Comportamiento asintótico del rendimiento sobre el capital y de la razón precio-utilidad

Francisco Venegas-Martínez and Eduardo Hernández Pérez
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Eduardo Hernández Pérez: UNAM

Revista de Administración, Finanzas y Economía (Journal of Management, Finance and Economics), 2009, vol. 3, issue 1, 14-28

Abstract: The cost of capital is an indicator of the profitability of a company. Very often, this indicator in conjunction with the return on equity (ROE) is used in analyzing investment projects. Many studies have shown that the cost of capital tends to a long-term value, which reveals a mean reversion dynamics. This research examines the behavior of the return on capital by means of the Vasicek model. Moreover, under certain conditions, the capital cost is estimated through the Vasicek model. Finally, it shows that the return on equity and the inverse of the multiple price-book value are consistent with dynamics showing mean reversion

Keywords: Decisiones de inversión; múltiplos financieros; utilidades anormales (search for similar items in EconPapers)
JEL-codes: G11 G14 (search for similar items in EconPapers)
Date: 2009
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Persistent link: https://EconPapers.repec.org/RePEc:ega:rafega:200902

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