scholarly journals MEDIATION EARNING PER SHARE IN INFLUENCING THE RELATIONSHIP BETWEEN FINANCIAL RATIOS, COMPANY SIZE AND OPERATING CASH FLOW TO STOCK RETURN

2017 ◽  
Vol 72 (12) ◽  
pp. 72-80
Author(s):  
E.C. Wijaya ◽  
U. Ludigdo ◽  
A.F. Rachman
Keyword(s):  
Cash Flow ◽  
Stock Return ◽  
Financial Ratios ◽  
Company Size ◽  
Operating Cash Flow ◽  
The Relationship

scholarly journals Analyzing the Relationship between Earnings Quality and Financial Ratios Derived from Cash Flow Statement (An Applied Study on Saudi Telecommunication Companies): تحليل العلاقة بين جودة الأرباح والنسب المالية المشتقة من قائمة التدفقات النقدية (تطبيق على شركات قطاع الاتصالات السعودية)

2020 ◽  
Vol 4 (13) ◽  
Author(s):  
Fatmah Mohammad Baaqeel, Najla Ibrahim Abdulrahman
Keyword(s):  
Cash Flow ◽  
Activity Index ◽  
Earnings Quality ◽  
Cash Flows ◽  
Multiple Regression Model ◽  
Financial Ratios ◽  
Return On Assets ◽  
Operating Cash Flow ◽  
Operational Activity ◽  
The Relationship

The aim of this research is to analyze the relationship between earnings quality and financial ratios derived from cash flows statement of telecom sector companies in the Saudi Stock Market. The analyzing period was from 2009 to 2018, assuming there is a significant relationship between operating cash ratio, operational activity index, adequacy cash flow and return on assets from operating cash flow on earnings quality. Calculating ratios and earnings quality through published financial statements and reports to find the relationship between the variables using multiple regression model. Findings indicate no relationship between earnings quality and both operating cash ratio and the operational activity index, and there is a direct relationship between earnings quality and adequacy cash flow, and an inverse relationship between earnings quality and return on assets from the operating cash flow. The researcher recommends decision-makers to pay more attention to the ratios related to the earnings quality, and do more research related to the subject.

scholarly journals PENGARUH LABA AKUNTANSI, ARUS KAS OPERASI DAN UKURAN PERUSAHAAN TERHADAP HARGA PENUTUPAN SAHAM MELALUI KEBIJAKAN DIVIDEN

2020 ◽  
Vol 3 (2) ◽  
pp. 87-119
Author(s):  
Saiful Muchlis ◽  
Febriani Setijawan
Keyword(s):  
Cash Flow ◽  
Indirect Effect ◽  
Consumer Goods ◽  
Stock Prices ◽  
Quantitative Methods ◽  
Dividend Policy ◽  
Stock Exchange ◽  
Company Size ◽  
Operating Cash Flow ◽  
Consumer Goods Industry

This study aims to determine the effect of accounting profit, operating cash flow and company size on stock prices through dividend policy on consumer goods industry companies on the Indonesia Stock Exchange. This research uses quantitative methods and the type of explanatory research with 2016-2018 observation years in 17 company samples. The results show (1) accounting profit and operating cash flow have a positive and significant effect on dividend policy, while the size of the company has no influence on dividend policy. (2) accounting profit and operating cash flow do not have an effect on the closing prices, while the size of the company has a positive and significant effect on the closing prices. (3) dividend policy has a positive and significant effect on the closing prices. (4) there is no indirect effect of dividend policy in mediating accounting profit and operating cash flow on the closing prices, but there is an indirect effect of dividend policy in mediating company size on the closing prices.

scholarly journals FACTORS AFFECTING OPERATING CASH FLOW TO STOCK RETURN THROUGH STOCK PRICE

2018 ◽  
Vol 5 (2) ◽  
Author(s):  
Aprih . Santoso
Keyword(s):  
Stock Returns ◽  
Cash Flow ◽  
Stock Prices ◽  
Stock Price ◽  
Stock Return ◽  
Stock Exchange ◽  
Sampling Technique ◽  
Financial Statements ◽  
Manufacturing Companies ◽  
Operating Cash Flow

Abstract : Companies need funds in order to carry out operations such as the financing of production activities, pay employees, pay other expenses related to the operation of the company. One way to obtain these funds is to attract investors to invest in companies in the form of stock, but in making this investment is certainly not easy for investors, because investors need consideration beforehand to find out how the company's performance. The purpose of this study was to examine and analyze the effect of operating cash flow to stock return through stock price at companies listed on the Stock Exchange Year 2012-2015. The data used in this study dala are secondary data from the financial statements of companies listed on the Indonesia Stock Exchange period 2012 - 2015. The data are in the form of financial statements can be obtained from the Indonesian Capital Market Directory (ICMD), the IDX website www.idx.co. id as well as from various other sources to support this research. The population in this research is manufacturing companies listed on the Stock Exchange the period 2012 - 2015. The samples taken by the sampling technique used purposive sampling.From the test results and analysis of the data it can be concluded that operating cash flow directly and indirectly has no effect on stock returns through stock prices showed no significant results. Keywords :  Operating Cash Flow, Stock Price, Stocks Return

