A Hybrid MCDM Approach Using the BWM and the TOPSIS for a Financial Performance-Based Evaluation of Saudi Stocks

Autor: Abdulrahman T. Alsanousi, Ammar Y. Alqahtani, Anas A. Makki, Majed A. Baghdadi
Jazyk: angličtina
Rok vydání: 2024
Předmět:
Zdroj: Information, Vol 15, Iss 5, p 258 (2024)
Druh dokumentu: article
ISSN: 2078-2489
DOI: 10.3390/info15050258
Popis: This study presents a hybrid multicriteria decision-making approach for evaluating stocks in the Saudi Stock Market. The objective is to provide investors and stakeholders with a robust evaluation methodology to inform their investment decisions. With a market value of USD 2.89 trillion dollars in September 2022, the Saudi Stock Market is of significant importance for the country’s economy. However, navigating the complexities of stock market performance poses investment challenges. This study employs the best–worst method and the technique for order preference by similarity to identify an ideal solution to address these challenges. Utilizing data from the Saudi Stock Market (Tadawul), this study evaluates stock performance based on financial criteria, including return on equity, return on assets, net profit margin, and asset turnover. The findings reveal valuable insights, particularly in the banking sector, which exhibited the highest net profit margin ratios among sectors. The hybrid multicriteria decision-making-based approach enhances investment decisions. This research provides a foundation for future investigations, facilitating a deeper exploration and analysis of additional aspects of the Saudi Stock Market’s performance. The developed methodology and findings have implications for investors and stakeholders, aiding their investment decisions and maximizing returns.
Databáze: Directory of Open Access Journals
Nepřihlášeným uživatelům se plný text nezobrazuje