Vinsamlegast notið þetta auðkenni þegar þið vitnið til verksins eða tengið í það: http://hdl.handle.net/1946/30735
The aim of this study was to analyze the effects of exchange rate movements on the stock prices of Eimskip, Icelandair and Marel. The period analyzed spans eight years, from 2010 to 2018, during which capital controls are in place. Regression analysis was used in the study to examine the effects of exchange rate movements on the stock prices of the three companies. The results of the study showed that exchange rate movements do not affect Eimskip‘s stock price at all and while some exchange rates are statistically significant for Icelandair and Marel, the models of those currencies explain almost nothing regarding the movements in stock prices of the companies. The results, furthermore, indicate an inefficient market as investors are slow to incorporate the fluctuation of the ISK when calculating companies’ values. The study has some limitations caused by the capital controls, market inefficiency, limitations on individual companies and omitted variable bias.