The Effect of the Company Reputation on Cost of Equity

The purpose of this study is to investigate the effect of the company's reputation on the cost of Equity in companies listed in Tehran Stock Exchange. The statistical population of this study is all companies listed in Tehran Stock Exchange during the period of 2006 to 2013 and the sample is 117 companies using systematic elimination method (Systematic Removal Method). Data were collected using modern software and data analysis was performed using the panel method based on econometric method. The result of the research suggests that, with increasing reputation in the company, the cost of Equity of companies accepted in the Tehran Stock Exchange will be significantly reduced.