  We statistically investigate the distribution of share price and the
distributions of three common financial indicators using data from
approximately 8,000 companies publicly listed worldwide for the period
2004-2013. We find that the distribution of share price follows Zipf's law;
that is, it can be approximated by a power law distribution with exponent equal
to 1. An examination of the distributions of dividends per share, cash flow per
share, and book value per share - three financial indicators that can be
assumed to influence corporate value (i.e. share price) - shows that these
distributions can also be approximated by a power law distribution with
power-law exponent equal to 1. We estimate a panel regression model in which
share price is the dependent variable and the three financial indicators are
explanatory variables. The two-way fixed effects model that was selected as the
best model has quite high power for explaining the actual data. From these
results, we can surmise that the reason why share price follows Zipf's law is
that corporate value, i.e. company fundamentals, follows Zipf's law.
