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THE ROLE OF KEY FINANCIAL PERFORMANCE INDICATORS IN INVESTMENT DECISION

📘 Volume 9 📄 Issue 11 📅 november 2022

👤 Authors

Thamir Salih Edan, Raad Abidmuslim Hraiga, Raghad Muneer Farhan 1
1. ., Accounting, .

📄 Abstract

The preliminary review of the financial reports of the banks listed on the Iraqi Stock Exchange reveals the existence of an untapped cash block that is reflected in the Key financial performance indicators (Financial KPIs). The study discusses the fact that the Financial KPIs of the banks listed in the Iraqi Stock Exchange are among the factors that have a role in the decision to buy bank shares by investors. Therefore, the study aims to test the role of the Financial KPIs represented by financial leverage, liquidity, capital adequacy and profitability in the decision to purchase bank shares by investors, by testing the strength and direction of the relationship and testing the impact size of the Financial KPIs in the decision to purchase bank shares by investors of a sample of commercial banks listed in the Iraq Stock Exchange (the regular market) amounted to (10) banks for the period (2016-2020). Among the most important conclusions reached by the study, there is no role for indicators of liquidity, capital adequacy and risk in the investment decision. The role of debt indicators is not important in the investment decision. There is a role for profitability indicators in the investment decision.

🏷️ Keywords

debt indicators Liquidity Indicators Capital adequacy Profitability Indicators

🔗 DOI

View DOI - (https://doi.org/10.36713/epra11780)

📚 How to Cite:

Thamir Salih Edan, Raad Abidmuslim Hraiga, Raghad Muneer Farhan , THE ROLE OF KEY FINANCIAL PERFORMANCE INDICATORS IN INVESTMENT DECISION , Volume 9 , Issue 11, november 2022, EPRA International Journal of Economics, Business and Management Studies (EBMS) , DOI: https://doi.org/10.36713/epra11780

🔗 PDF URL

https://cdn.epratrustpublishing.com/article/15.EPRA JOURNALS 11780.pdf

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