Research on the Relationship Between Firm’s Financial Performance and Stock Return for Chinese Motor Vehicle D Motor Corporation

Abstract

Stock return forms one of the way one can clearly examine how an organization performs and this clearly reflects how organizational function of management can be viewed. From different researchers it would be argued that a firm’s financial  performance can be measured through the use of return on assets, dividend payout and share prices. On that basis, the study sought to examine the relationship between financial performance and stock return in which it aimed at answering the question on how financial performance influences the stock return focusing on the Chinese motor company D Motor Corporation. The study adopted both qualitative and quantitative research method. From the study’s findings it would be established that there exists a positive relation between financial performance and stock returns in which there was a positive significance between financial  performance which was denoted through dividend payout, return on assets and share  market price with the stock return.