The Impact of Medigen Event on Price Performance of Biotech Stocks in Taiwan
| Autor: | Meng-Hung Chen, 陳孟鴻 |
|---|---|
| Rok vydání: | 2015 |
| Druh dokumentu: | 學位論文 ; thesis |
| Popis: | 103 This paper presents an empirical study using the event research method. The study examines the correlation between the stock prices of listed biotechnology companies in Taiwan on the two announcement dates of important developments of the phase 3 trial of PI-88, a new drug developed by Medigen Biotechnology Corp. Two methods are employed to verify the average difference between abnormal returns and ensure that the conclusion is correct. The first method uses Medigen Biotechnology Corp. as the basis for finding the abnormal return of an investment portfolio in biotechnology companies; the second method uses a combination of equal weight, scale and price-net worth ratio for finding the abnormal return of an investment portfolio in biotechnology companies. Findings are as follows: the average abnormal returns of Medigen Biotechnology Corp. and biotechnology companies had different signs on 2013.12.30. It seems that biotechnology stock prices were not influenced by PI-88 reaching its target enrollment, but fluctuation of return on Medigen Biotechnology Corp. was greater than biotechnology stocks, and the difference between their abnormal return reached the level of significance. Biotechnology stocks had a negative average abnormal return on 2014.7.28, and the different reached the level of significance, showing that biotechnology stocks were negatively impacted by mid-term analysis results of PI-88 not meeting expectations. Furthermore, the negative impact on Western medicine stocks was not significantly different from the impact on biotechnology stocks. |
| Databáze: | Networked Digital Library of Theses & Dissertations |
| Externí odkaz: |
|