Measuring The Impact Of Financial Indicators On The Stock Prices Of Iraqi Private Banks, Based On The Efficient Market Theory

Financial markets are considered an important destination for investors who aim to allocate available economic resources efficiently. Therefore, this research seeks to measure the impact of financial indicators on the stock prices of private banks, in order to assess the efficiency of the Iraq Stock Exchange. The study uses static panel data analysis for the period from 2017 to 2023, focusing on the key influencing factors. The sample includes 16 private banks, excluding some that had financial irregularities. Three econometric models were used: the pooled regression model, the fixed effects model, and the random effects model. The statistical analysis showed that the fixed effects model is the most suitable, based on the LM and Hausman tests. The economic and econometric analysis indicated a positive relationship between the stock prices of Iraqi banks and financial indicators. However, this relationship suffers from certain statistical issues, suggesting the presence of a \"spurious regression\" problem. This may imply that the Iraq Stock Exchange is not efficient for several economic and technical reasons. The research recommends continuing efforts in econometric studies, especially using both static and dynamic panel data models, to uncover more accurate economic relationships.