Relationship between earnings management, CEO compensation, and stock return on Tehran Stock Exchange

2019 ◽  
Vol 23 (1) ◽  
pp. 1-22
Author(s):  
Mahdi Moardi ◽  
Mahdi Salehi ◽  
Simin Poursasan ◽  
Homa Molavi
Keyword(s):  
Earnings Management ◽  
Cash Flow ◽  
Significant Relationship ◽  
Stock Return ◽  
Stock Exchange ◽  
Discretionary Accruals ◽  
Content Type ◽  
Future Cash Flow ◽  
Accruals Quality ◽  
The Relationship

Purpose The purpose of this paper is to investigate the relationship between earnings management and chief executive officers’ (CEOs) compensation. Owing to the fact that earnings management does not have only opportunistic effects, but signaling effects, this study focuses on accruals quality to examine earnings management incentives. Thus, accruals quality is described against future cash flow. The empirical evidences suggest that a positive relationship between discretionary accruals and future cash flow provides predictive elements for earnings management, whereas a negative relationship between discretionary accruals and future cash implies to opportunistic elements for earnings management. Should there is no significant relationship between discretionary accruals and future cash flow, there will be no earnings management, and such a result suggests that incentives and managers’ performance in these firms differ. Design/methodology/approach The statistical population of this research consists of all listed companies on the Tehran Stock Exchange during 2009–2016. Panel data method is applied in order to estimate the research model. Findings Findings of the study show that there is no significant relationship between discretionary accruals and future cash flow in pharmaceutical and food industries, thus they have neither predictive nor opportunist earnings management, while the results evidence a negative significant relationship between discretionary accruals and future cash flow in machineries, automobile, mineral and chemical industries. Furthermore, it can be alleged that there is no significant difference between CEOs’ compensation in firms with opportunistic earnings management (OEM) and other types of earnings management. It shows that firms do not have appropriate plans for CEOs’ compensation. Moreover, the relationship between earnings management and stock return has been investigated in this study. We document that stock return is influenced by accruals quality and its components. In other words, stock return significantly differs in firms with OEM and firms without any kind of earnings management. Research limitations/implications The authors’ findings provide contributions; for managers, it is noticeable that stock markets have sufficient comprehension about financial statements and the undertaken procedures on them, resulting in a higher return base on fair information. For investors and regulators, using the findings, may have deeper understanding to distinguish between industries that are recognized as opportunistic and non-opportunistic, which, in turn, results in better decision and regulation. Originality/value Previous studies have been mostly investigated OEM, while the current study examines both signaling and opportunistic aspects of earnings management.

Ownership structure, stock volatility and analyst independence

2014 ◽  
Vol 4 (2) ◽  
pp. 187-208 ◽  
Author(s):  
Xiaobao Song ◽  
Wenjia Zheng
Keyword(s):  
Cash Flow ◽  
Negative Correlation ◽  
Institutional Investors ◽  
Stock Return ◽  
Significant Negative Correlation ◽  
Control Rights ◽  
Analyst Following ◽  
Content Type ◽  
Cash Flow Rights ◽  
The Relationship

Purpose – The purpose of this paper is to examine securities analyst independence in China's capital market and the effect on analyst independence of institutional investors’ shareholding and separation between control rights and cash flow rights of ultimate controller. Design/methodology/approach – Using data of China's listed companies from 2006 to 2012, the authors empirically tested the relationship between analyst following and volatility of stock return. And based on the test, the authors investigated the role played by institutional investors’ ownership and separation between control rights and cash flow rights of ultimate controller. Findings – According to the empirical results, there is a significant negative correlation between analyst following and volatility of stock return. Also, shareholding of institutional investors and the separation between control rights and cash flow rights of ultimate controllers will have an impact on the relationship between analyst following and volatility of stock return. When institutional investors hold higher proportion or the separation between control rights and cash flow rights of ultimate controllers keeps at a high level, the negative correlation between analyst following and volatility of stock return will weaken. Originality/value – First, based on the theory of market intermediation, the paper examined analyst independence by investigating and analyzing the relationship between analyst following and volatility of stock return. Second, it analyzed the factors affecting analyst independence by integrating enterprise characteristic variable and market characteristic variable on the basis of introducing two variables – shareholding of institutional investors and the separation between control rights and cash flow rights of ultimate controllers.

scholarly journals Effect of Operating Cash Flow on Stock Return of Firms Listed In Nairobi Security Exchange

2021 ◽  
Vol 6 (1) ◽  
pp. 26-35
Author(s):  
Samoei Ben Kipngetich ◽  
Joel Tenai ◽  
Andrew Kimwolo
Keyword(s):  
Panel Data ◽  
Stock Returns ◽  
Cash Flow ◽  
Stock Return ◽  
Random Effect ◽  
Random Effect Model ◽  
Secondary Data ◽  
Cash Flows ◽  
Free Cash Flow ◽  
Operating Cash Flow

