An Empirical Analysis On The Investment Value And Stock Market Performance Of Listed Banks In China

The financial industry is characterized by its involvement in all sectors of the national economy,reinforcing co-movement,strict control by the government departments and also as distribution center of huge funds.It plays a highly important part in national economy just like shaving a body by pulling a hair and has an irreplaceable function.The modern financial is a system in which professional bank acts as the main body,the central bank acts as the core,a variety of banks and non-bank financial institutions coexist,and as listed banks is an important part of financial listed companies,the study on the value of investment in listed banks is necessary.From the perspective of investors:Mature and rational investors choose the stock based on the company's value.After the continuous development though the China's security market has made great progress,the market speculation is still ubiquitous.Most investors purchasing the stocks still rely on the so-called good news,recommended by other people or follow the trend blindly,ignoring the company's basic level,leading to speculation behavior prevailing.In this paper,the empirical analysis method is used to analyze the correlation between the investment value of the listed bank and its corresponding stock market by using the combination of theory and practice,verify the invalidity and speculation of the securities market,and try to help the investors to provide the reference for the rational investment.From the development of financial markets,comparing with the developed countries,there are still a lot of phenomenon for example,operating management is not standardized,the market cannot play their own role and so on.Through the study on the correlation between the investment value and the stock market performance of the listed banks,verified the inefficiency of the securities market,so as to provide a reference for standardizing the operation and management of listed banks and promoting the actively and healthy development of financial markets.This paper takes 16 listed banks as the research object,aims to analyze the correlation between investment value and their stock market performance of the listed banks,The combination of theory and data is used to illustrate the invalidity and speculation of the securities market in China and finally propose thesuggestions.Based on the data of four quarters of 2015,this paper mainly uses factor analysis,principal component analysis and empirical analysis to illustrate the correlation between the investment value and its stock market performance of listed banks,so as to illustrate the shortcomings of China's securities market.That is: the investor's investment decision is not based on the investment value of listed banks,there is speculative and ineffective.This paper is divided into five parts:The first part is the introduction,analyzed the significance of the topic by starting from two aspects the status of the securities market and the characteristics of the listed banks,introduced the current research results at home and abroad,elaborated the main contents and methods of the paper,and put forward the paper of innovation and shortcomings.The second part is an overview of the investment value evaluation method of listed banks,and introduces the current three investment value evaluation methods commonly used and illustrate the significance of studying the investment value of listed banks.The third part is the analysis of the investment value of the listed banks,taking16 listed banks as the research object,selected 15 financial indicators reflecting the listed banks which reflect the operating capacity solvency capacity growth capacity and profitability capacity of the listed banks,to calculate the investment value of listed banks comprehensive score by the use of factor analysis method,not only can visually see the size of the investment value,but for the empirical part of the data basis.The fourth part is the key part of this article,put the comprehensive value of investment value obtained from the third part as the independent variable,and the six indicators,which reflect the performance of the stock market,are analyzed by the dependent variable respectively.To see he correlation between investment value and the stock market performance of the listed banks.Validated the conclusion of market inefficiency and analyzed the reason.The fifth part is the conclusion of the study,analyzes the reasons for the invalidity of the securities market and makes policy suggestions.