The Influence of Audit Quality on Stock Prices: The case study of Listed Company on The Stock Exchange of Thailand (SET) and Market for Alternative Investment (MAI)
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Abstract
This study aims to examine the influence of audit quality on stock prices of companies listed on the Stock Exchange of Thailand (SET) and the Market for Alternative Investment (MAI) during 2021–2023, with a total sample of 415 observations. The results indicate that the audit quality of companies listed in the SET100 and MAI differs significantly. Moreover, for companies listed in the SET100, the size of the audit firm and audit fees do not significantly affect stock prices, whereas the number of issues and words of key audit matters significantly influence stock prices. In contrast, for companies listed on the MAI, both audit firm size and audit fees have a significant positive effect on stock prices. These findings emphasize the essential role of auditors in building investor and shareholder confidence, which can be explained through Agency Theory. High‑quality audits reduce information asymmetry between management and investors, mitigate the risk of opportunistic managerial behavior, and reinforce the reliability of financial reporting.
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