Since 2014
R&D Expenses and Share Value in The Japanese Stock Market
Indonesian Capital Market Review
View Archive Info| Field | Value | |
| Title |
R&D Expenses and Share Value in The Japanese Stock Market
|
|
| Creator |
Sophie Nivoix; University in Poitiers
Pascal Ngunyen; University in Poitiers |
|
| Subject |
R&D Expenses; Stock Return; Market Eficiency
|
|
| Description |
The growing influence of technology in business activities is driving many firms to devote a greater amount of resources to research and development. It is therefore crucial to understand how the stock market evaluates the benefits of R&D. In this paper, our aim is to investigate whether Japanese investors have rewarded firms that heavily invest in R&D. We first document that R&D expenses have remained fairly stable relative to sales in the past eight years, but with large variations within and between industries. We then show that R&Dfirms have achieved a higher return relative to non-R&D firms. However, our regressions and investment simulations indicate that the relation between R&D intensity and stock returns is not significant, suggesting that the Japanese stock market is semi-strong efficient.
|
|
| Publisher |
Management Research Center, Department of Management, Faculty of Economics and Business, U
|
|
| Contributor |
—
|
|
| Date |
2014-11-03
|
|
| Type |
Peer-reviewed Article
|
|
| Format |
image/ipeg
|
|
| Identifier |
http://journal.ui.ac.id/index.php/icmr/article/view/3915
|
|
| Source |
Indonesian Capital Market Review; Vol 1, No 1 (2009): January 2009
|
|
| Language |
en
|
|