Research On The Influence Of Investor Sentiment On The Stock Price Deviation

The stock market of China started relatively late, and the market mechanism is imperfect, so the operation of the stock market is easily affected by investor sentiment. In recent years, many scholars through research confirmed that the investor sentiment and stock returns has a certain relevance, however, the stock price in recent years has a large fluctuation, causing the price "bubble". So the main research content of this article is about the research of investor sentiment affect stock price deviation.The status of the real estate industry in the national economy and the life of people is higher and higher, the increasing of the double demand for housing consumption and housing investment has led to the operation of the real estate market affected, which led to the emergence of the stock price fluctuations of the real estate industry. The existing literature on the real estate industry of China market mostly on if there is a "bubble" on the house prices and its relationship to economic fundamentals, lacking of research about investor speculation on the stock price deviation. Therefore, this article studies the real estate industry as an example, to explore the relevance between investor sentiment and the stock price deviation. The innovation point of this article is introducing the investor sentiment factor on the basic of three-factor model, and verify the investor sentiment factor influence the stock price deviation of the real estate industry listed companies.In this paper, the influence of investor sentiment on the stock price deviation as the main content, the definition of stock price deviation is that the extent of stock market price deviate from its intrinsic value. First, by using principal component analysis method to build the market sentiment indicators and stock investor sentiment index in turn, investor sentiment index system is established.Then, using the O-F residual income model to measure the intrinsic value of the stock, respectively to calculate the stock intrinsic value of the real estate industry forty listed company, and then calculate the stock price deviation, and make correlation analysis between deviation and market sentiment index, stock sentiment index; Finally, on the basis of Fama-French three factor model, to join the market sentiment factor and individual emotion factor, establishing a five factor model, the five factor model is verified by the empirical analysis of real estate industry the impact of stock price deviation.This article concludes that investor sentiment and stock prices deviation have a positive correlation. The stock price will on positive deviation when investor sentiment rises, the market price is higher than the stock intrinsic value; the stock price will on negative deviation when investor sentiment falls, the market price is less than the intrinsic value of the stock. For investors, they should set up correct, rational investment philosophy in the investment process; Regulators should guide investors rational investment, as far as possible to reduce the ill effects of speculative behavior on the stock market, making the stock market become more healthy and stable development.