|Title:||Characteristics of companies with high-quality: Europe vs USA||Other Titles:||Charakteristika von Unternehmen mit hoher Qualität: Europa vs USA||Language:||English||Authors:||Lopez Solis, Sergio Ricardo||Qualification level:||Diploma||Advisor:||Aussenegg, Wolfgang||Issue Date:||2021||Number of Pages:||80||Qualification level:||Diploma||Abstract:||
In the asset pricing literature, authors propose different quality variables that should characterize companies. Their results are aimed to represent the importance of quality on the stock performance. Mostly, the 3-factor model of Fama-French is used to control the impact of other variables such as market, size and value.This study asks whether the high-quality companies perform better that low-quality companies and looks for differences between Europe and the USA in regard to quality. For that purpose, stock returns and accounting data of European and American companies have been gathered. Then they have been sorted by their quality-values, and by using the 3-factor model the performance of low and high-quality companies have been compared.The results suggest that companies with high value of gross profit-to-assets, operating profitability and quality score tend to perform better than those with low values. Moreover, pattern differences between quality in Europe and the USA are observed when companies are sorted by enterprise-level operating profitability.
|Keywords:||Quality Stocks; Asset Pricing; Abnormal Returns||URI:||https://doi.org/10.34726/hss.2021.91841
|DOI:||10.34726/hss.2021.91841||Library ID:||AC16257197||Organisation:||E330 - Institut für Managementwissenschaften||Publication Type:||Thesis
|Appears in Collections:||Thesis|
Files in this item:
Items in reposiTUm are protected by copyright, with all rights reserved, unless otherwise indicated.