Essays about: "Residual Income Valuation Model"

Showing result 1 - 5 of 23 essays containing the words Residual Income Valuation Model.

  1. 1. IFRS 16: A Necessity For Efficient Market Values? An Ex-Post Study On The Valuation Effects Of Recognized Operating Leases

    University essay from Handelshögskolan i Stockholm/Institutionen för redovisning och finansiering

    Author : Lucas Aras; Georges Chalami; [2021]
    Keywords : IFRS 16; Operating Leases; Value Relevance; Misvaluation; Residual Income Valuation Model;

    Abstract : This study examines if the adoption of IFRS 16 has resulted in a lower disparity between market values and their intrinsic (true) values in an ex-post setting. With financial statements being an important source of information for the investment decisions of investors, we aim to understand whether the uniform treatment of previously off-balance sheet operating leases following IFRS 16 has facilitated share price information. READ MORE

  2. 2. Bankruptcy Risk and Market Rationality During Covid-19: Swedish Evidence

    University essay from Handelshögskolan i Stockholm/Institutionen för finansiell ekonomi; Handelshögskolan i Stockholm/Institutionen för redovisning och finansiering

    Author : Leo Allebeck; Andre Lagerkvist; [2021]
    Keywords : Bankruptcy risk; Market rationality; Covid-19; Residual income valuation; Accounting based bankruptcy prediction;

    Abstract : Purpose: To examine the changes in bankruptcy risk that occurred during the beginning of the Covid-19 pandemic for companies listed on Nasdaq Stockholm, and to test market rationality regarding i) the changes in bankruptcy risk, ii) the equity risk premium associated with bankruptcy risk in the 1-year period after the market trough. Method: Bankruptcy risk is estimated with the Skogsvik (1990) model and a bankruptcy risk calibrated Residual Income Valuation model. READ MORE

  3. 3. Profit Expectations of Startups in the Nordics

    University essay from Handelshögskolan i Stockholm/Institutionen för redovisning och finansiering

    Author : Ian Clark; Junehee Han; [2020]
    Keywords : Fundamental valuation; implied return on equity; profit expectations; residual income valuation; startups;

    Abstract : This paper investigates the reasonableness of the expected returns on equity for startups in the Nordics. With a sample of 109 companies listed in Sweden, Norway, Finland, and Denmark, we deduce the market's expected profitability represented by the implied return on equity from a Residual Income Valuation (RIV) model through reverse engineering. READ MORE

  4. 4. Solving the Valuation Paradox - Applying Hedonic Valuation to Paradoxical Companies

    University essay from Handelshögskolan i Stockholm/Institutionen för redovisning och finansiering

    Author : Barbora Gajarova; Xurui Qin; [2019]
    Keywords : equity valuation; paradoxical company; hedonic regression; residual income valuation RIV model; pricing errors;

    Abstract : Traditional valuation models that are widely used by investors and scholars, for instance, residual income valuation (RIV) model, do not yield accurate results when valuing paradoxical companies, i.e. companies with the market value significantly above the book value and high growth, despite not generating positive payoffs. READ MORE

  5. 5. The Financial Impact of Applying the Servitization Business Model: an empirical research based on the residual income valuation model

    University essay from Handelshögskolan i Stockholm/Institutionen för redovisning och finansiering

    Author : Christina Tan; Yufan Wei; [2018]
    Keywords : Servitization; Residual Income Valuation Model RIV ; q-value; Business Model; Intellectual Capital;

    Abstract : As many manufacturing firms find servitization business model a trend, a need for investigating the firm value difference between this new business model and the traditional manufacturing business model has arisen. In this study, we examine the implied q-value in these two business models and consequently discuss the distinct business characteristics of transforming into a service-focused business model. READ MORE