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Pharmaceutical Sector: Predicting Market Capitalization

Dependent Variable

ෝ𝒚

𝑷𝒓𝒆𝒅𝒊𝒄𝒕𝒆𝒅 𝑴𝒂𝒓𝒌𝒆𝒕 𝑪𝒂𝒑

Coefficients

෡ β

198.815

Independent Variables (Predictors) 𝑿 𝟏 Annual Revenue per Employee 𝑿 𝟐 Annual Finished Goods 𝑿 𝟑 Annual Retention Ratio 𝑿 𝟒 Annual Debt to Assets 𝑿 𝟓 Annual Profit Margin 𝑻 𝑻𝒊𝒎𝒆 (𝒀𝒆𝒂𝒓)

0

෡ β

0.0002

1

෡ β

0.0901

2

෡ β

-219.236

3

෡ β

-135.621

4

෡ β

749.043

Key Statistics

5

෡ β T

R-squared

0.75

-3.970

F-statistic 104.4 Jarque-Bera (JB): 10.707 Prob (F-statistic) 0.000

ෝ𝒚 𝟎.𝟓 = ෡𝜷

𝟎 + ෡𝜷 𝟏 𝑿 𝟏 + ෡𝜷 𝟐 𝑿 𝟐 + ෡𝜷 𝟑 𝑿 𝟑 + ෡𝜷 𝟒 𝑿 𝟒 + ෡𝜷 𝟓 𝑿 𝟓 +෡𝜷 𝑻 𝑻

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