Revista Egitania Sciencia - Volume 17 | ARTICLE

Title: FORECASTING THE EVOLUTION OF STOCK MARKETS IN TIMES OF CRISIS: THE CASE OF EURONEXT LISBON

Author: Júlio Lobão (jlobao@fep.up.pt), Daniela Rocha (danielarocha.mrg@gmail.com)

Publication: Revista Egitania Sciencia - Volume 17

Abstract:
In this article we study the usefulness of fundamental analysis to forecast the prices of stocks listed on Euronext Lisbon in the context of the post-2007 global financial crisis. In the design of the investment strategies, a broad set of 49 financial indicators were considered, applied to 29 different stocks. In contrast to most studies on the same subject, the fundamental investment strategies were not found to be profitable. This result suggests that the increased uncertainty caused by events such as thefinancial crisis diminishes the usefulness of strategies based on the use of financial indicators.

Keywords: fundamental analysis, market efficiency, stock market, financial crisis, Portugal




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