Empirical Research On The Effect Of Financial Information And Stock Price In Listed Companies Of GEM

The growth enterprise market was established in 2009,so far,there are great developments in all aspects,such as the number of listed companies,the total amount of financing,the total market value,etc..In recent years,China has vigorously promoted the construction of multi-level capital market,and vigorously supported the development of small and medium-sized enterprises and high-tech enterprises.Most of the growth enterprise market is high-tech enterprises with innovative knowledge and skills,large development potential and strong profitability in it.With the growth enterprise market developed vigorously,investors are paying more and more attention to them,the most concern of which is the stock price.Stock prices are affected by various factors,including macro factors and micro factors.The most direct,authentic and reliable information that investors can master is the financial information.Therefore,in the GEM,how the stock price changes,which factor can affect it,and what is the relationship between it and the content of financial information,that is the focus of this study.Firstly,the market characteristics of the GEM are analyzed by compared offering shares of listed companies between the main board and the small and medium-sized board for the first time.Then analyze the industry and life cycle of GEM listed companies to summary the characteristics of the GEM market information.Then,by comparing the average price earnings ratio,average stock price and annual growth rate of the main board,small and medium-sized board,the characteristics of the stock price in the growth enterprise market are analyzed.Combined with the theory,five factors of stock price are extracted,namely,firm size,debt paying ability,operation ability,profitability and development ability,then the hypothesis is made.Select 13 indicators representing these five aspects,take 378 listed companies of GEM in year 2014-2016 as samples,determine the principal component factors through factor analysis and finally establish a regression model with the stock price.The empirical results show that with the GEM listed company's share price had the strongest correlation index is the profitability factor,size factor and development ability factor;and with the GEM listed company's share price had the weak correlation index is debt paying ability factor andoperation ability factor.Through the analysis of the empirical results,this paper analyzes the reasons,and finally puts forward effective suggestions for the shortcomings of the GEM listed companies in China.