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correlation between the value of assets-in-place and profitability of investment increases the overhang of shorter-term debt …
Persistent link: https://www.econbiz.de/10013105007
strongly predicts higher, more persistent, and less volatile profitability; and higher abnormal stock returns—findings that are …, lower investor attention, and greater sensitivity of future profitability to InnOrig. This evidence suggests that innovative …
Persistent link: https://www.econbiz.de/10012955455
acquisition target based on its productivity level, profitability and other characteristics and whether the performance of … acquisitions improved target firms%u2019 productivity and profitability significantly more and quicker than acquisitions by … domestic firms.Moreover, we find that there is no positive impact on target firms%u2019 profitability in the case of both …
Persistent link: https://www.econbiz.de/10012760742
aggregate ownership transfers improve profitability, though not in cases where the transfers themselves were corrupted …
Persistent link: https://www.econbiz.de/10013054514
bank franchise value or profitability. In this paper we argue that banks' market-to-book ratio is the sum of two components …
Persistent link: https://www.econbiz.de/10012916621
have high industry-level dispersion of profitability have on average higher market-to-book ratios than firms in low … dispersion industries. This positive relation between market-to-book ratios and industry profitability dispersion is economically …
Persistent link: https://www.econbiz.de/10013029556
Economics has firms maximizing value and people maximizing utility, but firms are run by people. Agency theory concerns the mitigation of this internal contradiction in capitalism. Firms need charters, regulations and laws to restrain those entrusted with their governance, just as economies need...
Persistent link: https://www.econbiz.de/10013136737
While staggered boards have been documented to be negatively correlated with firm valuation, such association might be due to staggered boards either bringing about lower firm value or merely reflecting the tendency of low-value firms to have staggered boards. In this paper, we use two natural...
Persistent link: https://www.econbiz.de/10013123700
Does corporate diversification reduce shareholder value? Since firms endogenously choose to diversify, exogenous variation in diversification is necessary in order to draw inferences about the causal effect. We examine changes in the within-firm dispersion of industry investment, or diversity.'...
Persistent link: https://www.econbiz.de/10013125911
Cash- and stock-financed takeover bids induce strikingly different target revaluations. We exploit detailed data on unsuccessful takeover bids between 1980 and 2008, and show that targets of cash offers are revalued on average by +15% after deal failure, whereas stock targets return to their...
Persistent link: https://www.econbiz.de/10013104060