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Value Investing: Evidence From Listed Companies in China’s Banking Industry During the COVID-19 Epidemic

Author

Listed:
  • Xi Qin
  • Tao Zhu

Abstract

The purpose of this paper is to explore the influencing factors of return on investment (ROI) from listed companies in China’s banking industry during the COVID-19 epidemic. Based on value investing perspectives, a simple accounting -based fundamental analysis is employed to establish the conceptual framework of this research which aims to discover the relationship between ROI and the historic financial indices documented in financial statements. The results from the empirical analysis shows that average three-year earning per share has a significant positive impact on ROI,while PB and NPL ratios have a significant negative impact on ROI, however, the size of the bank does not have an impact on ROI.

Suggested Citation

  • Xi Qin & Tao Zhu, 2022. "Value Investing: Evidence From Listed Companies in China’s Banking Industry During the COVID-19 Epidemic," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 14(11), pages 1-1, November.
    • Handle: RePEc:ibn:ijefaa:v:14:y:2022:i:11:p:1
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    References listed on IDEAS

    as
    1. Abarbanell, JS & Bushee, BJ, 1997. "Fundamental analysis, future earnings, and stock prices," Journal of Accounting Research, John Wiley & Sons, Ltd., vol. 35(1), pages 1-24.
    2. Piotroski, JD, 2000. "Value investing: The use of historical financial statement information to separate winners from losers," Journal of Accounting Research, John Wiley & Sons, Ltd., vol. 38, pages 1-41.
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    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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