THE IMPACT OF CAMELS FRAMEWORK ON THE BANK’S MARKET PERFORMANCE

Abstract

The aim of this study is to evaluate the overall financial situation, strengths, and weaknesses of the Qatari banks listed on Qatar stock exchange by using the CAMELS framework and to analyze relationship between the CAMELS framework indicators and the bank’s stock market price. The sample used in this study consists of eight publicly listed Qatari banks. Three ratios were used for each CAMELS framework indicator. The analysis consists of several parts: descriptive analysis, scoring, Islamic Vs. conventional banks, comparative analysis and regression. The study concludes that out of the 18 ratios only five have statistically significant impact on the banks stock market price.