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Comparative economic value added on Southeast Asian banking industry

Author

Listed:
  • Lintang Dewanti
  • Rofikoh Rokhim

    (Department of Management, Faculty of Economics and Business, Universitas Indonesia, Jakarta, Indonesia
    Department of Management, Faculty of Economics and Business, Universitas Indonesia, Jakarta, Indonesia.)

Abstract

This study analyses the bank's performance comparison across countries in some ASEAN members which are listed in the stock exchange, as well as to analyse the influence of Economic Value Added (EVA) and some financial ratios on the company stock return. Analysis suggests some results. In Indonesia, Thailand and the Philippines, the movement of EVA follows the movement of Gross Domestic Product (GDP). This study also finds that Earning per Share (EPS), only in Singapore, and Return on Equity (ROE) and Return on Assets (ROA), only in the Philippines, have an influence on stock return. Only in the Philippines where EVA together with ROA has an effect on stock return.

Suggested Citation

  • Lintang Dewanti & Rofikoh Rokhim, 2017. "Comparative economic value added on Southeast Asian banking industry," Economic Journal of Emerging Markets, Universitas Islam Indonesia, vol. 9(1), pages 74-83, April.
    • Handle: RePEc:uii:journl:v:9:y:2017:i:1:p:74-83
    DOI: 10.20885/ejem.vol9.iss1.art8
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    References listed on IDEAS

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    3. Sri Murtiyanti & Noer Azam Achsani & Dedi Budiman Hakim, 2015. "Capital adequacy of the banking industry in Indonesia," Economic Journal of Emerging Markets, Universitas Islam Indonesia, vol. 7(2), pages 69-77, April.
    4. Biddle, Gary C. & Bowen, Robert M. & Wallace, James S., 1997. "Does EVA(R) beat earnings? Evidence on associations with stock returns and firm values," Journal of Accounting and Economics, Elsevier, vol. 24(3), pages 301-336, December.
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    More about this item

    Keywords

    banks; EVA; stock return; EPS; ROA; ROE;
    All these keywords.

    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • N10 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - General, International, or Comparative

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