The Effects of Stock Management on Profıtabılıty Through The Fınance Ratıos

Abstract

Efficient management of the assets provides a competition power the business enterprises. Having an important role in management, obtaining and passing the stocks by a minor cost has a positive effect in gaining profit. This study explains the relationship between stock management and the financial success of the business profitability. 32 firms trading in food industry have been attending in this research and 30 of these showing the data continuity have been studied. Financial profit and stock related factors in these 30 food sector companies between the years 2014-2020 will be determined. Carrying out the research, the existence of a connection between the percentage of profit and the food sector companies' stock management will be tested using correlation and regression analysis. The findings of the study shows the connection between the inventory turns, the pure percentage of business capital, inventory turnover and, the stock's active percentage, with profitability percentages. According to the different models examined using regression analysis scope, inverted non-linear models have shown the most coefficient of determination (R2 ) in explanation reliability, but it is improved that from the view of explanation possibility of all profitability variants, logarithmic linear model has shown better result.