A Study On The Motivation And Excess Rate Of Return Of Listed Companies

Since 2014, the domestic stock market gradually show a strange phenomenon. Many listed companies have to change the name of the company and their stock abbreviations, which attract attention of the media and investors. Some of them changed the real owners of the company, some others change the main scope of business, and also some of which aimed at attract the public eyes. The odd thing is that after every enterprise changed its name, the share price will rise rapidly, therefore, this article want to study this phenomenon, and discusses the result.Using case analysis, this paper selected multiple parallel cases to study, discusses enterprises changed the first shareholder、enterprises change of main business^ speculated companies、passive rename enterprises, studies how these behaviors influence enterprise’s short-term excess yields and long-term stock price what kind of impact. The major research conclusions are:For the first shareholder change type enterprise, the market reaction in advance, the excess yields will rise sharply after the event date suddenly and can last a week or so. The impact on the enterprises change its main business will be longer and periodic characteristics, it does not exist the reaction in advance; For the speculated companies, their phenomenon of high excess yields is more effective than other types, but then fell back to the front of the name change substantially, bring no substantial improvement; For passive rename enterprise, the companies will comply with all the positive market development. At the same time, in view of the long-term share price, the data showed that the name change events for enterprise long-term share price didn’t have significant effect, the first shareholder change type enterprise just appeared temporary rise; enterprises change the main business received the most lasting impact, can achieve about nine months; the speculated company is difficult to achieve the objective of the pump through changed its name, shares are not all the way up, decline after the rally; passive rename enterprise could take this opportunity to adapt to the market steady operation.