Analyzing the FORMATION of BUBBLE prices in stock market is the most important macro subjects in recent years. Due to this, in this paper we use a DSGE model (developed by Castelnuovo and Nisticò, , 2010) in order to study BUBBLEs in stock market price index. Because the price BUBBLE is a non-fundamental factor, using the approach of separating fundamental from non-fundamental factors is a good way to evaluate the FORMATION of the BUBBLE in the stock market. Accordingly, in this paper, the variables of changes in inflation, production and stock price are divided into fundamental and non-fundamental factors and then investigated the effect of nonfundamental shocks on macro variables such as stock price and stock price BUBBLE FORMATION. By calibrating the model, the results show that non-fundamental factors hidden in inflation, production and stock prices cause the FORMATION of BUBBLEs in the stock market. Also, among the above factors, non-fundamental inflation factors are the most important factor in the FORMATION of the stock price BUBBLE, and then fluctuations in the production sector and the stock price itself. The results show the stability in the stock market and avoiding the FORMATION of BUBBLEs in the stock price index mainly depends on controlling inflation rate and general prices level.