A Study On The Impact Of Comprehensive Income On Stock Price Of Listed Companies

After the reform and opening up,China’s economic development has been continuously improved,and the level of enterprise development has been accelerated.As an important carrier of the survival and development of the enterprise,the financial accounting information has a significant impact on the users of the enterprise.As an important part of the financial accounting information,the comprehensive income,the net profit of the project and other comprehensive income,is paid more and more attention by the regulators and the participants.In 2006 the Ministry of Finance issued the new accounting standards system,put forward the concept of comprehensive income form-gains and losses,in 2009 the Ministry of Finance in the interpretation of accounting documents formally put forward relevant concepts of comprehensive income,and the provisions of the disclosure of other comprehensive income in the notes in the format and content of.This series of initiatives shows that China has begun to shift its focus from the traditional goal of net profit to the target of comprehensive income.Based on the above background,this paper studies the impact of China’s comprehensive income related projects and its composition on the stock price.First of all,this paper makes a literature review and a brief summary and analysis of the relevant theoretical and empirical content at home and abroad.Based on the analysis of several aspects,mainly put forward two main hypotheses,then we use the Shanghai A shares 915 2013-2015 years financial data empirical analysis,two conclusions were obtained: compared with comprehensive income,the stock price of the company to explain on the net profit related project has more advantages compared with the state-owned enterprises;net profit,non state-owned enterprises related projects and comprehensive income related projects for the company’s stock price has more explanatory power.And we finally proposes four policy suggestions:(1)a correct view of "financial index net profit",further reducing the space of earnings management;(2)increase the value relevance of other comprehensive income and its components,the other comprehensive income is more attention;(3)good for stock price prediction and analysis of the company’s financial accounting information;(4)further reduced and non state-owned enterprises in the comprehensive income related projects of state-owned enterprise value relevance gap.