The bimodal character of stock distribution
The bimodal character of stocks is demonstrated when they are classified according to their style. Stocks are often assigned, on the basis of some valuation parameter, uniquely as either value or growth even though, over time, changes in a stock's-growth probability should trace the evolution of the corporate life cycle. This study is concerned with investigating the relationship of that probability to market cycles. Two hundred and eighty eight stocks from the ASEAN are tracked over an eight-year period. The percentages of those, on a monthly basis, that are in the top quintile of EPS growth, as well as the top quintile of major value (current) styles are calculated. Using multidimensional scaling, the study concludes that the degree of differentiation between growth and value rises as the market declines, and that styles are purer at the bottom than at the top of the market cycle.
Year of publication: |
2001
|
---|---|
Authors: | Frank, A. G. |
Published in: |
South African Journal of Business Management. - Cape Town : African Online Scientific Information Systems (AOSIS), ISSN 2078-5976. - Vol. 32.2001, 3, p. 11-16
|
Publisher: |
Cape Town : African Online Scientific Information Systems (AOSIS) |
Saved in:
freely available
Saved in favorites
Similar items by person
-
In memory of Andre Gunder Frank 1929 - 2005
Bell Lara, José, (2007)
-
The modern world system under Asian hegemony : the silver standard world economy 1450 - 1750
Gills, Barry K., (2011)
-
Andrew Gunder Frank and global development : visions, remembrances, and explorations
Manning, Patrick, (2011)
- More ...