Empirical Investigation of ESG Performance and Shareholder Value
Faculty Mentor
Dr. L Dwight Sneathen
Location
Russell Union Ballroom
Type of Research
On-going
Session Format
Poster Presentation
College
Parker College of Business
Department
School of Accountancy
Abstract
In recent years, Environmental, Social, and Governance (ESG) metrics have become increasingly interconnected to corporate reporting and investment decision-making. Investors, regulators, and rating agencies currently rely on standardized ESG indicators like carbon emission intensity, board independence, diversity ratios, and community engagement to evaluate a company’s long-term sustainability and risk exposure. Despite their growing prominence, however, there is debate over whether these ESG metrics generate measurable financial value for shareholders.
To examine this relationship, this study will collect firms’ ESG data alongside stock performance indicators, including annual returns and market-based valuation measures. The analysis of this data will construct a correlation matrix, which can help identify the strength and direction of relationships between ESG metrics and stock performance. After running the correlation matrix, scatterplots will be developed to visually assess patterns in the data, and a regression analysis will be performed to determine whether ESG performance can help predict shareholder returns.
In light of the Shareholder Value Theory, this research seeks to determine whether ESG metrics serve as drivers of long-term financial value or if their impact on stock performance is statistically insignificant. The findings will contribute to broader accounting and finance debates on the economic impact and relevance of ESG reporting for investors.
Program Description
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Start Date
4-23-2026 10:00 AM
End Date
4-23-2026 12:00 PM
Recommended Citation
Kaur, Manseerat; James, Charles; and Audu, Samuel, "Empirical Investigation of ESG Performance and Shareholder Value" (2026). GS4 Student Scholars Symposium. 88.
https://digitalcommons.georgiasouthern.edu/research_symposium/2026/2026/88
Empirical Investigation of ESG Performance and Shareholder Value
Russell Union Ballroom
In recent years, Environmental, Social, and Governance (ESG) metrics have become increasingly interconnected to corporate reporting and investment decision-making. Investors, regulators, and rating agencies currently rely on standardized ESG indicators like carbon emission intensity, board independence, diversity ratios, and community engagement to evaluate a company’s long-term sustainability and risk exposure. Despite their growing prominence, however, there is debate over whether these ESG metrics generate measurable financial value for shareholders.
To examine this relationship, this study will collect firms’ ESG data alongside stock performance indicators, including annual returns and market-based valuation measures. The analysis of this data will construct a correlation matrix, which can help identify the strength and direction of relationships between ESG metrics and stock performance. After running the correlation matrix, scatterplots will be developed to visually assess patterns in the data, and a regression analysis will be performed to determine whether ESG performance can help predict shareholder returns.
In light of the Shareholder Value Theory, this research seeks to determine whether ESG metrics serve as drivers of long-term financial value or if their impact on stock performance is statistically insignificant. The findings will contribute to broader accounting and finance debates on the economic impact and relevance of ESG reporting for investors.
