| Abstract [eng] |
SUMMARY VILNIUS UNIVERSITY BUSINESS SCHOOL INTERNATIONAL BUSINESS FINANCE PROGRAMME KRISTINA MARKEVICH INFLUENCE OF INTERNAL AND EXTERNAL ECONOMIC FACTORS ON THE VALUE OF COMPANIES IN THE REAL ESTATE SECTOR IN THE BALTIC COUNTRIES Supervisor - Dr. Greta Keliuotyte-Staniuleniene Master Thesis conducted – 2021, Vilnius Number of pages – 73 pages Number of tables – 22 units Number of figures – 0units Number of references – 97units The main focus of this thesis is evaluation of internal and external economic factors that affect NASDAQ Baltic real estate sector companies. The focus on the real estate companies is crucial in last decade due to the previous precedents of overheated market and further crisis. Although there is surplus of research for the evaluation if internal and external factors which affects prices of the listed real estate companies in Baltics. The aim and objectives of the research is to analyze internal and external economic factors, evaluate the impact on the share prices of the real estate sector companies. Based on previous research to develop methodology and assess causality of factors and stock prices. To present conclusions and suggestions based on obtained research results. Research methods. Using comparative and descriptive analysis of the scientific literature of the local and foreign authors to observe internal and external economic factors. Applying correlation analysis evaluate internal and external factors impact on stock prices of selected companies. Based on constructed multivariate regression model assess the complex influence of internal and external economic factors on stock prices of real estate sector companies listed in Nasdaq Baltics. Using Granger test to estimate causality of the internal and external economic factors and stock price. Research result and conclusions. Research is based on the data for the period 2014 2nd quarter – 2020 3rd quarter. Correlation analysis of research factors revealed a strong positive relationship between Nasdaq Vilnius selected company stock price and following factors: inflation, GDP; a moderate positive relationship result obtained between stock price and money supply, stock price and earning per share coefficient. Causality was estimated between changes in stock prices and return on assets previous periods changes, return on equity previous periods changes and current liquidity rate previous periods changes. Correlation analysis results of company stock prices listed in Nasdaq Riga share market and internal and external economic factors show existing strong positive relationship between stock prices and the inflation, money supply and GDP. A negative relationship revealed between stock prices and the unemployment rate as well as between the stock price and the interest rate. Granger causality test show that GDP are caused by share price changes in the past periods. Obtained correlation analysis result show the average negative relationship between Nasdaq Tallinn share market listed company stock prices and inflation, stock price and GDP. Causality test revealed one-way causal for the changes of stock prices and internal factors past changes of: return on assets, return on equity, earnings per share and current liquidity ratio. Due to limited availability of the data on the stock price further topic research is preferable in order to assess internal and external economic factors impact on stock prices. The Master Thesis does not contain any confidential information, therefore there are no restrictions for the publication of the thesis or the information contained in the thesis. |
