Does Eps Influence Stock Price: A Case Study Of Indian Stock Market

Abstract

Researchers are getting involved in examination of various factors influencing SP (stock price) in stock market.  This research aims to examine influence of EPS (Earning Per Share) on stock price in context of Indian stock market. investors around the world interested to invest only in those companies whose financial performance is sound. companies listed in NSE and BSE have been selected based on their incorporation before 2001. As a result, 115 companies and their data of EPS and stock price from 2001 to 2019 have been collected. To check the hypothesis regression analysis and Johnsen cointegration test have been used with the help of EVIEWS 9.0. further to establish relationship between both the variable correlation has been applied. Finding indicates that both the variable has long term positive relationship between them and EPS has significant influence on SP in stock market of India.