Ioannidis, Christos; Peel, David A.; Peel, Michael J. - In: Journal of Business Finance & Accounting 30 (2003-06) 5-6, pp. 699-714
This paper re-evaluates the time series properties of financial ratios. It presents new empirical analysis which explicitly allows for the possibility that financial ratios can be characterized as non-linear mean-reverting processes. Financial ratios are widely employed as explanatory variables...