Influence of Firm Financial Characteristics on Stock Return of Firms Listed In Nairobi Securities

Author(s)

Charles Githira , Willy Muturi , Tabitha Nasieku ,

Download Full PDF Pages: 86-96 | Views: 944 | Downloads: 324 | DOI: 10.5281/zenodo.3456770

Volume 8 - March 2019 (03)

Abstract

Investors return guidelines to an investment decision by all investors. Stock return is affected by micro and macro-economic characteristics. Currently, it was hypothesized that firm financial characteristics; firm value, financial health, liquidity, leverage, shareholders concentration have an influence on stock return. Panel regression analysis was fitted on secondary data, and it was found that there was a positive and significant influence of firm value, financial health, liquidity, leverage, and stock return. Further, there was a positive and significant moderating effect of shareholders concentration on the influence of firm financial characteristics on stock return.

Keywords

Leverage, Liquidity, Firm Value, Financial Health, Shareholders Concertation, Stock Return

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