Dividend Signaling: Evidence from Bank IPOs

2008 ◽  
Author(s):  
Marcia Millon Cornett ◽  
Alex Fayman ◽  
Alan J. Marcus ◽  
Hassan Tehranian
Keyword(s):  
Dividend Signaling

Value of dividend signaling in uncertain times

2020 ◽  
Author(s):  
Hayley Baker ◽  
Millicent Chang ◽  
Choy Yeing (Chloe) Ho
Keyword(s):  
Dividend Signaling

scholarly journals The Phenomenon of Dividend Announcement on Stock Abnormal Return (Case in ASEAN Countries)

2021 ◽  
Vol 12 (1) ◽  
pp. 1-18
Author(s):  
Ikka Tiaraintan Hariyanto ◽  
Werner Ria Murhadi
Keyword(s):  
Event Study ◽  
Capital Market ◽  
Policy Implication ◽  
Stock Price ◽  
Abnormal Return ◽  
Dividend Signaling ◽  
Positive Abnormal Return ◽  
Dividend Distribution ◽  
Asean Countries ◽  
Research Period

Research aims: to examine the existence of stock’s abnormal return after dividend announcement activity.Design/methodology/approach: event study with 1.330 samples of dividend announcement in ASEAN countries during 2018. The research period was 21 days around the dividend announcement’s date.Research findings: this analysis's results agreed with the dividend signaling theory hypotheses, where the increase, decrease, or constant dividends could be an informative aspect for investors. Theoritical contribution/originality: it was shown by the presence of a positive abnormal return between an increase and a constant dividend, while a negative abnormal return between decrease dividends.Practitioner/policy implication: in the ASEAN capital market, it could be concluded that the change of dividend nominal would signal the firm’s prospect.Research limitation/implication: this research used the earliest dividend announcement before revision. Suggestions for further research are to pay attention to announcements of changes in dividend distribution dates and nominal revision, whether they contain information for investors, which will affect stock price movements.

scholarly journals AN EMPIRICAL EXAMINATION OF THE DIVIDEND INFORMATION CONTENTS IN THE BALANCE SHEET: A Signaling Approach*

2013 ◽  
Vol 4 (3) ◽  
pp. 347
Author(s):  
R. Agus Sartono ◽  
Anna Maria Sri Asih
Keyword(s):  
Private Information ◽  
Balance Sheet ◽  
Financial Statements ◽  
Empirical Examination ◽  
Market Reactions ◽  
Dividend Signaling ◽  
Information Contents ◽  
Dividend Announcements ◽  
Information Transmittal

This study examines whether the changes in the financial statements and dividends can together provide a better information transmittal system to deliver missing private information on the firm using Indonesian firms as the sample. In doing so, this study consider three components in evaluating the dividend signaling theory: the expected content favorableness, the sign of dividend change, and the role of dividend signal. Thefinding shows that in Indonesia, the market reactions to the dividend announcements depend on the role of dividend signals, whether it is confirmatory, clarificatory, or unclear. The other finding shows that this market is more concern to the content expected favorableness rather than to the dividend sign.

scholarly journals Dividend Changes and Future Profitability: Evidence from the Turkish Stock Market

2016 ◽  
Vol 8 (3) ◽  
pp. 196 ◽  
Author(s):  
Eyup Kadioglu ◽  
Nurcan Ocal
Keyword(s):  
Panel Data ◽  
The Other ◽  
Strongly Correlated ◽  
Data Set ◽  
Future Earnings ◽  
Panel Data Regression ◽  
Data Regression ◽  
Dividend Signaling ◽  
The Future ◽  
Dividend Announcements

<p>Most of the previous studies on dividends in Turkey have focused on the effects of dividend announcements. There has been no study investigating the relation between dividend changes and the future profitability of firms. This study investigates this relation by using both ordinary and panel data regression on a data set consisting of 1,239 dividend payouts from 123 companies listed in Borsa Istanbul during the period 2004-2014. This study is unable to demonstrate that dividend changes are related to changes in future earnings. No evidence is found to support the dividend signaling theory, which claims that dividends serve as indicators of the future profitability of firms. On the other hand, future profitability is found to be strongly correlated with profitability in the previous year.</p>

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