fANOVA application for comparison of companies by the CEO turnover rates
The aim of this study was to analyze the data from the Nasdaq Baltic listed companies’ financial statements and to estimate if the CEO changes have a significant influence on the financial performance: profitability, indebtedness and stock price. Data was collected and financial ratios were compute...
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| Format: | Article |
| Language: | English |
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Vilnius University Press
2023-11-01
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| Series: | Lietuvos Matematikos Rinkinys |
| Subjects: | |
| Online Access: | https://www.journals.vu.lt/LMR/article/view/33589 |
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| author | Urtė Deinoravičiūtė Anna Yasyreva |
| author_facet | Urtė Deinoravičiūtė Anna Yasyreva |
| author_sort | Urtė Deinoravičiūtė |
| collection | DOAJ |
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The aim of this study was to analyze the data from the Nasdaq Baltic listed companies’ financial statements and to estimate if the CEO changes have a significant influence on the financial performance: profitability, indebtedness and stock price. Data was collected and financial ratios were computed for 34 companies during 2006 to 2021 (2008 to 2022 for stock prices). The companies were divided into 3 groups: ones that had no CEO changes over the period; those that had 1 or 2 and those with 3 or more. Point-wise ANOVA, fANOVA and fMANOVA were conducted. Both point-wise and functional ANOVA indicated that there is a significant difference of at least one group from the others in terms of ROA and EBITDA margin. After conducting two-sample tests, the group with 3 or more CEO changes was identified as having a significantly higher EBITDA margin than the others. Furthermore, a significant positive relationship between the stock price and the CEO turnover was uncovered in the function-on-scalar regression results.
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| format | Article |
| id | doaj-art-913b8ee4022f4b23aeeb1af9781b0e82 |
| institution | Kabale University |
| issn | 0132-2818 2335-898X |
| language | English |
| publishDate | 2023-11-01 |
| publisher | Vilnius University Press |
| record_format | Article |
| series | Lietuvos Matematikos Rinkinys |
| spelling | doaj-art-913b8ee4022f4b23aeeb1af9781b0e822025-01-20T18:15:00ZengVilnius University PressLietuvos Matematikos Rinkinys0132-28182335-898X2023-11-0164A10.15388/LMR.2023.33589fANOVA application for comparison of companies by the CEO turnover ratesUrtė Deinoravičiūtė0Anna Yasyreva1Vilnius UniversityVilnius University The aim of this study was to analyze the data from the Nasdaq Baltic listed companies’ financial statements and to estimate if the CEO changes have a significant influence on the financial performance: profitability, indebtedness and stock price. Data was collected and financial ratios were computed for 34 companies during 2006 to 2021 (2008 to 2022 for stock prices). The companies were divided into 3 groups: ones that had no CEO changes over the period; those that had 1 or 2 and those with 3 or more. Point-wise ANOVA, fANOVA and fMANOVA were conducted. Both point-wise and functional ANOVA indicated that there is a significant difference of at least one group from the others in terms of ROA and EBITDA margin. After conducting two-sample tests, the group with 3 or more CEO changes was identified as having a significantly higher EBITDA margin than the others. Furthermore, a significant positive relationship between the stock price and the CEO turnover was uncovered in the function-on-scalar regression results. https://www.journals.vu.lt/LMR/article/view/33589profitabilityCEO turnoverfunctional datafANOVA |
| spellingShingle | Urtė Deinoravičiūtė Anna Yasyreva fANOVA application for comparison of companies by the CEO turnover rates Lietuvos Matematikos Rinkinys profitability CEO turnover functional data fANOVA |
| title | fANOVA application for comparison of companies by the CEO turnover rates |
| title_full | fANOVA application for comparison of companies by the CEO turnover rates |
| title_fullStr | fANOVA application for comparison of companies by the CEO turnover rates |
| title_full_unstemmed | fANOVA application for comparison of companies by the CEO turnover rates |
| title_short | fANOVA application for comparison of companies by the CEO turnover rates |
| title_sort | fanova application for comparison of companies by the ceo turnover rates |
| topic | profitability CEO turnover functional data fANOVA |
| url | https://www.journals.vu.lt/LMR/article/view/33589 |
| work_keys_str_mv | AT urtedeinoraviciute fanovaapplicationforcomparisonofcompaniesbytheceoturnoverrates AT annayasyreva fanovaapplicationforcomparisonofcompaniesbytheceoturnoverrates |