Accounting Information and Share Price of Firms in the Industrial Goods Sector in Nigeria

This study investigates the effect of accounting information on the share price of firms listed in the industrial goods sector in Nigeria, with a focus on dividend per share (DPS) and earnings per share (EPS) as key determinants. The study adopts an ex post facto research design, using secondary data extracted from the annual financial reports of all eleven (11) listed industrial goods firms from 2019 to 2024 financial year. Both descriptive and inferential statistical techniques were employed to analyze the data. Descriptive statistics were used to summarize the characteristics of DPS, EPS, and share price (SP), revealing substantial variation and positive skewness across the firms, indicating the presence of high-performing firms that significantly influence average values. Inferential analysis was conducted using panel least squares regression to examine the effect of DPS and EPS on share price. The results indicate that both DPS and EPS have positive and statistically significant effects on share price, with coefficients of 8.61 and 9.96, respectively, and p-values of 0.0000, confirming their value relevance to investors. Based on the findings, the study concludes that dividend distribution and earnings performance are critical factors influencing share prices, and recommends that firms maintain transparent dividend policies and focus on profitability to enhance investor confidence.

Accounting Information, Dividend per Share, Earnings per Share, Share Price

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