Credit risk management and share value of listed deposit money banks in Nigeria

The paper examines the effect of credit risk management on share value of listed deposit money banks in Nigeria. The population of the study is made up of all listed deposit money banks with international authorization which are the sample of the study. The multivariate regression and correlation matrix have been used in analyzing the data collected. The findings of the study reveal that nonperforming loan ratio (NPLR) has significant effect on earnings per share (EPS). Firm size (FSIZE) has significant effect on earnings per share (EPS). Moreover, the research recommends that nonperforming loan ratio (NPLR) of listed deposit money banks in Nigeria should be given utmost regard by finding ways to reduce the nonperforming loans of the banks so as the ratio of nonperforming loan to total loans would be improved. Adequate regard should also be given to collateral as well as history of the borrower and borrower credit ratings before granting loans.