Evaluating financial performance of Saudi listed firms : using statistical failure prediction models

Joint Authors

Radi, Dina Salih Mirza
Sari, Adil

Source

The International Journal of Business Ethics and Governance

Issue

Vol. 2, Issue 1 (31 Jan. 2019), pp.1-15, 15 p.

Publisher

EuroMid Academy of Business and Technology

Publication Date

2019-01-31

Country of Publication

Turkey

No. of Pages

15

Main Subjects

Financial and Accounting Sciences

Abstract EN

The study aims to compare the classification power of three statistical failure prediction models: Altman model 1968, Kida model, and Zmijewski.

The purpose is to evaluate the financial performance of Saudi listed firms.

The study sample consists of 122 listed industrial companies on the Saudi Stock Exchange for the period from 2014 to 2016.

The results show that Zmijewski model is a more powerful tool in predicting the financial performance of Saudi listed firms than Altman model (1986), and Kida model.

In addition, the results showthat there are statistical relationships between some ratios included in the three models and the financal performance of industrial companies, which was measured by EPS.

The study recommended users of financial statements of Saudi listed companies use Zmijewski model, which performs well in evaluating their finacial position to be used when making the financial decisions-

American Psychological Association (APA)

Radi, Dina Salih Mirza& Sari, Adil. 2019. Evaluating financial performance of Saudi listed firms : using statistical failure prediction models. The International Journal of Business Ethics and Governance،Vol. 2, no. 1, pp.1-15.
https://search.emarefa.net/detail/BIM-1269374

Modern Language Association (MLA)

Radi, Dina Salih Mirza& Sari, Adil. Evaluating financial performance of Saudi listed firms : using statistical failure prediction models. The International Journal of Business Ethics and Governance Vol. 2, no. 1 (2019), pp.1-15.
https://search.emarefa.net/detail/BIM-1269374

American Medical Association (AMA)

Radi, Dina Salih Mirza& Sari, Adil. Evaluating financial performance of Saudi listed firms : using statistical failure prediction models. The International Journal of Business Ethics and Governance. 2019. Vol. 2, no. 1, pp.1-15.
https://search.emarefa.net/detail/BIM-1269374

Data Type

Journal Articles

Language

English

Notes

Includes bibliographical references : p. 13-15

Record ID

BIM-1269374