IDEAS home Printed from
   My bibliography  Save this article

An Empirical Study Of Relationship Between Share Price And Intrinsic Value Of Company


  • LAI, Ping-fu (Brian)

    (Division of Business and Management, United International College, Beijing Normal University Hong Kong Baptist University)

  • WONG , Wing Ka

    (ABRS International Consultancy)


A company price should be determined by value. Value can be calculated by different valuation method. Investors need to understand the valuation method usage and calculation. In fact, there is no one-valuation method to estimate value of companies. Valuation can be related with the companies’ price. Comparable valuation can show signals of companies in different positions. Hong Kong companies in different industries may suffer from different factors. Different valuation method is estimation in different situation or data source to transfer as value of companies. Valuation and share price become supportive relationship and explanation of companies’ value. Ten valuation methods can be summarized as typical approaches. There is a simple analysis for different type valuation to have different effect on share price and companies valuation. Also, the research mentioned that valuation is related to share price. The relationship can be a signal for companies and investors’ trend study or business analysis. Also, research summaries residual difference with ten valuations, correlation for valuation and share price and regression model for valuation and share price. The research can base on different testing to carry out conclusion and finding on valuation application and share price. Hong Kong Thirty companies from 2006 to 2010 can be tested for research purposes.

Suggested Citation

  • LAI, Ping-fu (Brian) & WONG , Wing Ka, 2015. "An Empirical Study Of Relationship Between Share Price And Intrinsic Value Of Company," Studii Financiare (Financial Studies), Centre of Financial and Monetary Research "Victor Slavescu", vol. 19(4), pages 65-92.
  • Handle: RePEc:vls:finstu:v:19:y:2015:i:4:p:65-92

    Download full text from publisher

    File URL:
    Download Restriction: no


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Leo Vashkor Dewri & Md. Rashidul Islam & Fatema-Tuz-Johra & M Mizanur Rahman, 2021. "Measuring Firms Intrinsic Values in an Emerging Economy: Evidence from Bangladesh," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 11(6), pages 429-445, June.
    2. Omotosho, Babatunde S. & Tumala, Mohammed M., 2019. "A Text Mining Analysis of Central Bank Monetary Policy Communication in Nigeria," MPRA Paper 98850, University Library of Munich, Germany.

    More about this item


    intrinsic value; finance; valuation; share price;
    All these keywords.

    JEL classification:

    • G1 - Financial Economics - - General Financial Markets
    • G2 - Financial Economics - - Financial Institutions and Services
    • M4 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:vls:finstu:v:19:y:2015:i:4:p:65-92. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Daniel Mateescu (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.