Empirical Analysis on the Applicability of Two Capital Asset Pricing Models to New Energy Vehicle Stocks
- DOI
- 10.2991/aebmr.k.220307.214How to use a DOI?
- Keywords
- CAPM model; Fama-French three-factor model; new energy vehicle stock
- Abstract
For the policies of many countries aimed at controlling carbon dioxide emissions, the new energy vehicle industry has developed rapidly. However, after the impact of COVID-19, many industries have been cleared out of the national list and the new energy vehicle industry has been left behind, and a large number of national funds have been used for new energy vehicles. As a new and special industry, the stock of new energy vehicles may differ the overall a-share market shares from the applicability of asset pricing model. This paper conducts an empirical analysis on the applicability of CAPM model and Fama-French three-factor model in the stock market of new energy vehicle industry. The study found that the three-factor model’s applicability is better than the CAPM model, and scale factor and book-to-value ratio factor have a certain reference significance, while market factor still has good reference significance, which amount of variation is greater than the rate of yield. In addition, in China’s new energy vehicle stocks, there is a small-scale effect, and the medium and high book value ratio of stocks show a certain book value ratio benefit.
- Copyright
- © 2022 The Authors. Published by Atlantis Press International B.V.
- Open Access
- This is an open access article under the CC BY-NC license.
Cite this article
TY - CONF AU - Yunfei Wu AU - Heng Xiao PY - 2022 DA - 2022/03/26 TI - Empirical Analysis on the Applicability of Two Capital Asset Pricing Models to New Energy Vehicle Stocks BT - Proceedings of the 2022 7th International Conference on Financial Innovation and Economic Development (ICFIED 2022) PB - Atlantis Press SP - 1301 EP - 1305 SN - 2352-5428 UR - https://doi.org/10.2991/aebmr.k.220307.214 DO - 10.2991/aebmr.k.220307.214 ID - Wu2022 ER -