Comparative Analysis of AHP and Its Integrated Techniques Applied for Stock Index Ranking

Hota, H. S.; Awasthi, Vineet Kumar; Singhai, Sanjay Kumar

doi:10.1007/978-981-10-3376-6_14

Cited by 6 publications

(4 citation statements)

References 2 publications

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“…In this method, the positive ideal is produced of all best values obtainable from the criteria, whereas the negative ideal solution is produced of all worst values obtainable from the criteria [18]. The following steps can be described for using TOPSIS [19–21]:…”

Section: Methodsmentioning

confidence: 99%

Integrated Multicriteria Decision-Making Methods to Solve Supplier Selection Problem: A Case Study in a Hospital

Akcan

Güldeş

2019

Journal of Healthcare Engineering

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In supply chain literature, supplier evaluation and selection problem is one of the most studied subjects because of the significant roles of suppliers in terms of the chain's sustainability and profitability. Therefore, it is important for organizations to adopt a systematic way to evaluate and select the best supplier according to their respective criteria in today's competitive environment. Multicriteria decision-making methods provide for this need of organizations because determination of an appropriate supplier selection is a multicriteria decision-making (MCDM) problem essentially. Although a lot of applications of these methods for supplier evaluation and selection can be seen in the literature, studies in the health-care sector are insufficient. Hospitals in the health-care sector also have to consider their supplier-related decisions to decrease risks and threads which affect their effectiveness. The aim of this study was to fill this gap by providing different hybrid models for selecting the best supplier for hospitals. Supplier evaluation and selection process start with recognizing the related criteria according to the studies in the literature. Analytic hierarchy process (AHP) method is deployed to weight the criteria, and suppliers are listed via technique for order preference by similarity to ideal solution (TOPSIS), elimination and choice translating reality English (ELECTRE), grey relational analysis (GRA), and simple additive weighting (SAW) methods. The main aim of this study was to present different hybrid MCDM methods and show their efficiency and consistency with each other. In this study, hybrid multicriteria decision-making models (AHP-TOPSIS, AHP-ELECTRE, AHP-GRA, and AHP-SAW) are presented and compared. The results show that the presented hybrid methods in this study are consistent with each other and give the same ranking for the selection of the best supplier. It can be considered as a useful guideline for hospitals.

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Section: Methodsmentioning

confidence: 99%

Integrated Multicriteria Decision-Making Methods to Solve Supplier Selection Problem: A Case Study in a Hospital

Akcan

Güldeş

2019

Journal of Healthcare Engineering

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“…When the scientific literature is examined, supplier selection is mostly preferred in problem types [34,35,36,37]. Like this study, AHP was applied for stock index ranking [13]. In this study, the pairwise comparison of AHP method applied for determining the criteria and sub-criteria weights.…”

Section: B 1 Analytical Hierarchy Process (Ahp)mentioning

confidence: 99%

“…For example, it can be found in areas such as textile, automotive, asset management, insurance sector, portfolio management, banking [5,6,7,8,9,10]. Then, in detail, according to near scientific literature, MCDM methods for stock selection under fuzzy environment [11,12], AHP based stock index ranking [13], private banking stock selection with fuzzy uncertainties [14], grey based asset allocation [15], DEMATEL based portfolio selection [16], TOPSIS based stock index classification [17], financial and operational risk analysis [18,19,20]; stock selection on Gordon model [21]. About the studies of Borsa Istanbul (BIST) stock indexes are holding and investment index [22], PROMETHEE and TOPSIS methods for 131 manufacturing firms stock index evaluation [23], and technology index [24] like as this study used to analyze financial performance.…”

Section: Introductionmentioning

confidence: 99%

A Financial Ratio Analysis on BIST Information and Technology Index (XUTEK) Using AHP-weighted Grey Relational Analysis

Turhan

Aydemir

2021

Düzce Üniversitesi Bilim Ve Teknoloji Dergisi

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The financial ratio analysis is an important issue for the stock exchange markets which have many sub-sectoral indexes. During Industry 4.0 revolution and transition, the sector of information and technology is shown as one of the sectors that have great strategic importance in the global change and development process. So, the performance of the information and technology sector provides a significant added value to the economies. In this study, multi-criteria decision-making (MCDM) approaches will be used to determine the weights of the criteria with considering the experts' opinions used in the evaluation of the financial performance of the companies operating in the field of Information and Technology Sector of BIST Stock Index (XUTEK). In order to measure the financial performance of companies with MCDM methods, the ratios of the liquidity, operational/activity, financial structure, and profitability are obtained from the financial statements are frequently applied in the scientific literature. In the study, criteria weights were determined by using the pairwise comparison feature of the analytical hierarchy process method and expert opinions. Then, the smallest and largest values of the financial ratio values in quarterly periods in 2020 and the uncertainty formed were evaluated with the gray relational analysis method. After all; XUTEK stocks to be included in the priority investment portfolio in terms of financial performance have been determined.

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“…Further, the company's informativeness can be used to determine a firm's stock price (Bennett et al, 2019). The different criteria's which can be used to study the relative dominance of each stock are Sharpe ratio, ordered modular averages, Book value per share, value at risk (VaR), mean-variance, compound annual growth rate (CAGR), and Price to earn ratio (Hota et al, 2018;Li et al, 2019;Silva et al, 2016).…”

Section: Introductionmentioning

confidence: 99%

A novel methodology for perception-based portfolio management

et al. 2022

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Selecting and investing in stock market with right proportions is one of the major challenges. Majority of the investors end up losing their invested equity capital due to uncertainty in the market. The present study provides a novel framework for novice investors to construct portfolio based on multicriteria decision making techniques under fuzzy environment. The scores obtained from these techniques were used to introduce two non-dimensional parameters for categorization of risky and non-risky assets. Three perceptions portfolios were constructed based on the proposed non-dimensional parameters along with fractional lion clustering algorithm. In order to demonstrate the proposed framework, an illustrative application is included in equity portfolio selection. The returns and risks of these perception based portfolios are compared to major Index funds for validating the efficiency and are found to overpower the Index funds with significant margins by maintaining the risk comparable to Index funds. Further, Markowitz based efficient frontier is plotted for better understanding of optimal returns and risk for perception based investment.

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Comparative Analysis of AHP and Its Integrated Techniques Applied for Stock Index Ranking

Cited by 6 publications

References 2 publications

Integrated Multicriteria Decision-Making Methods to Solve Supplier Selection Problem: A Case Study in a Hospital

Integrated Multicriteria Decision-Making Methods to Solve Supplier Selection Problem: A Case Study in a Hospital

A Financial Ratio Analysis on BIST Information and Technology Index (XUTEK) Using AHP-weighted Grey Relational Analysis

A novel methodology for perception-based portfolio management

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