The Relationship between Leverage Ratios and Credit Rating of Listed Companies in the Information and Communication Technology Sector in the Stock Exchange of Thailand
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Abstract
This paper investigates the relationship between leverage ratios and credit rating of listed companies registering in the information and communication technology sector in the Stock Exchange of Thailand. The credit rating if these companies is evaluated by TRIS Rating Company and Fitch Rating (Thailand) since January 1st 2014 to December 31th 2019. The analysis composes of four parts; classification analysis, descriptive statistic analysis, correlation analysis and ordinary least squares regression analysis. Correlation analysis result shows the positive relationship between leverage ratios and credit rating. However, the result of ordinary least squares regression analysis shows the opposite outcome indicating no statistically association between the leverage ratios and credit rating at the significance level of 1.0%.
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The articles published in the journals are the authors' opinions, not the opinion of the editorial team or administrative staff. The articles published is copyright of the Journal of Business Administration and Accounting, Khon Kaen University.
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