Advances in Economics, Management and Political Sciences
- The Open Access Proceedings Series for Conferences
Proceedings of the 2nd International Conference on Financial Technology and Business Analysis
Series Vol. 62 , 28 December 2023
Open
Access | Article
Value Investing: A Modern Approach
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Abstract
This financial analysis evaluates the performance of pharmaceutical and information technology (IT) group companies focused on Annual Return, EBIT/Total Revenue, and EPS metrics from the year between 2019 and 2022. This analysis shows positive growth in annual returns for the pharmaceutical group of Merck & Co., Inc. MRK and Pfizer Inc. PFE, where PFE consistently outperforms MRK. In the IT sector, Microsoft Corporation MSFT and Apple Inc. AAPL also show substantial growth in annual returns, where AAPL is leading while MSFT is more stable than AAPL. EPS trends highlight profitability where AAPL was leading in the IT sector. Correlations between annual return and EBIT/Total Revenue are positive for both sectors, which indicates a connection between profitability and returns. This analysis suggests that the IT sector tends to perform higher and more consistent profitability and investment returns than pharmaceuticals, providing valuable insights for investors and stakeholders to inform their financial decisions.
Keywords
annual return, EBIT, investing
References
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Data Availability
The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.
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- Volume Title
- Proceedings of the 2nd International Conference on Financial Technology and Business Analysis
- ISBN (Print)
- 978-1-83558-225-1
- ISBN (Online)
- 978-1-83558-226-8
- Published Date
- 28 December 2023
- Series
- Advances in Economics, Management and Political Sciences
- ISSN (Print)
- 2754-1169
- ISSN (Online)
- 2754-1177
- DOI
- 10.54254/2754-1169/62/20231299
- Copyright
- 28 December 2023
- Open Access
- This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited