Return on equity (ROE) as one of fundamental determinants of company’s value creation Cover Image

Stopa zwrotu z kapitałów własnych (ROE) jako jedna z podstawowych determinant kreacji wartości przedsiębiorstwa
Return on equity (ROE) as one of fundamental determinants of company’s value creation

Author(s): Paweł Wnuczak
Subject(s): Economy
Published by: Wydawnictwo Uniwersytetu Ekonomicznego we Wrocławiu
Keywords: Return on equity (ROE); the valuation of the company; managing the value of companies fundamental factors

Summary/Abstract: This paper presents the results of the research on the influence of return on equity (ROE) on value of companies quoted on the Warsaw Stock Exchange. According to the result of the research, in a short period of time there is a low correlation between ROE and companies value. On the other hand, the analysis proves that companies value depends on return on equity in a long period of time. In order to define the relation between these two variables more accurately, it is necessary to do a series of detailed research.

  • Issue Year: 2012
  • Issue No: 271
  • Page Range: 454-466
  • Page Count: 13
  • Language: Polish
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