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Research Paper (undergraduate) from the year 2016 in the subject Business economics - Investment and Finance, grade: 90.00, , course: Master in Business Administration, language: English, abstract: This study utilizes the Graham Number approach to determine the intrinsic valuation of global oil stock prices in 11 major stock markets. There were 178 listed international oil companies (IOCs) identified in this study. Using IOC's market capital, their last year earnings per share (EPS), the price equity ratio (PE), book value per share (BVPS) and the latest stock price recorded last September 29,…mehr

Produktbeschreibung
Research Paper (undergraduate) from the year 2016 in the subject Business economics - Investment and Finance, grade: 90.00, , course: Master in Business Administration, language: English, abstract: This study utilizes the Graham Number approach to determine the intrinsic valuation of global oil stock prices in 11 major stock markets. There were 178 listed international oil companies (IOCs) identified in this study. Using IOC's market capital, their last year earnings per share (EPS), the price equity ratio (PE), book value per share (BVPS) and the latest stock price recorded last September 29, 2016, the study computed each intrinsic value (EPS x (8.5 + 2g) x 4.4 / Y). The result shows that 85 or 45% are undervalued and 93 or 52% are overvalued. The Chi square, X2 (2, N = 178) = 0.00067, p .01, demonstrate that stock markets located in areas with major oil and gas industries ( Australia, Argentina and Vancouver) are likely to show overvalued oil stock prices.