Impact of financial statements information on market share price of listed insurance firms in Nigeria

Authors

DOI:

https://doi.org/10.33003/fujafr-2024.v2i4.146.111-121

Keywords:

Financial Statements, Insurance Firms, Market Share Price, Solvency Margin Ratio

Abstract

In emerging economies, there is an issue of relevant information for investors’ decision.  Therefore, this study is carried out to determine the value relevance of financial statements information on Market Share Price of Nigerian listed insurance firms as at 31st December, 2022. Positivism methodology was adopted and as such, ex-post facto design was employed. Consequently, secondary data was used for this research work, obtained from the published annual reports and accounts of the selected insurance firms. The Panel data regression was used to analyze the data. The study found that both dividend per share and solvency margin ratio have positive and significant impact on market price per share (p-value > 5% level of significance). On the other hand, book value per share and earnings per share were found to have insignificant impact on market price per share (p-value > 5% level of significance). The study concludes that dividend per share and solvency margin ratio influenced market price per share of the selected companies in Nigeria and thus recommends that listed insurance companies should do more towards generating adequate profit that will enable payment of dividend to investors and to pay insurers their probable claims whenever the need arises.

Author Biographies

  • Segun Abogun, Department of Accounting, University of Ilorin, Kwara State, Nigeria

    Dr. S. Abogun is an Associate Professor/Reader in the department of Accounting, University of Ilorin,Ilorin, Kwara State, Nigeria

  • Isaac Adebukola Lambo, Department of Accounting, University of Ilorin, Kwara State, Nigeria

    Mr.Lambo is a postgraduate student in the department of Accounting, University of Ilorin, Ilorin

  • Abdulrasheed Bolaji Yunus, Department of Accounting, University of Ilorin, Kwara State, Nigeria

    Mr.Yunus is an academic staff  (Lecturer II) of the department of Accounting, University of Ilorin, Ilorin, Kwara State

  • Peter Ade Sanni, Department of Accountancy, Kogi State Polytechnic, Lokoja, Nigeria

    Mr. Sanni is a postgraduate student in the department of Accounting, University of Ilorin. He is a Lecturer I in the department of Accountancy, Kogi State Polytechnic, Lokoja.

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Published

31-12-2024

Issue

Vol. 2 No. 4 (2024): December 31, 2024

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How to Cite

Salman, R., Abogun, S., Lambo, I. A., Yunus, A. B., & Sanni, P. A. (2024). Impact of financial statements information on market share price of listed insurance firms in Nigeria . FUDMA Journal of Accounting and Finance Research [FUJAFR], 2(4), 111-121. https://doi.org/10.33003/fujafr-2024.v2i4.146.111-121

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