A CROSS-SECTIONAL ANALYSIS OF MARKET PERCEPTIONS OF COMPANIES’ INTRINSIC VALUE: EVIDENCE FROM THAILAND
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Abstract
The objective of this study is to examine how accurately the market values a company by comparing its market value and the company’s intrinsic value as calculated using the discounted capital cash flow model. Using companies listed on the Stock Exchange of Thailand over the period 1998 - 2012, the results from a regression analysis show that the market has overestimated the intrinsic value of companies and that it views company size and industry to be important factors in company valuation. Moreover, the results from this study reveal that the most favorable period length to use when calculating a company’s intrinsic value is 10 years, followed by 12 years. This result implies that the discounted cash flow technique is more effective for company valuations in the long term.
Article Details
1. กองบรรณาธิการสงวนสิทธิ์ในการพิจารณาและตัดสินการตีพิมพ์บทความในวารสาร
2. บทความทุกเรื่องจะได้รับการตรวจสอบทางวิชาการโดยผู้ทรงคุณวุฒิ แต่ข้อความและเนื้อหาในบทความที่ตีพิมพ์เป็นความรับผิดชอบของผู้เขียนแต่เพียงผู้เดียว มิใช่ความคิดเห็นและความรับผิดชอบของมหาวิทยาลัยศรีปทุม
3. การคัดลอกอ้างอิงต้องดำเนินการตามการปฏิบัติในหมู่นักวิชาการโดยทั่วไป และสอดคล้องกับกฎหมายที่เกี่ยวข้อง
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