Impact of Corporate Performance on Stock Prices of Consumer good’s Firms in Nigeria Stock Exchange (A Study of Nestle Food Nigerian Plc)

AJAO, C.C and FATOGUN, O. I (2019) Impact of Corporate Performance on Stock Prices of Consumer good’s Firms in Nigeria Stock Exchange (A Study of Nestle Food Nigerian Plc). JOURNAL OF BUSINESS & EDUCATIONAL POLICIES (A BI-ANNUAL JOURNAL OF THE NATIONAL ASSOCIATION OF POLICY EDUCATORS), 15 (1). pp. 1-12.

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Abstract

The study examined the impact of corporate performance on stock prices of quoted companies on the floor of Nigeria Stock Exchange. The specific objectives of the study are; to examine the impact of stock prices, earnings per share, dividend per share and profit margin on the performance of market capitalization in Nigeria. Data was sourced from Annual report of Nestle Nigeria Plc from 1991–2018. The population of the study consists 169 listed manufacturing companies in Nigeria Stock Exchange (NSE). The research used purposive sampling techniques in selecting sample size. Furthermore, the data collected from Nestle annual were sorted, processed and analyzed using regression analysis while econometric package (E-view). The finding revealed there is strong positive relationship between stock price and market value. Also, price margin revealed weak positive relationship with market value but significant. Furthermore, dividends per share have positive effect on while earning per share has negative effect on market value respectively. The study therefore concluded that corporate performance has significant impact on stock prices of quoted companies in Nigeria stock Exchange under the study review. The study now recommends that; management of food and beverages companies should endeavor to put more efforts on stock price so as to increase its profitability, companies should work toward building strong fundamentals that may affect stock price positively.

Item Type:	Article
Subjects:	H Social Sciences > H Social Sciences (General) H Social Sciences > HF Commerce H Social Sciences > HG Finance H Social Sciences > HJ Public Finance
Divisions:	Faculty of Law, Arts and Social Sciences > School of Management
Depositing User:	Miss Ayomikun Ogunbadejo
Date Deposited:	11 May 2020 19:30
Last Modified:	11 May 2020 19:30
URI:	http://eprints.federalpolyilaro.edu.ng/id/eprint/90

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