Have a personal or library account? Click to login

Investor Reaction to Information on Final Dividend Payouts on the Warsaw Stock Exchange – an Event Study Analysis

International Journal of Management and Economics
Volume 45 (2015): Issue 1 (March 2015)
By:
Open Access
|Jun 2015

References

  1. Aharony, J., Swary, I. (1980), Quarterly Dividend and Earnings Announcements and Stockholders’ Returns: An Empirical Analysis, The Journal of Finance, Vol. 35, No. 1, pp. 1-12.
    Search in Google Scholar
  2. Allen, F., Bernardo, A. F., Welch, I. (2000), A Theory of Dividends Based on Tax Clienteles, The Journal of Finance, Vol. 55, No. 6, pp. 2499-2536.
    Search in Google Scholar
  3. Amihud, Y., Li, K. (2006), The Declining Content of Dividend Announcements and the Effects of Institutional Holdings, The Journal of Financial and Quantitative Analysis, Vol. 41, No. 3, pp. 637-660.
    Search in Google Scholar
  4. Asquith, P., Mullins, D. W. (1983), The Impact of Initiating Dividend Payments on Shareholders’ Wealth, The Journal of Business, Vol. 56, No. 1, pp. 77-96.
    Search in Google Scholar
  5. Baker, M., Wurgler, J. (2004), A Catering Theory of Dividends, The Journal of Finance, Vol. 59, No. 3, pp. 1125-1165.
    Search in Google Scholar
  6. Bernartzi, S., Michaely, R., Thaler, R. (1997), Do Changes in Dividends Signal the Future or the Past?, The Journal of Finance, Vol. 52, No.3, Proceedings of Fifty-Seventh Annual Meeting, American Finance Association, New Orleans, Louisiana, January 4-6 1997, pp. 1007-1034.
    Search in Google Scholar
  7. Bhattacharya, S. (1979), Imperfect information, dividend policy, and “the bird in the hand” fallacy, pp. 259-270.10.2307/3003330
    Search in Google Scholar
  8. Brav, A., Graham, J. R., Harvey, C. R., Michaely, R. (2003), Payout Policy in the 21st Century, NBER Working Paper, No. 9657, pp. 1-37.
    Search in Google Scholar
  9. Brennan, M. J., Thakor, A. V. (1990), Shareholder Preferences and Dividend Policy, The Journal of Finance, Vol. 45, No. 4, pp. 993-1018.
    Search in Google Scholar
  10. Campbell, J. Y., Lo, A. W., MacKinlay, A. C. (1997), The Econometrics of Financial Markets, Princeton University Press.10.1515/9781400830213
    Search in Google Scholar
  11. Capstaff, J., Klaeboe, A., Marshall, A. P. (2004), Share Price Reaction to Dividend Announcements: Empirical Evidence of the Signaling Model from the Oslo Stock Exchange, Multinational Finance Journal, 8 (1/2), pp. 115-139.
    Search in Google Scholar
  12. Chang, C., Kumar, P., Sivaramakrishnan, K. (2006), Dividend Changes, Cash Flow Predictability, and Signaling of Future Cash Flows, SSRN online library 881511.10.2139/ssrn.890455
    Search in Google Scholar
  13. Czerwonka, L. (2010), Wpływ zainicjowania wypłaty dywidendy na cenę akcji spółki, in: E. Urbańczyk (ed.) Uwarunkowania wzrostu wartości przedsiębiorstw w warunkach konkurencji, Zeszyty Naukowe Uniwersytetu Szczecińskiego, No. 634, pp. 67-85.
    Search in Google Scholar
  14. DeAngelo, H., DeAngelo, L., Skinner, D. J. (1992), Dividends and Losses, The Journal of Finance, Vol. 47, No. 5, pp. 1837-1863.
    Search in Google Scholar
  15. Denis, D. J., Denis, D. K., Sarin, A. (1994), The Information Content of Dividend Changes: Cash Flow Signalling, Overinvestment, and Dividend Clienteles, The Journal of Financial and Quantitative Analysis, Vol. 29, No. 4, pp. 567-587.
    Search in Google Scholar
  16. Easterbrook, F. H. (1984), Two Agency-Cost Explanations of Dividends, The American Economic Review, Vol. 74, No. 4, pp. 650-659.
    Search in Google Scholar
  17. Elton, J., Gruber, M. J. (1970), Marginal Stockholder Tax Rates and the Clientele Effect, The Review of Economics and Statistics, Vol. 52, No. 1, pp. 68-74.
    Search in Google Scholar
  18. Fama, E. F., Fisher, L., Jensen, M. C., Roll, R. (1969), The adjustment of stock prices to new information, International Economic Review, Vol. 10., No. 1, pp. 1-21.
