Table 4 Univariate correlations MV BV NI...

Table 4

Univariate correlations

	MV	BV	NI	GBP_Disc	GBP_NoDisc	GBPold_Disc	GBPold_Nodisc	Neg	Impair
MV		0.724***	0.723***	0.082*	0.085*	0.105**	0.133***	−0.198***	0.079
MV		(<0.001)	(<0.001)	(0.090)	(0.077)	(0.029)	(0.006)	(<0.001)	(0.103)
BV	0.860***		0.763***	0.120**	0.190***	0.178***	0.289***	−0.160***	0.108**
BV	(<0.001)		(<0.001)	(0.013)	(<0.001)	(<0.001)	(<0.001)	(0.001)	(0.025)
NI	0.786***	0.737***		0.066	0.148***	0.133***	0.380***	−0.334***	0.074
NI	(<0.001)	(<0.001)		(0.176)	(0.002)	(0.006)	(<0.001)	(<0.001)	(0.127)
GBP_Disc	−0.062	−0.042	−0.069		−0.039	−0.043	−0.038	0.140***	−0.050
GBP_Disc	(0.197)	(0.391)	(0.155)		(0.416)	(0.378)	(0.437)	(0.004)	0.303**
GBP_NoDisc	0.110**	0.096**	0.150***	−0.240***		−0.041	−0.023	−0.063	−0.034
GBP_NoDisc	(0.022)	(0.046)	(0.002)	(<0.001)		(0.393)	(0.639)	(0.193)	(0.489)
GBPold_Disc	−0.062	−0.022	−0.026	−0.062	−0.207***		−0.046	0.071	−0.078
GBPold_Disc	(0.200)	(0.654)	(0.594)	(0.199)	(<0.001)		(0.346)	(0.140)	(0.108)
GBPold_NoDisc	0.187***	0.210***	0.137***	−0.295***	−0.339***	−0.371***		−0.017	0.074
GBPold_NoDisc	(<0.001)	(<0.001)	(0.005)	(<0.001)	(<0.001)	(<0.001)		(0.719)	(0.127)
Neg	−0.269	−0.227***	−0.629***	0.087*	−0.141***	0.009	0.034		0.071
Neg	(<0.001)	(<0.001)	(<0.001)	(0.073)	(0.003)	(0.850)	(0.486)		(0.143)
Impair	0.098**	0.123**	0.066	−0.038	0.022	−0.064	0.105**	0.071
Impair	(0.043)	(0.011)	(0.174)	(0.437)	(0.655)	(0.183)	(0.030)	(0.143)

	MV	BV	NI	GBP_Disc	GBP_NoDisc	GBPold_Disc	GBPold_Nodisc	Neg	Impair
MV		0.724***	0.723***	0.082*	0.085*	0.105**	0.133***	−0.198***	0.079
MV		(<0.001)	(<0.001)	(0.090)	(0.077)	(0.029)	(0.006)	(<0.001)	(0.103)
BV	0.860***		0.763***	0.120**	0.190***	0.178***	0.289***	−0.160***	0.108**
BV	(<0.001)		(<0.001)	(0.013)	(<0.001)	(<0.001)	(<0.001)	(0.001)	(0.025)
NI	0.786***	0.737***		0.066	0.148***	0.133***	0.380***	−0.334***	0.074
NI	(<0.001)	(<0.001)		(0.176)	(0.002)	(0.006)	(<0.001)	(<0.001)	(0.127)
GBP_Disc	−0.062	−0.042	−0.069		−0.039	−0.043	−0.038	0.140***	−0.050
GBP_Disc	(0.197)	(0.391)	(0.155)		(0.416)	(0.378)	(0.437)	(0.004)	0.303**
GBP_NoDisc	0.110**	0.096**	0.150***	−0.240***		−0.041	−0.023	−0.063	−0.034
GBP_NoDisc	(0.022)	(0.046)	(0.002)	(<0.001)		(0.393)	(0.639)	(0.193)	(0.489)
GBPold_Disc	−0.062	−0.022	−0.026	−0.062	−0.207***		−0.046	0.071	−0.078
GBPold_Disc	(0.200)	(0.654)	(0.594)	(0.199)	(<0.001)		(0.346)	(0.140)	(0.108)
GBPold_NoDisc	0.187***	0.210***	0.137***	−0.295***	−0.339***	−0.371***		−0.017	0.074
GBPold_NoDisc	(<0.001)	(<0.001)	(0.005)	(<0.001)	(<0.001)	(<0.001)		(0.719)	(0.127)
Neg	−0.269	−0.227***	−0.629***	0.087*	−0.141***	0.009	0.034		0.071
Neg	(<0.001)	(<0.001)	(<0.001)	(0.073)	(0.003)	(0.850)	(0.486)		(0.143)
Impair	0.098**	0.123**	0.066	−0.038	0.022	−0.064	0.105**	0.071
Impair	(0.043)	(0.011)	(0.174)	(0.437)	(0.655)	(0.183)	(0.030)	(0.143)

Note(s): MV is market value per share, six months after reporting date, calculated using a firm-specific total return index; BV is book value per share, excluding all gains on bargain purchase variables; NI is earnings attributable to ordinary shareholders per share, excluding GBP_Disc and GBP_NoDisc; GBP_Disc (GBP_NoDisc) is the gain on bargain purchase per share recognised during the current period where the firm discloses (does not disclose) a supporting reason for its recognition; GBPold_Disc (GBPold_NoDisc) is the total gains on bargain purchase per share recognised in earnings over the preceding two periods where the firm disclosed (did not disclose) supporting reasons in the period of their first recognition; Neg is an indicator variable set to one if NI is negative and zero otherwise; Impair is an indicator variable set to one if a firm has reported impairment of goodwill during the current or two preceding years and zero otherwise. Pearson (Spearman) correlations are presented above (below) the diagonal. p-values are indicated in brackets. *, ** and *** denote significance at the 10, 5 and 1% levels respectively

Source(s): Author's own work

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