Multiple regression statistics for incremental information content of various traditional performance measures
| Independent variables | Model 7 | VIF | Model 8 | VIF |
|---|---|---|---|---|
| PAT | −0.390 (−12.376) | 2.589 | −0.597 (−17.302) | 2.352 |
| EPS | 0.251 (13.259) | 3.108 | 0.228 (12.116) | 2.135 |
| ROA | −0.197 (−3.356) | 3.425 | −0.168 (−2.880) | 1.987 |
| ROE | 0.467 (12.693) | 4.365 | 0.546 (14.814) | 1.568 |
| ROI | 0.150 (2.688) | 4.552 | 0.168 (3.043) | 2.223 |
| EVA | – | 0.216 (14.018) | 2.568 | |
| R2 | 0.559 | 0.568 | ||
| Adjusted R2 | 0.532 | 0.542 | ||
| F-statistics | 21.334 | 22.12 | ||
| % change in R2 | – | 0.90% | ||
| Hausman’s test | 298.528 (0.000) | 250.478 (0.000) | ||
| Breusch–Pagan–Godfrey (BPG) test | 5.556 (0.352) | 7.275 (0.296) | ||
| Durbin–Watson | 1.507 | 1.526 |
| Independent variables | Model 7 | VIF | Model 8 | VIF |
|---|---|---|---|---|
| PAT | −0.390 (−12.376) | 2.589 | −0.597 (−17.302) | 2.352 |
| EPS | 0.251 (13.259) | 3.108 | 0.228 (12.116) | 2.135 |
| ROA | −0.197 (−3.356) | 3.425 | −0.168 (−2.880) | 1.987 |
| ROE | 0.467 (12.693) | 4.365 | 0.546 (14.814) | 1.568 |
| ROI | 0.150 (2.688) | 4.552 | 0.168 (3.043) | 2.223 |
| EVA | – | 0.216 (14.018) | 2.568 | |
| 0.559 | 0.568 | |||
| Adjusted | 0.532 | 0.542 | ||
| 21.334 | 22.12 | |||
| % change in | – | 0.90% | ||
| Hausman’s test | 298.528 (0.000) | 250.478 (0.000) | ||
| Breusch–Pagan–Godfrey (BPG) test | 5.556 (0.352) | 7.275 (0.296) | ||
| Durbin–Watson | 1.507 | 1.526 |
Note(s): Significant at 5% level; PAT: profit after tax; EPS: earnings per share; ROA: return on assets; ROE: return on equity; ROI: return on investment; EVA: economic value added and VIF: variance inflation factor
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