Can you pick the winner?
(2015) BUSN89 20151Department of Business Administration
- Abstract
- Title: Can you pick the winner? - Predictability of long-term IPO performance
Course: BUSN89
Authors: John R. Saidac & Christoffer Swedérus
Advisor: Naciye Sekerci
Key words: Initial public offerings, IPO performance, Financial variables, Swedish stock market, Buy-and-hold abnormal return
Purpose: The purpose of the thesis is to investigate the relationship between publicly available financial and firm characteristic variables and long-term performance of IPOs in Sweden.
Method: The thesis is performed using a quantitative approach, performing multiple regression analysis to test hypotheses
Theoretical perspective: This thesis departures from theories on the decision for firms to go public, IPO... (More) - Title: Can you pick the winner? - Predictability of long-term IPO performance
Course: BUSN89
Authors: John R. Saidac & Christoffer Swedérus
Advisor: Naciye Sekerci
Key words: Initial public offerings, IPO performance, Financial variables, Swedish stock market, Buy-and-hold abnormal return
Purpose: The purpose of the thesis is to investigate the relationship between publicly available financial and firm characteristic variables and long-term performance of IPOs in Sweden.
Method: The thesis is performed using a quantitative approach, performing multiple regression analysis to test hypotheses
Theoretical perspective: This thesis departures from theories on the decision for firms to go public, IPO underperformance and relevant empirical research on variable influence on IPO performance
Empirical foundation: The Empirical foundation consists of IPOs performed on Swedish stock markets between 2007-01-01 and 2011-12-31, fulfilling certain criteria.
Conclusions: Financial and firm characteristic variables have limited predictive abilities on long-term IPO performance on the Swedish stock market. Only market capitalization is found to have a statistically significant relationship to IPO performance, indicating a positive relationship to market-adjusted buy-and-hold abnormal returns. Furthermore, junior markets are found to provide higher possible returns as well as failure rates, consistent with the CAPM theory. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/7439601
- author
- Rosenqvist Saidac, John LU and Swedérus, Christoffer LU
- supervisor
- organization
- course
- BUSN89 20151
- year
- 2015
- type
- H1 - Master's Degree (One Year)
- subject
- keywords
- Initial public offerings, IPO performance, Financial variables, Swedish stock market, Buy-and-hold abnormal return
- language
- English
- id
- 7439601
- date added to LUP
- 2015-06-29 13:36:54
- date last changed
- 2015-06-29 13:36:54
@misc{7439601, abstract = {{Title: Can you pick the winner? - Predictability of long-term IPO performance Course: BUSN89 Authors: John R. Saidac & Christoffer Swedérus Advisor: Naciye Sekerci Key words: Initial public offerings, IPO performance, Financial variables, Swedish stock market, Buy-and-hold abnormal return Purpose: The purpose of the thesis is to investigate the relationship between publicly available financial and firm characteristic variables and long-term performance of IPOs in Sweden. Method: The thesis is performed using a quantitative approach, performing multiple regression analysis to test hypotheses Theoretical perspective: This thesis departures from theories on the decision for firms to go public, IPO underperformance and relevant empirical research on variable influence on IPO performance Empirical foundation: The Empirical foundation consists of IPOs performed on Swedish stock markets between 2007-01-01 and 2011-12-31, fulfilling certain criteria. Conclusions: Financial and firm characteristic variables have limited predictive abilities on long-term IPO performance on the Swedish stock market. Only market capitalization is found to have a statistically significant relationship to IPO performance, indicating a positive relationship to market-adjusted buy-and-hold abnormal returns. Furthermore, junior markets are found to provide higher possible returns as well as failure rates, consistent with the CAPM theory.}}, author = {{Rosenqvist Saidac, John and Swedérus, Christoffer}}, language = {{eng}}, note = {{Student Paper}}, title = {{Can you pick the winner?}}, year = {{2015}}, }