Modelling of selected S&P 500 share prices

Kitov, Ivan and Kitov, Oleg (2009): Modelling of selected S&P 500 share prices.

Abstract

Historical share prices of selected S&P 500 companies have been accurately approximated by linear functions of the difference between core CPI and subsets of the CPI in the United States. The pricing model describes the evolution of share price along a predetermined trajectory. The selected share prices can be quantitatively estimated at a several year horizon because the driving force behind the prices is characterized by the presence of sustainable long-term trends.

• Item Type: MPRA Paper
• Language: English
• Keywords: CPI, prediction, IBM, DOV, PG, DD, APD, CVX, DVN, HAL
• Subjects: G - Financial Economics > G1 - General Financial Markets; D - Microeconomics > D4 - Market Structure, Pricing, and Design; E - Macroeconomics and Monetary Economics > E3 - Prices, Business Fluctuations, and Cycles

References

Kitov, I., (2009). ConocoPhillips and Exxon Mobil stock price, Journal of Applied Research in Finance, v. 2, (in press)

Kitov, I., Kitov, O., (2008). Long-Term Linear Trends In Consumer Price Indices, Journal of Applied Economic Sciences, Spiru Haret University, Faculty of Financial Management and Accounting Craiova, vol. 3(2(4)_Summ), pp. 101-112.

Kitov, I., Kitov, O., (2009a). A fair price for motor fuel in the United States, MPRA Paper 15039, University Library of Munich, Germany, http://mpra.ub.uni-muenchen.de/15039/01/MPRA_paper_15039.pdf

Kitov, I., Kitov, O., (2009b). Sustainable trends in producer price indices, MPRA Paper 15194, Journal of Applied Research in Finance, v. 1, (in press)