    Search in Google Scholar
  19. Fracassi, C. (2008), Stock Price Sensitivity to Dividend Changes, University of Texas Working Paper, pp. 1-39.
    Search in Google Scholar
  20. Ghosh, C., Woolridge, T. J. R. (1989), Stock-Market Reaction to Growth-Induced Dividend Cuts: Are Investors Myopic?, Managerial Decision Economics, Vol. 10, No. 1, pp. 25-35.
    Search in Google Scholar
  21. Goddard, J., McMillan, D. G., Wilson, J. O. S. (2006), Dividend Smoothing vs Dividend Signaling: Evidence from UK Firms, Managerial Finance, Vol. 32, No. 6, pp. 493-504.
    Search in Google Scholar
  22. Gordon, M. J. (1959), Dividends, Earnings, and Stock Prices, The Review of Economics and Statistics, Vol. 41, No. 2, Part 1, pp. 99-105.
    Search in Google Scholar
  23. Gordon, M. J. (1963), Optimal Investment and Financing Policy, The Journal of Finance, Vol. 18, No. 2, pp. 264-272.
    Search in Google Scholar
  24. Graham, J. R., Kumar, A. (2006), Do Dividend Clienteles Exist? Evidence on Dividend Preferences of Retail Investors, The Journal of Finance, Vol. 61, No. 3, pp. 1305-1336.
    Search in Google Scholar
  25. Grullon, G., Michael, R., Benartzi, S., Thaler, R. H. (2005), Dividend Changes Do Not Signal Changes in Future Profitability, The Journal of Business, 78 (5), pp. 1659-1682.
    Search in Google Scholar
  26. Gurgul, H. (2012), Analiza zdarzeń na rynkach akcji. Wpływ informacji na ceny papierów wartościowych, Wolters Kluwer.
    Search in Google Scholar
  27. Gurgul, H., Majdosz, P. (2005), Effect of Dividend and Repurchase Announcements on the Polish Stock Market, Badania Operacyjne i Decyzje, No 1, pp. 25-39.
    Search in Google Scholar
  28. Hawton, S., Hawton, S. D. (2006), The Corporate Response to the 2003 Dividend Tax Cut, Journal of Applied Finance, Vol.16, No.1, pp. 62-71.
    Search in Google Scholar
  29. Jagannathan, M., Stephens, C., Weisbach, M. (2000), Financial Flexibility and The Choice Between Dividends and Stock Repurchases, Journal of Financial Economics, Vol. 57, No. 3, pp. 355-384.
    Search in Google Scholar
  30. Jensen, G. R., Johnson, J. M. (1995), The Dynamics of Corporate Dividend Reductions, Financial Management, Vol. 24, No. 4, pp. 31-51.
    Search in Google Scholar
  31. Jensen, M. C. (1986), Agency Costs of Free Cash Flow, Corporate Finance and Takeovers, The American Economic Review, Vol. 76, No. 2, Papers and Proceedings of the Ninety-Eight Annual Meeting of the American Economic Association, pp. 323-329.
    Search in Google Scholar
  32. John, K., Williams, J. (1985), Dividends, Dilution, and Taxes: A Signalling Equilibrium, The Journal of Finance, Vol. 40, No. 4, pp. 1053-1070.
    Search in Google Scholar
  33. Jo, H., Pan, C. (2009), Why are firms with entrenched managers more likely to pay dividends?, Review of Accounting and Finance, Vol. 8, No. 1, pp. 87-11.
    Search in Google Scholar
  34. Kalay, A., Lemmon, M. (2008), Payout Policy, in: E. Eckbo (ed.), Handbook of Corporate Finance, Empirical Corporate Finance, Vol. 2, Elsevier.
    Search in Google Scholar
  35. Kane, A., Lee, Y. K., Marcus, A. (1984), Earnings and Dividend Announcement: Is There a Corroboration Effect?, The Journal of Finance, Vol. 39, No. 4, pp. 1091-1099.
    Search in Google Scholar
  36. La Porta, R., Lopez-de-Silianes, F., Shleifer, A., Vishny, R. W. (2000), Agency Problems and Dividend Policies around the World, The Journal of Finance, Vol. 55, No. 1, pp. 1-33.
    Search in Google Scholar
  37. Levinsohn, A. (2005), Divine Dividends, Strategic Finance, 86 (11), pp. 59-60.
    Search in Google Scholar
  38. Lintner, J. (1956), Distribution of Incomes of Corporation among Dividends, Retained Earnings and Taxes, The American Economic Review, Vol. 46, No. 2, Papers and Proceedings of the Sixty-eighth Annual Meeting of the American Economic Association, pp. 97-113.
    Search in Google Scholar
