Naslov
THE IMPACT OF BUSINESS PERFORMANCE ON STOCKS VOLATILITY DURING A PANDEMIC COVID-19

Autori
Pepur, Petar ; Bašić, Ivica ; Laća, Stjepan

Vrsta, podvrsta i kategorija rada
Radovi u zbornicima skupova, cjeloviti rad (in extenso), znanstveni

Izvornik
International Scientific Symposium "Region, Entrepreneurship Development" / - , 2021, 933-941

Skup
10th International Scientific Symposium Region Entrepreneurship Development (RED 2021)

Mjesto i datum
Online, 17.06.2021

Vrsta sudjelovanja
Predavanje

Vrsta recenzije
Međunarodna recenzija

Ključne riječi
stocks, business performance, Covid-19 pandemic

Sažetak
The stocks are one of the most traded financial assets, whose price volatility often comes into the focus of various researches and the public. Despite of various and numerous researches, issues related to stock price volatility factors are still unanswered and unclear. Stocks price volatility is often a misunderstood term of investing. Volatility is the range of changes in stock prices over a period of time. If the price of a stock remains relatively stable, those stocks have low volatility, while stocks with high volatility have significant price changes over a period of time. Stocks price volatility is understood in two ways, some perceive it as an unnecessary risk, while others perceive it as an opportunity to earn. Previous research showed that significant and essential factor of stocks price volatility is business performance. But as we know during 2020, we have entered a “new normal” era which has changed the framework of life and business. The most influencing factor of 2020 was Covid-19 pandemic which marked whole real and business life. Unfortunately, Covid-19 pandemic has changed and influenced on a lot economic and business models, so, the aim of this research is to determine if the business performance correlate with the stock volatility within the “new normal” framework caused by Covid-19 pandemic. The data was taken from the web site of Zagreb Stock Exchange (www.zse.hr) and from Thomson Reuters database where we collected sample of 19 companies. Selected companies are included in the official stock index of the Zagreb Stock Exchange, Crobex. Sample periods cover second and third quarter of 2020 which we compare with second and third quarter of 2019. So the research objective was to explore if the Covid-19 pandemic by the “new normal” framework affected the impact of business performance on the stocks volatility.

Izvorni jezik
Engleski

Znanstvena područja
Ekonomija

POVEZANOST RADA