Relationship between book value and earnings changes in the stock price changes (with emphasis on mid-term financial statement)

Subject Areas :

رسول Baradaran hasanzadeh ^{1 *} , یونس Bad avar nahandi ² , حسین Barani benab ³

1 - استادیار دانشگاه آزاد اسلامی واحد تبریز
2 - استادیار دانشگاه آزاد اسلامی واحد تبریز
3 - کارشناس ارشد حسابداری دانشگاه ازاد اسلامی واحد تبریز

Received: 2015-05-10 Accepted : 2015-05-10 Published : 2011-02-20

Keywords:

Abstract :

The present research investigates the correlation between changes in the book value and earnings per share on changes in stock prices as well as the correlation between the book value and earnings per share on stock price. Thus the present study aims to determine correlation between mentioned variables and stock price. The finding of this research indicates that the book value and earnings per share have significant correlation with stock price and correlation of earning is more than book value. The research also provides evidences that changes in book value and earnings per share have significant correlation with stock price and the correlation of changes in book value is more than that of earnings per share.