Accounting Information And Market Pricing: An Emppiricalresearch Based On Ohlson Model

Chinese stock market is a emerging and transforming market, catching the fancy of international academic research. The research on Chinese stock market can find out whether western theory is available on the special institution background of china and richen the relevant research. A few foreign empirical researches on the way investors disseminate accounting information grounded on the efficient securities market.The particular features china securities market are sure to have effects on the relation on accounting information and stock value. Therefore, I try to detect whether accounting and stock value is relevant, and if so, I then try to find out the factors which have robust influence on the relavence and how these factors work.This paper discusses several theoretical models of valuation function of accounting earnings and introuduces some important institutional background of my study. the writer use SPSS13.0 to analyse the factors which determine the stock price .The factors that the writer take into account are size , negotiable share ratio,the composite of earning etc.The innovation of this paper is on the revision of Ohlson model and using the latest data to examine how Chinese stock market price the listed company. Through this empirical research, the writer find out:1. The regression R2 of Ohlson model is increasing; the pricing explanation ability of the book value of equity become more and more strong.All these phenomina demonstrate that the relvence of accounting and stock value is enchanced in latest year .Our research shows that the investors tended to be more rational and careed more about the corporation'sinner value based on net asset.2. After taking size and negotiable share ratio into account, the regression R2 of Ohlson model is increasing .The effects of size and negotiable share ratio on stock price is decreasing.3. The relativity between the accounting information and stock price was inproved by the reduction of irregular profits per share. In that period, investors could gradually distinguish persistent earning with transitory earning .The phenimena of"Function Fixity"in Chinese stock market disappear.