Data Mining of Corporate Financial Risks: Financial Indicators or Non-Financial Indicators

Taking 164 ST (Special Treatment) listed companies in China's stock market and 328 paired risk-free companies as samples, this paper, adopting Logistic Multiple Regression Model to do multi-step regression analysis, performs data mining to study the relationship between the relative financial and non-financial indicators and the corporate financial risks. The study shows that the three indicators including auditor's opinions, ratio of liabilities to assets and operating income growth rate exert greatest influence on corporate financial risks, and the corporate governance indicators representing by ownership concentration exert relatively noticeable influence on the corporate financial risks warning model.