Analysis of the Impact of the Epidemic on the Technology-related Industry by Fama-French Five-factors Model
- 10.2991/assehr.k.211209.422How to use a DOI?
- Fama-French model; Covid-19; Technology industry; Asset Pricing
Before and during the epidemic, all major industries were hit and affected to a certain extent. In this paper, the Fama-French five-factor model is used as the basic model. The data from the French database and the method of linear regression are adopted to analyze the impact on the technology industry. Three industries, chip, software, and hardware, are adopted as the research objects. In the analysis of factor changes, it is found that the model is suitable for the analysis of the technology market, and there is no abnormal existence. The sensitivity of the technology industry as a whole to the changes in supply and demand caused by the epidemic is increasing significantly. As for the market, investors preferred to invest in companies with strong profitability. The technology market is subdivided into hardware and software sectors. The epidemic situation has a certain inhibitory effect on the hardware industry, while it gives a certain development space to the software industry. According to the structural bull market of Nasdaq, the software industry is more in favor of investing in high market capitalization companies. For the technology industry as a whole, the shifts in investors and market preferences have not been significant.
- © 2021 The Authors. Published by Atlantis Press International B.V.
- Open Access
- This is an open access article under the CC BY-NC license.
Cite this article
TY - CONF AU - Guoxu Zhou PY - 2021 DA - 2021/12/15 TI - Analysis of the Impact of the Epidemic on the Technology-related Industry by Fama-French Five-factors Model BT - Proceedings of the 2021 3rd International Conference on Economic Management and Cultural Industry (ICEMCI 2021) PB - Atlantis Press SP - 2588 EP - 2593 SN - 2352-5428 UR - https://doi.org/10.2991/assehr.k.211209.422 DO - 10.2991/assehr.k.211209.422 ID - Zhou2021 ER -