Evaluation of Financial Performance using Fuzzy Techniques

C. Loganathan; M. Annakkodi; S. Rangasamy

doi:https://doi.org/10.14445/22315373/IJMTT-V66I12P521

International Journal of Mathematics Trends and Technology

Research Article | Open Access | Download PDF

Volume 66 | Issue 12 | Year 2020 | Article Id. IJMTT-V66I12P521 | DOI : https://doi.org/10.14445/22315373/IJMTT-V66I12P521

Evaluation of Financial Performance using Fuzzy Techniques

C. Loganathan, M. Annakkodi, S. Rangasamy

Citation :

C. Loganathan, M. Annakkodi, S. Rangasamy, "Evaluation of Financial Performance using Fuzzy Techniques," International Journal of Mathematics Trends and Technology (IJMTT), vol. 66, no. 12, pp. 157-160, 2020. Crossref, https://doi.org/10.14445/22315373/IJMTT-V66I12P521

Abstract

The primary objective of any investment is to create positive value for its investors. Value is represented by the market price of the company’s common stock which is in turn is a function of the market forces, fundamental strength and the trend prevailing in the market. Value created varies from company to company. Some of the selected IT companies have created abnormally high value to its shareholders. The rest of the companies have failed to create value to such an extent. Since there are variations in the earnings of the selected top ten IT companies and the variations are found prominent and pronounced, there arose the necessity to rank them and suggest the order of performance, so as to enable the investors to take profitable investment decisions. Ups and downs - volatility in stock market jargon decide the quantum of returns to investors. In order to support and substantiate the decision making ability of the investors, fuzzy analysis which is comparatively more powerful, accurate and purpose serving is used in this article instead of traditional methods which are vague, inaccurate and insufficient to take effective and efficient decisions in the highly volatile stock market.

Keywords

Financial Performance, Profitability, Volatility, Financial ratios, Fuzzy Techniques

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