AN ANALYSIS OF CLEAN SURPLUS VALUATION MODEL IN NIGERIAN LISTED STOCKS

Authors

  • Ikponmwosa Michael Igbinovia Department of Accounting; Edo University; Iyamho; Edo State; Nigeria.
  • Chizoba Marcella Ekwueme Department of Accountancy, Nnamdi Azikiwe University, Awka, Nigeria

Keywords:

Ohlson,, Valuation, stock prices, clean surplus, abnormal earnings

Abstract

The study empirically investigates the validity of the clean surplus valuation model in twenty nine selected Nigerian listed stocks. Using a panel co-integration approach, secondary data are collected from the annual reports of selected non-financial firms for the period 2011 to 2017. Analyses include the use of descriptive statistics, panel regression, unit root test and the Hausman test using E-view 8.0 software. Result supports the applicability of the clean surplus model to selected listed Nigerian stock for the period covered. Our result also affirms the assertion that the model is effective for short horizons. We suggest that further researches should introduce other variables to the model to ameliorate the deficiency of having high predictive ability in the short run only. This could improve its ability to predict for longer horizons.

Downloads

Published

2023-07-23

How to Cite

Ikponmwosa, M. I., & Ekwueme, C. M. (2023). AN ANALYSIS OF CLEAN SURPLUS VALUATION MODEL IN NIGERIAN LISTED STOCKS. Journal of Global Accounting, 6(1), 10–23. Retrieved from https://journals.unizik.edu.ng/joga/article/view/2349

Issue

Vol. 6 No. 1 (2019): April

Section

Articles

License

Copyright (c) 2019 Journal of Global Accounting

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

Articles submitted to JOGA should not have been published or are currently under review by another Journal. Kindly see the guide for the preparation of the manuscript for details. Successful submission of articles by author(s) for publication clearly implies that the work is not an infringement of any existing copyright warranty as JOGA reserves the right to be indemnified by the author(s) where any breach of such warranty is proven. For ease of dissemination and to ensure proper policing of use, papers and contributions become the legal copyright of JOGA once published unless otherwise agreed.

Permission clearance should be obtained by the author(s) where applicable for the use of any content of interest not originally created by them. This must be done before the submission of the article to JOGA. Failure to do so may lead to a lengthy delay in publication, as JOGA is unable to publish any article which has permissions pending. Thus, the rights JOGA requires are:

  1. Non-exclusive right to reproduce the material in the article or book chapters.
  2. Print and electronic rights.
  3. To use the material for the life of the work (for instance, there should be no time restrictions on the re-use of material).

Where tables, figures or excerpts of more than 250 words are reproduced from another source, it is expected that:

  1. Author(s) should obtain the necessary written permission in advance from any third-party owner of the copyright for the use in print and electronic formats of any of their text, illustrations, graphics, or other material in their manuscript. Permission must also be cleared for any minor adaptations of any work not originally created by the author(s). The author (s) should not assume that any content freely available on the web is free to use.
  2. Where the author adapts a significant number of any material, the author(s) must inform the copyright holder of the original work.
  3. Author obtains any proof of consent statements
  4. The author must acknowledge figure(s) and content adopted or adapted in work utilizing source(s) and further capture them in the list of references.