Tuesday, January 21, 2020

Stock Price Valuation and Beta Calculation Essay -- Finance

There are many choices in the market for the investors to generate more money and income with the capital that they able to invest. These tools are categorized into many different types of market such as equity market, bond market, and mortgage market, according to their characteristics. The markets are well-growing and establishing all around world due to the people’s awareness of investment, the globalization, the governments’ policies, and the change of technology. Equity market is one of the well performing markets. The companies raise fund from the public by listing themselves in the stock exchanges. Such objective can be done by distributing the common stock, preferred stock, and convertible securities. The voting rights, priority claim, ownership, and types of compensation are determined by their characteristics. The investors will purchase the stocks based on their requirements and preferences. Two types of market are found in the stock markets, which are the p rimary and secondary market. The primary market enables the companies to gather the funds directly from the investors when the secondary market provides the liquidity to the shares by enabling the investors to trade among themselves. Stock price valuation In Malaysia, the only stock exchange is the Bursa Malaysia. The Kuala Lumpur Composite Index (KLCI), also known as the FTSE Bursa Malaysia KLCI, is the main stock index. The basket consists of the 30 largest market capitalization companies in Malaysia (The Edge Malaysia, 2009). 70 % of the market capitalization for the local bourse is made up by these 30 companies (The Edge Malaysia, 2009). Its performance will signal the investors about the market condition in Malaysia. Next, Genting Berhad (GENTING, 3182) is ... ...sdate=2012-03- 29&lang= Bloomberg.(n.d.). Genting Bhd. Retrieved April 5, 2012 from http://www.bloomberg.com/quote/GENT:MK Bursa Malaysia. (n.d.). FTSE Bursa Malaysia KLCI. Retrieved April 5, 2012 from http://www.bursamalaysia.com/website/bm/market_information/fbm_klci.html Genting Berhad. (n.d.). Annual report. Retrieved April 5, 2012 from http://www.genting.com/annualreports/gb/2010/gb2010_02_11.pdf Genting Berhad. (n.d.). Group profile. Retrieved April 5, 2012 from http://www.genting.com/groupprofile/gent.htm Palm oil traders await price forecasts seen as bullish. The Star Online. Retrieved April 5, 2012 from http://biz.thestar.com.my/news/story.asp?file=/2012/3/5/business/20120305141244&sec= business Yahoo!.(n.d.), FTSE Bursa Malaysia KLCI (^KLSE). Retrieved April 5, 2012 from http://finance.yahoo.com/q/hp?s=%5EKLSE&a=01&b=17&c=2012&d=02&e=29&f=20 12&g=d

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