of the classical log dividend–price ratio, we allow the data to reveal the cointegration vector between d and p. We … define the modified dividend–price ratio (mdp), as the long run trend deviation between d and p. Using S&P 500 data for the … correlation with the risk free return component, and can discern if a low dividend state coincides with a low yield state …

retained earnings. This recommendation takes two parts: Proposition III, i.e., a dividend has no impact on market value, and ….The purpose of this paper is to analyze non-dividend-distributing companies for positive NPV. I picked companies from the Standard … the null hypothesis should therefore be rejected.The paper also tabulates the assumptions needed for the Dividend …

firms that either increased or initiated cash dividend payments during the 23-year period 1986-2008, we find reduction in … explains the dividend payment decision and the positive market reaction around dividend increases and initiations. Further … following dividend increases and initiations …

effects considered in signaling games. We show that paying out free cash flow, either as a dividend or via repurchasing shares … dividend as long as capital gains are not heavily discriminated by taxation in relation to dividends. The positive price effect … of dividends can be enhanced if the firm implements a dividend reinvestment plan (DRIP). …

the sum of the dividend yield on stocks plus some weighted average of expected future growth rates in dividends. We … construct a measure of stock yield as a model-imposed affine combination of dividend yield and an expected dividend growth proxy …-of-sample R-squared that is consistently above 2% at monthly frequency over our sample period. When both dividend yield and …

effects considered in signaling games. We show that paying out free cash flow, either as a dividend or via repurchasing shares … dividend as long as capital gains are not heavily discriminated by taxation in relation to dividends. The positive price effect … of dividends can be enhanced if the firm implements a dividend reinvestment plan (DRIP). …

Dividend reductions have long been considered a "last resort" action for firm managers. Managerial reluctance to reduce … dividends emanates from the view that dividend drops signal managerial pessimism regarding future earnings. Contrary to … expectations, studies show that earnings rebound significantly following a dividend reduction; yet investors react negatively to …

This paper provides risk and information asymmetry-based explanations of the disappearing dividend puzzle first … documented by Fama and French (2001). Dividends serve as signaling device and, under models of dividend signaling under … consistent with both. First, we find abnormal returns associated with dividend initiations have been declining over the years. We …

profitability and earned/contributed capital mix on the decision to pay dividends and dividend payout are weaker for firms following … dividend payout and this effect does not vary between traditional and imputation tax systems. Firms with higher foreign … the imputation tax system upon dividend policy …