THE RELATIONSHIP BETWEEN FINANCIAL EFFICIENCY RATIOS AND STOCK PRICES: AN EMPIRICAL INVESTIGATION ON INSURANCE COMPANIES LISTED IN BORSA ISTANBUL

Abstract

It is a common perception that efficiency is an important issue regardless of industry. A sound and highly functional insurance industry serves as a crucial financing channel in an economy. At this aspect, this study aims to examine the relationship between the financial efficiency ratios and stock prices of insurance firms, whose stocks are publicly traded in Borsa Istanbul. The study is performed on quarterly data set. The sample period covers 2005Q1 and 2012Q4. Taking three sets of efficiency ratios, which are namely cost, revenue and profit efficiency, as proxy, we run a regression analysis against stock prices. This study is the first, best to our knowledge, in examining the interaction between Turkish insurance firms’ efficiency ratios and their stock prices. Our findings suggest that all of employed models confirm statistically significant relationships between the ratios and stock prices. Among the three ratio groups, profitability ratios emerge as the best fit models. The results carry important implications for insurance firms as well as investors

Keywords

• Insurance
• Efficiency
• Ratios

FİNANSAL ETKİNLİK ORANLARI VE HİSSE SENEDİ FİYATLARI ARASINDAKİ İLİŞKİ: BORSA ISTANBUL’DA İŞLEM GÖREN SİGORTA ŞİRKETLERİ ÜZERİNE AMPİRİK BİR ARAŞTIRMA

Öz

Hangi sektörde olursa olsun etkinliğin önemli bir konu olduğu genel kabul gören bir anlayıştır. İyi işleyen sağlıklı bir sigortacılık sektörü bir ekonomi için hayati bir finansman kanalı işlevini görecektir. Buradan hareketle bu çalışma, hisseleri Borsa İstanbul’da işlem gören sigorta şirketlerinin hisse senedi fiyatları ile finansal etkinlik oranları arasındaki ilişkiyi incelemeyi amaçlamaktadır. Çalışma çeyrek dönemlik veriler üzerinde yürütülmüştür. Örneklem dönemi 2005Ç1 ve 2012Ç4 arasını içermektedir. Maliyet, gelir ve kârlılık etkinliği olmak üzere üç grup etkinlik oranları ölçü alınarak hisse senedi fiyatlarına karşı bir regresyon analizi gerçekleştirilmiştir. Bilindiği kadarıyla, Türkiye’deki sigorta firmalarının etkinlik oranları ve hisse senedi fiyatları arasındaki ilişkiyi incelemesi itibariyle çalışma literatürde bir ilki temsil etmektedir. Ulaşılan bulgular uygulanan bütün modellerde oranlar ve hisse fiyatları arasında istatistiksel olarak anlamlı ilişkilerin varlığına işaret etmektedir. Söz konusu üç oran grubundan en güçlü modellerin, kârlılık oranları olduğu görülmüştür. Bulgular sigorta şirketlerinin yanı sıra yatırımcılar açısından da önemli sonuçlar içermektedir

Anahtar Kelimeler

• Sigorta
• Etkinlik
• Oranlar

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