THE CAPITAL MARKET REACTION TO LAWSUITS: SOME ADDITIONAL EVIDENCE

1999 ◽  
Vol 9 (1/2) ◽  
pp. 45-58
Author(s):  
Raymond A.K. Cox ◽  
Dwight B. Means
Keyword(s):  
Capital Market ◽  
Market Reaction ◽  
The Capital Market

Divestiture and Its Market Reaction in a Consolidating Industry: The Global Brewing Industry

2021 ◽  
pp. 1-21
Author(s):  
Ludwig Erl ◽  
Florian Kiesel
Keyword(s):  
Mergers And Acquisitions ◽  
Capital Market ◽  
Market Reaction ◽  
Market Performance ◽  
Abnormal Returns ◽  
Brewing Industry ◽  
Efficiency Gains ◽  
Market Values ◽  
Jel Classifications ◽  
The Capital Market

Abstract This study provides a perspective on the market performance of divestitures in the global brewing industry. In 2018, the five largest players accounted for 60% of the global beer volume. We analyze to what extent the capital market values divestitures in an industry where players usually seek efficiency gains and growth through mergers and acquisitions. Based on a sample of 61 divestiture intent announcements in the period from 1999–2018, this study shows that publicly listed brewing groups experience significant positive abnormal returns of about 1.4%. We measure the influential effect of success determinants concerning the underlying industry, the divested business, the divestiture structure, and the divestor itself. (JEL Classifications: G14, G34, L25, Q14)

Capital Market Response to SFAS Nos. 8 and 52

1993 ◽  
Vol 8 (3) ◽  
pp. 313-329 ◽  
Author(s):  
Zabihollah Rezaee ◽  
R. Phil Malone ◽  
Russell F. Briner
Keyword(s):  
Capital Market ◽  
Foreign Currency ◽  
Market Reaction ◽  
Accounting Standards ◽  
Financial Accounting ◽  
Market Response ◽  
Financial Accounting Standards Board ◽  
Managerial Decisions ◽  
New Information ◽  
The Capital Market

This study investigates the capital market response to Financial Accounting Standards Board (FASB) policy deliberations on foreign currency translations (FCT) by concentrating on five specific events associated with such deliberations. Examining the possible effects of these events, we argue that a market response to FASB policy deliberations on FCT could result from the effects of new information or from the effects of expected changes in managerial decisions. The tests utilized in this paper are designed to detect effects of both types. Generally, no apparent significant market reaction to three of the five events was observed. We found an apparent weak but significant reaction to one event and inconclusive results for a fifth.

scholarly journals The Capital Market Reaction To The Corona Covid-19 Virus Outbreak Events

Academia Open ◽  
2021 ◽  
Vol 3 ◽  
Author(s):  
Wardah Azizah ◽  
Nurasik
Keyword(s):  
Capital Market ◽  
Abnormal Return ◽  
Market Reaction ◽  
Stock Exchange ◽  
Abnormal Returns ◽  
T Test ◽  
Paired Sample ◽  
Significant Difference ◽  
Real Picture ◽  
The Capital Market

This study aims to get a real picture of the Capital Market Reaction to the Corona Covid-19 Virus Outbreak (Study on LQ-45 Companies Listed on the Indonesia Stock Exchange). The analytical tool used is descriptive statistical analysis and classical assumption test. To test the hypothesis, it is done using data analysis in the form of Paired Sample T-Test using the statistical program "Product and Service Solution" (SPSS). The results of hypothesis testing using paired sample t-test obtained t-value with a significant value of 0.000 (0.000 <0.05). From these results, it can be stated that the hypothesis is accepted, which means that there is a significant difference in abnormal returns before and after the Corona / Covid-19 Virus Outbreak. The difference in Abnormal Return on the test results has a positive value, this shows that if the Corona / Covid-19 Virus Outbreak has increased, the Abnormal Return value will increase.

scholarly journals Do Financing and Investment Determine the Capital Market Reaction? Evidence from Listed Mining Companies in Indonesia

2020 ◽  
Vol 3 (1) ◽  
pp. 1-14
Author(s):  
Bambang Surahman ◽  
Elisa Khairani ◽  
Erna Erna ◽  
Erita Erita
Keyword(s):  
Capital Market ◽  
Trading Volume ◽  
Market Reaction ◽  
Stock Exchange ◽  
Global Market ◽  
Descriptive Research ◽  
Mining Companies ◽  
Price Earnings Ratio ◽  
Financing And Investment ◽  
The Capital Market

Objective – The level of trust in the stocks market is one of the important factors to improve the company’s image in facing the increasingly challenging global market. The stock market’s trust can be analyzed by the business capital owned by its company. This research aims to analyze the influence of financing and investment on the dependent variables of capital reaction taking the samples of mining companies listed on the Indonesia Stock Exchange (IDX).  This study also analyzes the responses in the ability of mining companies in the capital market.  Design/methodology – The associative approach has been used in this research and a descriptive research model has been utilized. This research is intended to examine the free effect of financing and investment on the dependent variable of the market reaction. The sample used in this study is saturated sampling. Samples of 32 companies out of 44 mining companies listed on the IDX were drawn for analysis purposes. Results – This study found that DER financing and PER investment (price-earnings ratio) have no significant impact on capital market reaction TVA (trading volume activity) in listed mining companies in Indonesia. It can be concluded that increasing quality of mining companies in Indonesia are mostly not influenced by the power of DER and investment PER.

scholarly journals Mediation Effects of Internal Financial Decisions and Company Performance on the Relationship of Macroeconomic Factors and Market Reactions

2021 ◽  
Vol 3 (1) ◽  
pp. 53
Author(s):  
Indarto Indarto ◽  
Djoko Santoso
Keyword(s):  
Capital Market ◽  
Market Reaction ◽  
Investment Decisions ◽  
Equation Modeling ◽  
Company Performance ◽  
Macroeconomic Factors ◽  
Market Reactions ◽  
Financial Decisions ◽  
Intervening Variables ◽  
The Capital Market

This study examines the effect of macroeconomic factors on investor reactions in the capital market with internal financial decisions and company performance as the intervening variables. Previous studies examined only the effect of macroeconomic factors on direct market reactions. The sample of this research are manufacturing companies listed on the Indonesia Stock Exchange. Structural Equation Modeling (SEM) was tested using SmartPLS. This study concludes that financial decisions and company performance are not the intervening variables between macroeconomic factors and market reactions. Macroeconomic factors do not affect the company's internal financial decisions and company performance but the market reaction. Meanwhile, the company's internal financial decisions have no effect on the company's performance and market reaction. The company's performance affects the market reaction. The results of this study prove that investors are very concerned about macroeconomic factors in making investment decisions. The dynamics of macroeconomic factors directly influence investment decisions in the capital market.

Institutional Investors on the Securities Market

2003 ◽  
pp. 95-101
Author(s):  
O. Khmyz
Keyword(s):  
Financial Crisis ◽  
Capital Market ◽  
Hedge Funds ◽  
Institutional Investors ◽  
Securities Market ◽  
Main Role ◽  
Investment Funds ◽  
Investment Process ◽  
The Capital Market

Acording to the author's opinion, institutional investors (from many participants of the capital market) play the main role, especially investment funds. They supply to small-sized investors special investment services, which allow them to participate in the investment process. However excessive institutialization and increasing number of hedge-funds may lead to financial crisis.

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