Key determinants of firm value: Evidence from Serbian listed companies
The valuation of a firm is a major issue, scrutinized by all stakeholders, and serves as an indicator of the worth of the core business. The goal of this research is to analyze, from both academic and empirical point of view, how key financial determinants influence firm value. In more detail, this...
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| Format: | Article |
| Language: | English |
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University of Novi Sad - Faculty of Economics, Subotica
2024-01-01
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| Series: | Anali Ekonomskog fakulteta u Subotici |
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| Online Access: | https://scindeks-clanci.ceon.rs/data/pdf/0350-2120/2024/0350-21202452093Q.pdf |
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| _version_ | 1841554340128489472 |
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| author | Šepa Anja Peštović Kristina Tica Nedeljko Saković Dušan |
| author_facet | Šepa Anja Peštović Kristina Tica Nedeljko Saković Dušan |
| author_sort | Šepa Anja |
| collection | DOAJ |
| description | The valuation of a firm is a major issue, scrutinized by all stakeholders, and serves as an indicator of the worth of the core business. The goal of this research is to analyze, from both academic and empirical point of view, how key financial determinants influence firm value. In more detail, this analysis strives to explain the relationships between company value of listed companies on Belgrade Stock Exchange (BELEX) as a dependent variable, determined through Tobin's Q, and independent variables that include leverage, size, liquidity, growth, asset structure and profitability. The objective of this study is to present an evaluation of the impact of firm-specific determinants on the company value of Serbian stock companies, across several industries using panel data analysis. The sample consists of 38 active companies that actively operated from 2019 to 2021, resulting in 114 observations. The results of panel data analysis show that on the one hand, liquidity and asset tangibility have positive and statistically significant influence on firm value, while on the other hand, leverage and profitability have negative and statistically significant influence on the value of the firm. Company size and growth showed no statistically significant impact on Tobin's Q. |
| format | Article |
| id | doaj-art-8ede048ec7d94e7b9341e80538863a1e |
| institution | Kabale University |
| issn | 0350-2120 2683-4162 |
| language | English |
| publishDate | 2024-01-01 |
| publisher | University of Novi Sad - Faculty of Economics, Subotica |
| record_format | Article |
| series | Anali Ekonomskog fakulteta u Subotici |
| spelling | doaj-art-8ede048ec7d94e7b9341e80538863a1e2025-01-08T14:38:03ZengUniversity of Novi Sad - Faculty of Economics, SuboticaAnali Ekonomskog fakulteta u Subotici0350-21202683-41622024-01-012024529310810.5937/AnEkSub2400000S0350-21202452093QKey determinants of firm value: Evidence from Serbian listed companiesŠepa Anja0https://orcid.org/0000-0003-4052-7037Peštović Kristina1https://orcid.org/0000-0001-9851-1025Tica Nedeljko2https://orcid.org/0009-0002-5696-686XSaković Dušan3https://orcid.org/0000-0003-2742-2388University of Novi Sad, Biosense Institute, Novi Sad, SerbiaUniversity of Novi Sad, Faculty of Economics, Subotica, SerbiaUniversity of Novi Sad, Faculty of Agriculture, Novi Sad, SerbiaUniversity of Novi Sad, Faculty of Economics, Subotica, SerbiaThe valuation of a firm is a major issue, scrutinized by all stakeholders, and serves as an indicator of the worth of the core business. The goal of this research is to analyze, from both academic and empirical point of view, how key financial determinants influence firm value. In more detail, this analysis strives to explain the relationships between company value of listed companies on Belgrade Stock Exchange (BELEX) as a dependent variable, determined through Tobin's Q, and independent variables that include leverage, size, liquidity, growth, asset structure and profitability. The objective of this study is to present an evaluation of the impact of firm-specific determinants on the company value of Serbian stock companies, across several industries using panel data analysis. The sample consists of 38 active companies that actively operated from 2019 to 2021, resulting in 114 observations. The results of panel data analysis show that on the one hand, liquidity and asset tangibility have positive and statistically significant influence on firm value, while on the other hand, leverage and profitability have negative and statistically significant influence on the value of the firm. Company size and growth showed no statistically significant impact on Tobin's Q.https://scindeks-clanci.ceon.rs/data/pdf/0350-2120/2024/0350-21202452093Q.pdftobin's qvaluationbelexpanel analysis |
| spellingShingle | Šepa Anja Peštović Kristina Tica Nedeljko Saković Dušan Key determinants of firm value: Evidence from Serbian listed companies Anali Ekonomskog fakulteta u Subotici tobin's q valuation belex panel analysis |
| title | Key determinants of firm value: Evidence from Serbian listed companies |
| title_full | Key determinants of firm value: Evidence from Serbian listed companies |
| title_fullStr | Key determinants of firm value: Evidence from Serbian listed companies |
| title_full_unstemmed | Key determinants of firm value: Evidence from Serbian listed companies |
| title_short | Key determinants of firm value: Evidence from Serbian listed companies |
| title_sort | key determinants of firm value evidence from serbian listed companies |
| topic | tobin's q valuation belex panel analysis |
| url | https://scindeks-clanci.ceon.rs/data/pdf/0350-2120/2024/0350-21202452093Q.pdf |
| work_keys_str_mv | AT sepaanja keydeterminantsoffirmvalueevidencefromserbianlistedcompanies AT pestovickristina keydeterminantsoffirmvalueevidencefromserbianlistedcompanies AT ticanedeljko keydeterminantsoffirmvalueevidencefromserbianlistedcompanies AT sakovicdusan keydeterminantsoffirmvalueevidencefromserbianlistedcompanies |