Evaluation and Prioritization of the Value of Stocks of Rail Transportation Companies in the Stock Market Using the Analytic Hierarchy Process Method

Ahadi, Hamidreza; Sarmadi, Parisa

doi:10.22068/ijrare.384

Volume 12, Issue 2 (7-2025) IJRARE 2025, 12(2): 115-126 | Back to browse issues page

‎ 10.22068/ijrare.384

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Ahadi H, Sarmadi P. Evaluation and Prioritization of the Value of Stocks of Rail Transportation Companies in the Stock Market Using the Analytic Hierarchy Process Method. IJRARE 2025; 12 (2) :115-126
URL: http://ijrare.iust.ac.ir/article-1-384-en.html

Evaluation and Prioritization of the Value of Stocks of Rail Transportation Companies in the Stock Market Using the Analytic Hierarchy Process Method

Hamidreza Ahadi

, Parisa Sarmadi

School of Railway Engineering, Iran University of Science and Technology, Tehran, Iran

Abstract: (69 Views)

The stock market in Iran is one of the most profitable markets for investment. However, identifying and selecting valuable and suitable stocks for investment remains a significant challenge for investors. The aim of this paper is to identify the best investment alternatives among rail transportation companies listed on the stock market. In this research, after examining rail transportation companies as potential investment alternatives, key indicators favored by investors for stock purchasing—including Price-to-Earnings Ratio (P/E), Net Profit Margin, Return on Assets (ROA), Market Value, and Dividends Per Share (DPS)—were analyzed. Next, using the Analytic Hierarchy Process (AHP) method, the selected alternatives were prioritized. In this study, criteria were weighted based on the Analytic Hierarchy Process, and indices were calculated using stock market data. The data were analyzed using Expert Choice software, and investment alternatives were ranked. Additionally, sensitivity analysis of the indices was employed to evaluate the final ranking of the alternatives. The results of this research demonstrate that the Analytic Hierarchy Process can significantly assist investors in selecting the best stocks among rail transportation companies and reducing investment risk. The findings are also applicable for investors and economic decision-makers.

Keywords: Rail Transportation Companies, Stock Evaluation Indices, AHP Method, Expert Choice Software

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Type of Study: Research | Subject: Railway Transportation