Using data from bank holding company regulatory reports, we examine the relationshipbetween stock repurchases and … financial performance for a large sample of bank holding companies over the years 1987 to 1998. The primary result is that … be driven primarily by bank holding companies with publicly traded stock, especially those companies whose stock is …

This paper offers evidence that bank managers adjust key strategic variables following a risk and/or valuation signal …. Banks receive a risk signal when they have a substantially higher volatility compared to the best performing bank(s) with … similar business model characteristics, and a valuation signal when they are undervalued relative to the average bank with …