Asset Intangibility Level and Market Value: An Analysis of Publicly Traded Companies in Latin America

• Autor(a) principal: Siqueira, Diego Dantas
• Data de Publicação: 2023
• Outros Autores: Romão, Bruno José Patrício, Silva Júnior, Francisco José da
• Tipo de documento: Artigo
• Idioma: por
• Título da fonte: Revista Ciências Administrativas (Fortaleza. Online)
• Texto Completo: https://ojs.unifor.br/rca/article/view/12921
• topic: intangibilidade dos ativos; valor de mercado; América Latina; asset intangibility; market value; Latin America; intangibilidad de activos; valor de mercado; América Latina

The aim of this article was to verify the influence of the Intangibility Level (NI) of assets on the market value of publicly traded companies in Latin America. To this end, the five largest economies in Latin America were analyzed based on GDP, comprising Brazil, Mexico, Argentina, Chile and Colombia, during the period from 2010 to 2018. Market value was used as a dependent variable, represented by market-to-book index (MTB), and as a variable of interest the Asset Intangibility Index (IIA). It was found that in the analyzed context, the IIA presented a negative relationship with the market value of the analyzed companies. Allowing to infer that a lower level of intangibility is seen positively by the market. Therefore, the results indicate that intangible assets were not configured as important elements for the market value of the companies analyzed in Latin America, contrary to the idea that intangible assets can be considered responsible for the variations between market value and book value organizations, that is, by the market-to-book. This research advances in relation to previous studies providing more comprehensive results of the proposed relationship. These results help to highlight the possible impact of investments in intangible assets on value creation, and may help companies in deciding on new investments, as well as being useful to investors when evaluating shares, as they provide guidance on the return provided by these active.