El sentimiento de los inversores sobre el tamaño en los múltiplos de valoración europeos

  1. Gracia Rubio Martín 1
  1. 1 Universidad Complutense de Madrid
    info

    Universidad Complutense de Madrid

    Madrid, España

    ROR 02p0gd045

Journal:
Cuadernos de economía: Spanish Journal of Economics and Finance

ISSN: 2340-6704,  0210-0266

Year of publication: 2019

Volume: 42

Issue: 119

Pages: 173-188

Type: Article

DOI: 10.32826/CUDE.V42I119.86 DIALNET GOOGLE SCHOLAR lock_openBiblos-e Archivo editor

More publications in: Cuadernos de economía: Spanish Journal of Economics and Finance

Abstract

The aim of this paper is to bring a new perspective to the role of control factors in MARKET-EBITDA, MARKET-SALES and MARKET-BOOK ratios in the European market, which are different from industry. We analyze the role of size and its interactions with the rest of the variables: profitability, risk, and structural asset factors. For this purpose, we have developed a valuation model using panel data methodology for listed European firms from the period 2002-2013. We found that size includes economic aspects of the companies, but also differen-tial investors’ perceptions about these economic aspects. It is a complementary explanation factor on the selection of the peer group with the rest of the variables. These findings help to understand the variation of market ratios and share prices depending on size in different economic conditions or economic cycles. This research is in accordance with the theoretical framework of market ratios and with size effect theory.

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