  39. Lintner, J. (1962), Dividends, Earnings, Leverage, Stock Prices and the Supply of Capital to Corporations, The Review of Economics and Statistics, Vol. 44, No. 3, pp. 243-269.
    Search in Google Scholar
  40. Litzenberger, H., Ramaswamy, K. (1982), The Effect of Dividends on Common Stock Prices Tax Effects or Information Effects?, The Journal of Finance, Vol. 37, No. 2, Papers and Proceedings of the Fortieth Annual Meeting of the American Finance Association, Washington D. C., December 28-30, 1981, pp. 429-443.
    Search in Google Scholar
  41. Li, K., Zhao, sX. (2008), Asymmetric Information and Dividend Policy, Financial Management, 37 (4), pp. 673-694.
    Search in Google Scholar
  42. Lucas, D. J., McDonald, R. L. (1998), Shareholder Heterogeneity, Adverse Selection and Payout Policy, The Journal of Finance and Quantitative Analysis, Vol. 33, No. 2, pp. 233-253.
    Search in Google Scholar
  43. Michaely, R., Thaler, R. H., Womack, K. L. (1995), Price Reactions to Dividend Initiations and Omissions: Overreaction or Drift?, The Journal of Finance, Vol. 50, No. 2, pp. 573-608.
    Search in Google Scholar
  44. Mikhail, B., Walther, B. R., Willis, R. H. (1999), Dividend Changes and Earnings Quality, Journal of Accounting, Auditing and Finance, Vol. 18, pp. 1-35.
    Search in Google Scholar
  45. Miller, M. H., Modigliani, F. (1961), Dividend Policy, Growth, and the Valuation of Shares, The Journal of Business, Vol. 34, No. 4, pp. 411-433.
    Search in Google Scholar
  46. Nissim, D., Ziv, A. (2001), Dividend Changes and Future Profitability, The Journal of Finance, Vol. 56, No. 6, pp. 2111-2133.
    Search in Google Scholar
  47. Perepeczo, A. (2013), Reakcja akcjonariuszy na zmiany polityki dywidend - przegląd wyników badań, Zeszyty Naukowe Uniwersytetu Szczecińskiego, No. 761, pp. 251-261.
    Search in Google Scholar
  48. Pettit, R. R. (1972), Dividend Announcements, Security Performance, and Capital Market Efficiency, The Journal of Finance, Vol. 27, No. 5, pp. 993-1007.
    Search in Google Scholar
  49. Robin, J. (1998), Dividend Omissions: Rationale and Market Impact, American Business Review, Vol. 16, No. 2, pp. 1-8.
    Search in Google Scholar
  50. Rozeff, M. S. (1982), Growth, Beta and Agency Costs as Determinants of Dividend Payout Policy, The Journal of Financial Research, Vol. V, No. 3, pp. 249-259.
    Search in Google Scholar
  51. Słoński, T., Zawadzki, B. (2012), Analiza reakcji inwestorów na zmianę wielkości wypłacanej dywidendy przez spółki notowane na GPW w Warszawie, Annales Universitatis Mariae Curie-Skłodowska. Section H. Oeconomia, Vol. 46/1 (XLVI), pp. 125-135.
    Search in Google Scholar
  52. Vieira, E. S., Raposo, C. C. (2007), Signalling with dividends? The signalling effects of dividend change announcements: new evidence from Europe. http://ssrn.com/abstract=95576810.2139/ssrn.955768
    Search in Google Scholar
  53. Woolridge, J. R. (1983), Dividend Changes and Securities Prices, The Journal of Finance, Vol. 38, No. 5, pp. 1607-1615.
    Search in Google Scholar
  54. Yoon, S., Starks, L. T. (1995), Signaling, Investment Opportunities, and Dividend Announcements, The Review of Financial Studies, Vol. 8, No. 4, pp. 995-1018.
    Search in Google Scholar
DOI: https://doi.org/10.1515/ijme-2015-0019 | Journal eISSN: 2543-5361 | Journal ISSN: 2299-9701
Journal RSS Feed
Language: English
Page range: 127 - 146
Published on: Jun 27, 2015
Published by: Warsaw School of Economics
In partnership with: Paradigm Publishing Services
Publication frequency: 4 times per year
Keywords:
information and market efficiency,
dividend,
payout policy,
investors’ reaction
Related subjects:
Business and economics,
Political economics,
Economic theory, systems and structures,
Business management,
Management accounting, financial controlling, cost calculation, investment

© 2015 Natalia Szomko, published by Warsaw School of Economics
This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Previous articleVolume 45 (2015): Issue 1 (March 2015)