The main aim of the paper was to establish the effect of operating cash flow on stock return of firms listed in NSE. The study was informed by Free Cash Flow (FCF) theory. Census survey was adapted to review financial statements for 29 listed non-financial firms at NSE that had consistent data for all the study variables. Secondary data was extracted for 12 years from 2007-2019 with the aid of a data collection sheet. Explanatory research design which is panel in nature was followed by this study. Both descriptive and inferential statistics were used in data analysis. Panel data regression was used to make inferences and test research hypothesis. Fixed and Random effects methods were used to analyze the balanced panel data using STATA statistical package and Hausman test established that Random effect model was the most ideal method to analyze data in this study. The findings indicated that operating cash flow positively and significantly influenced the stock returns for firms listed at NSE. The study concludes that operating cash flow information affects stock returns. Therefore, the study advocates for firms to increase their levels of operating cash flows through prudent utilization of cash resources since it enhances the stock returns.

scholarly journals Stock Return Determinants In Stock Market Movements

2021 ◽  
Vol 2 (3) ◽  
pp. 273-280
Author(s):  
Suharmadi SUHARMADI ◽  
Suripto SURIPTO
Keyword(s):  
Cash Flow ◽  
Stock Return ◽  
Economic Value ◽  
Value Added ◽  
Market Value ◽  
Residual Income ◽  
Economic Value Added ◽  
Earnings Per Share ◽  
Operating Cash Flow ◽  
Market Value Added

The purpose of this study was to examine the effect of Economic Value Added (EVA), Market Value Added (MVA), Residual Income (RI), Earnings Per Share (EPS) and Operating Cash Flow (OCF) on Stock Returns. Samples used in the study were 22 of LQ-45 index companies listed on the Indonesia Stock Exchange. This study uses multiple linear regression analysis, with partial hypothesis test (t test), simultaneous test (f test), and coefficient of determination (adjusted R). The results of this research indicate that there is an influence from the variable influence of Economic Value Added (EVA), Market Value Added (MVA), Residual Income (RI), Earnings Per Share (EPS) and Operating Cash Flow (OCF) ) towards Stock Return. This is because the company is able to create good performance so that investors can invest in the company.

scholarly journals Faktor Fundamental dan Abnormal Return Perusahaan Makanan dan Minuman

2016 ◽  
Vol 3 (02) ◽  
pp. 131-148
Author(s):  
Warsono Warsono
Keyword(s):  
Cash Flow ◽  
Abnormal Return ◽  
Stock Return ◽  
Stock Exchange ◽  
Linear Regression Analysis ◽  
Return On Equity ◽  
Food And Beverages ◽  
Price Earnings Ratio ◽  
Equity Ratio ◽  
Operating Cash Flow

A B S T R A C T Financial statement is one of source information that is needed for the economic decision maker, especially for stock exchange performers. It reflects company’s performance during the period. The other one is statement of cash flow from operating activities that reflect their performance on their daily activities. This research aim to get empirical evidence on the influence of financial performance that are represented by operating cash flow, price earnings ratio, return on equity, debt to equity ratio, and size to the abnormal stock return. This research take 12 samples of food and beverages companies which are listed in Indonesia Stock Exchange from 2011-2015. The method used in the research by using multiple linear regression analysis. This study concludes that operating cash flow have no influence to the abnormal stock return. Price earnings ratio, return on equity, debt to equity ratio, and size significantly effect toward abnormal return. Size has a dominant influence to the abnormal stock return. It means that size is the best representation of independent variables to appraise that abnormal stock return on food and beverages company. A B S T R A K Laporan keuangan merupakan salah satu sumber informasi yang diperlukan untuk pengambilan keputusan ekonomi, terutama untuk investor di bursa saham. Hal ini mencerminkan kinerja perusahaan selama periode tersebut. Informasi lain yang penting adalah laporan arus kas dari aktivitas operasi yang mencerminkan kinerja mereka pada kegiatan sehari-hari mereka. Penelitian ini bertujuan untuk mendapatkan bukti empiris tentang pengaruh kinerja keuangan yang diwakili oleh arus kas operasi, Price Earning Ratio, Return on Equity, Rasio hutang terhadap ekuitas, dan ukuran untuk return saham yang abnormal. Penelitian ini mengambil 12 sampel perusahaan makanan dan minuman yang terdaftar di Bursa Efek Indonesia dari tahun 2011-2015. Metode yang digunakan dalam penelitian ini dengan menggunakan analisis regresi linier berganda. Penelitian ini menyimpulkan bahwa arus kas operasi tidak memiliki pengaruh terhadap return saham yang abnormal. Price Earning Ratio, Return on Equity, Debt to Equity ratio, dan ukuran secara signifikan mempengaruhi terhadap return abnormal. Ukuran perusahaan memiliki pengaruh dominan terhadap return saham yang abnormal. Ini berarti bahwa ukuran adalah representasi terbaik dari variabel independen untuk menilai bahwa return saham abnormal pada makanan dan minuman perusahaan. JEL Classification: G14, F62

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