Discriminant Analysis of Listed Commercial Banks based on Mahalanobis Distance
DOI:
https://doi.org/10.54097/hbem.v3i.4653Keywords:
Mahalanobis Distance; Listed Commercial Banks; Logistic Regression.Abstract
This paper calculates the total rate of return on equity investment of 20 American listed commercial banks from 2016 to 2021, and conducts discriminant analysis using Mahalanobis distance for commercial banks that outperform and commercial banks that underperform. It is found that the combination of financial indicators of loan/shareholder's equity and loan/deposit can conduct better discriminant analysis on the performance of the return on equity investment of listed commercial banks.
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