly disclosed financial information. Consequently, valuing IPOs in any market is more difficult than valuing seasoned equities. In this paper, we address the valuation of IPOs in the Alternative Investment Market, (hereafter the AIM.) The purpose of this study is to determine the observable factors that affect valuation in the AIM. We apply OLS, LASSO regression, and Extreme Bounds Analysis (EBA) techniques on historical accounting data to test our theory of valuation. The statistical sample consists of 2,185 IPOs issued on the AIM between 1995 and 2020. Our findings suggest that the market valuation of IPOs in the AIM is systematically related to a multiplicity of factors. These include earnings per share (EPS) in the after-market, operating cash follow per share, and the percentage of shares issued to the public. The findings of the study have a practical value for investors who are interested in buying IPOs in the AIM. [ABSTRACT FROM AUTHOR]

This paper presents a method for constructing price-earnings ratios (P/Es) for the Brazilian stock market. The objective was to assess whether the P/E ratios exhibit mean reversion, in addition to assessing whether there is a long-run equilibrium relationship between the stock price index and the earnings per share index used in calculating the valuation ratios. The bounds testing approach to cointegration evidenced that the time series of these indexes are cointegrated. Using the ADF, KPSS, and Lee–Strazicich unit root tests, evidence of mean reversion was found in the series of one of the proposed P/E ratios. [ABSTRACT FROM AUTHOR]

The objective of financial management theory is to maximize the wealth of shareholders. To analyze how effectively the firm is contributing wealth to its shareholders is not only important for management of the firm but also for the other financial information users. In order to evaluate the financial performance of the firm, a variety of financial performance measures such as economic value added (EVA) are used. Since the early 1990s, EVA has been known as the crucial important management tool for valuing investments and assessing corporate performance. The purpose of this study is to determine the relationship between financial market performance measurements and EVA in the BIST financial institutions. In this study is used Panel Regression models for a sample of 122 Turkish financial industries operated from the BIST financial institution index for the period of 2008-2017. Our study findings suggest that EVA is significantly association link earnings per share and TOBINQ from market performances measure. In addition, our findings result show that EVA is significant and positive effect between earnings per share and market value by divided book value ratio during the global financial crisis period, while EVA is significant and negative effect on TOBINQ. [ABSTRACT FROM AUTHOR]

The validity of performance evaluation is determined by, and therefore greatly influenced by, the accuracy of data set. To address such imprecise and negative data problems widely spread in the real world, this paper proposes a second-order cone based robust data envelopment analysis (SOCPR-DEA) model, which is more robust to data variety. Further, this new computational tractable model is applied to analyze 13 new-energy vehicle (NEV) manufacturers from China. The findings support that the SOCPR-DEA model could well mitigate the deficiency caused by data variety, and the evidence from Chinese NEV industry shows that a focus strategy is more likely to enhance a firm's efficiency especially at its emerging stage, and the efficiency is more sensitive with production cost than other factors such as research and development, sales income, earnings per share, and predicted income. In addition, this paper also gives some industrial implications and policy suggestions based on these interesting findings. [ABSTRACT FROM AUTHOR]

This study assessed the associated link between constructs of ownership structure and indicators of firms' financial performance. Specifically, the study sought to examine the statistical link between performance measures and managerial ownership, institutional ownership, government ownership, family ownership, foreign ownership and CEO ownership. The performance measures of interest are return on asset, return on equity, earnings per share, Tobin's Q and revenue growth. Secondary data were sourced from 28 listed firms in the financial service sector (bank and non-bank institutions). The data covered 10 year period, spanning from 2009 - 2018. Models were developed in line with the hypothesis of the study and analysis was done using the canonical correlation and multivariate regression analyses amongst others. Overall, while we observed from the tests of canonical correlations that measures of ownership structure influenced the indicators of firms' performance, the result of the multivariate regression analysis further revealed that the influence which constructs of ownership structure had on Return on Assets (ROA), Earnings Per Share (EPS), and Tobin's Q were significant; whereas, the influence on Return on Equity (ROE) and revenue growth were not significant. With this, we recommend amongst others that since foreign ownership recorded a positive and significant relationship with all measures of performance, companies should map out strategies to woo foreign investors into investing in their respective shares, possibly through private placements and other probable means. [ABSTRACT FROM AUTHOR]

This study examines the relationship between corporate environmental performance (ENP) and financial performance, focusing on US firms from 2001 to 2021. Environmental sustainability has become a pivotal issue facing businesses. However, empirical findings on the ENP–financial performance linkage remain mixed. The sample comprises 2,711 US firms analyzed using ordinary least squares, fixed effects, feasible generalized least squares, generalized method of moments, and quantile regression. Results reveal a significant positive relationship between ENP and firms’ financial performance. These findings are consistent across models, underscoring their robustness. This suggests investments in environmental performance can enhance profitability, valuation, and earnings. This paper contributes the empirical evidence to the academic literature on the corporate sustainability-financial performance nexus. It also offers business and policy insights into the financial merits of corporate environmental responsibility, highlighting ENP’s role in delivering sustainable growth. [ABSTRACT FROM AUTHOR]