We examine whether or not the value relevant information of EVA is fully incorporated in stock prices by constructing … trading strategies using signs of changes in both earnings and EVA. The portfolio of stocks with negative changes in earnings … coupled with positive changes in EVA yields higher cumulative future returns than do benchmark portfolios over several years …

shareholder value that helps to align managerial decision making with firm preferences. In recent years, the EVA framework is … 'creative' accounting. This study examines the value-creation strategies of selected Indian companies by analysing whether EVA … better represents the market-value of these companies in comparison to conventional performance measures. In this regard, EVA …