The Relationship Between Financial Metrics and Stock Prices: A Comparative Study of China and Vietnam’s Stock Markets

Quang Thanh Duong, Quoc Huy Vuong, Thu Hang Nguyen and Cong Doan Truong ()
Additional contact information
Quang Thanh Duong: FPT University, Swinburne Vietnam
Quoc Huy Vuong: FPT University, Swinburne Vietnam
Thu Hang Nguyen: Prosperity and Growth Commercial Joint Stock Bank
Cong Doan Truong: Vietnam National University, International School

A chapter in Proceedings of the 6th International Conference on Research in Management & Technovation, 2026, pp 154-165 from Springer

Abstract: Abstract This study investigates how key financial numbers affect stock prices in the unique post-COVID-19 era, comparing China’s mature emerging market with Vietnam’s more speculative frontier market. Using data from 2,738 companies on the Shanghai (SSE), Shenzhen (SZSE), Ho Chi Minh City (HOSE), and Hanoi (HNX) stock exchanges from 2020 to 2024, the research reveals two main findings. First, core fundamentals like Earnings per Share (EPS) and Book Value per Share (BVPS) are powerful and reliable drivers of stock prices in both countries, acting as anchors in uncertain times. Secondly, the markets diverge significantly beyond these basics. China’s market follows traditional valuation logic more predictably. In contrast, Vietnam’s market displays strong speculative behavior, where investors favor profitability (high ROA) and heavily punish what they see as overpriced stocks (high P/S ratio). This research provides critical insights for investors, showing that while fundamental health is always important, understanding a specific market’s maturity and investor behavior is essential for successful valuation.

Keywords: Stock valuation; financial ratios; Emerging markets; China; Vietnam; Panel data; Ohlson model; HOSE; HNX; SSE; SZSE (search for similar items in EconPapers)
Date: 2026
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:prbchp:978-981-95-9113-8_13

Ordering information: This item can be ordered from
http://www.springer.com/9789819591138

DOI: 10.1007/978-981-95-9113-8_13

Access Statistics for this chapter

More chapters in Springer Proceedings in Business and Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().