The value relevance of book value, earnings and dividends in the Jordanian and Saudi capital markets (1999-2006)
Dissertant
Thesis advisor
Comitee Members
Abd Allah, Khalid Amin
Salamah, Rashid Muhammad
University
Arab Academy for Financial and Banking Sciences
Faculty
The Faculty of Banking and Financial Sciences
Department
Accounting Department
University Country
Jordan
Degree
Ph.D.
Degree Date
2008
English Abstract
This dissertation provides an empirical examination of whether investors in the Jordanian and Saudi capital markets perceive accounting information to be useful in stock valuation.
In addition, this dissertation compares the value relevance of book value and dividends versus book value and reported earnings.
Finally, this research examines whether there is a significant difference between the Jordanian and Saudi markets in terms of value relevance. Based on a sample of 61 Jordanian and 30 Saudi industrial firms (1999-2006), and the Seemingly Unrelated Regression (SUR) estimates, the results indicate that there is a positive relation between the dependent variable (stock price) and all the independent variables (book value, earnings per share, and dividends per share) in both Jordanian and Saudi cases.
In addition, the results indicate that dividends per share in the Saudi firms play a smaller role in explaining stock prices.
Moreover, it was found that book value is the dominant valuation variable, both in terms of its own value relevance and its incremental value relevance with respect to either earnings or dividends in both Jordanian and Saudi cases.
Finally, the empirical analysis indicates that there are no differences in the structure of the relationship between stock price and its determinants across the Jordanian and Saudi samples of firms. Based on the empirical finding of this dissertation, a number of recommendations are put forward.
For example, one can examine the value relevance of other accounting information.
In addition, one can investigate the reasons behind the extent of value relevance.
In other words, this line of research would attempt to examine whether the value relevance of book value or earnings, or dividends depend on the company’s characteristics and its accounting performance.
Finally, it would be most interesting to examine how value relevance changes over the years.
Main Subjects
Financial and Accounting Sciences
Topics
No. of Pages
55
Table of Contents
Table of contents.
Abstract.
Chapter One : General Introduction.
Chapter Two : The Jordanian and Saudi capital markets : some basic information.
Chapter Three : The data, methodology and empirical results.
Chapter Four : Summary, conclusions and recommendations.
References.
American Psychological Association (APA)
Jabarah, Muhammad Khayr Ahmad. (2008). The value relevance of book value, earnings and dividends in the Jordanian and Saudi capital markets (1999-2006). (Doctoral dissertations Theses and Dissertations Master). Arab Academy for Financial and Banking Sciences, Jordan
https://search.emarefa.net/detail/BIM-306225
Modern Language Association (MLA)
Jabarah, Muhammad Khayr Ahmad. The value relevance of book value, earnings and dividends in the Jordanian and Saudi capital markets (1999-2006). (Doctoral dissertations Theses and Dissertations Master). Arab Academy for Financial and Banking Sciences. (2008).
https://search.emarefa.net/detail/BIM-306225
American Medical Association (AMA)
Jabarah, Muhammad Khayr Ahmad. (2008). The value relevance of book value, earnings and dividends in the Jordanian and Saudi capital markets (1999-2006). (Doctoral dissertations Theses and Dissertations Master). Arab Academy for Financial and Banking Sciences, Jordan
https://search.emarefa.net/detail/BIM-306225
Language
English
Data Type
Arab Theses
Record ID
BIM-306225
