Title: Company online presence and its effect on stock returns

Authors: Raghad Jamalallail; Tahar Tayachi; Ahmed BenSaïda

Addresses: College of Business, Effat University, Jeddah, Saudi Arabia ' College of Business Administration, American University in the Emirates, UAE; FSEG Mahdia, University of Monastir, Mahdia, Tunisia ' College of Business, Effat University, Jeddah, Saudi Arabia

Abstract: This paper investigates the relationship between stock prices and the online presence of companies. Mainly, we study the effect of the online presence of a company on its subsequent stock returns. Moreover, we examine the impact of companies' engagement efforts and the popularity of their search-engine keywords on their stock returns. Based on the companies listed on the Dow Jones industrial average index, results suggest that stock returns are impacted by a change in online presence, as measured by search volumes. Nevertheless, the online engagement efforts show no significant relationship with the stock returns.

Keywords: online presence; engagement efforts; stock returns; VAR model.

DOI: 10.1504/IJEF.2024.135167

International Journal of Electronic Finance, 2024 Vol.13 No.1, pp.36 - 58

Received: 30 Sep 2021
Accepted: 28 Jan 2023
Published online: 01 Dec 2023 *