Stock Price Movements and the Value of Firms in Nigeria: Theoretical and Empirical Realities

Sunny Akpan 10 PAGES (6764 WORDS) Article
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This study investigates Stock Price Movements and the Value of firms in Nigeria using secondary data research design and pooled data study approach. Five firms were selected for the study between 2005 and 2015. Data were analysed using Ordinary Least Square (OLS) regression technique. Variables used were Shareholders’ Fund (dependent variable), Earnings Per Share, Dividend Per Share, and Return on Shareholders’ Funds. EPS shows a positive and significant relationship at Mobil Oil Nig Plc; a positive but non-significant relationship at Niger Insurance, Oando and Flour Mills and a negative and significant relationship at GTBank Plc at 5 percent significance level. DPS shows positively significant relationship at Flour Mills and positively non-significant relationship at GTBank Plc, but a negatively non-significant relationship at Niger Insurance, Oando, and Mobil Oil Nigeria Plc. ROSHF shows a negative relationship across the firms evaluated. Variance Inflation Factor was used to test the model for multicollinearity. Conclusively, firms’ value is a function of events and developments in the firms and the environment. The researcher recommends that government and supervisory agencies should intensify efforts towards enhancing products qualities, strict adherence to code of corporate governance and sound and friendly business environments to enhance higher firm’s value. 

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APA

Sunny, A (2019). Stock Price Movements and the Value of Firms in Nigeria: Theoretical and Empirical Realities. Afribary.com: Retrieved March 08, 2021, from https://afribary.com/works/stock-price-movements-and-the-value-of-firms-in-nigeria-theoretical-and-empirical-realities

MLA 8th

Akpan, Sunny. "Stock Price Movements and the Value of Firms in Nigeria: Theoretical and Empirical Realities" Afribary.com. Afribary.com, 26 Jul. 2019, https://afribary.com/works/stock-price-movements-and-the-value-of-firms-in-nigeria-theoretical-and-empirical-realities . Accessed 08 Mar. 2021.

MLA7

Akpan, Sunny. "Stock Price Movements and the Value of Firms in Nigeria: Theoretical and Empirical Realities". Afribary.com, Afribary.com, 26 Jul. 2019. Web. 08 Mar. 2021. < https://afribary.com/works/stock-price-movements-and-the-value-of-firms-in-nigeria-theoretical-and-empirical-realities >.

Chicago

Akpan, Sunny. "Stock Price Movements and the Value of Firms in Nigeria: Theoretical and Empirical Realities" Afribary.com (2019). Accessed March 08, 2021. https://afribary.com/works/stock-price-movements-and-the-value-of-firms-in-nigeria-theoretical-and-empirical-realities