Residual income, value-relevant information and equity valuation: A simultaneous equations approach

Ruey S. Tsay, Yi Mien Lin, Hsiao Wen Wang

研究成果: 雜誌貢獻期刊論文同行評審

17 引文 斯高帕斯(Scopus)

摘要

The paper uses Ohlson (Contemp Account Res 11:661-687, 1995) and compares the relative predictability of the proposed simultaneous model for contemporaneous stock price with a traditional single equation model used by the previous studies. The paper also explores how residual income and value-relevant information affect firms' equity price. The main results of the paper suggest that the predictive ability and estimation efficiency of the simultaneous models in explaining contemporaneous stock prices are better than those of the traditional single models. Moreover, investors will use the value-relevant information beyond accounting earnings, namely analysts' earnings forecasts, bankruptcy cost and agency cost, in equity valuation to make decision. Note particularly, the higher the bankruptcy or agency cost is, the more important the role it plays in equity valuation and, on average, the higher the accuracy of price prediction is.

原文???core.languages.en_GB???
頁(從 - 到)331-358
頁數28
期刊Review of Quantitative Finance and Accounting
31
發行號4
DOIs
出版狀態已出版 - 11月 2008

指紋

深入研究「Residual income, value-relevant information and equity valuation: A simultaneous equations approach」主題。共同形成了獨特的指紋。

引用此