scholarly journals Determinants of Dividend Policy in India – Special Reference to Nifty 50 Companies

2021 ◽  
Vol 9 (2) ◽  
pp. 37-42
Author(s):  
Kashish Katakwar ◽  
Satyan Tenguriya ◽  
Prashant Chhajer ◽  
Vishal Mehta ◽  
Vandana Gandhi
Keyword(s):  
Regression Analysis ◽  
Positive Relationship ◽  
Dividend Policy ◽  
Positive Impact ◽  
Negative Relationship ◽  
Dividend Payout ◽  
Return On Equity ◽  
Tax Rate ◽  
Equity Risk ◽  
The Impact

Dividend policy is the firm’s policy considered to structure the dividend payout of the shareholder of the company. Various factors are responsible for determining the dividend payout of the firm. In this research paper, we are exploring the determinants of the dividend policy of NSE, Nifty 50. This paper studies the impact of six basic variables on the dividend payout of NSE, Nifty 50 Index companies for the financial year 2015-16 to 2019-2020. These factors include liquidity, leverage, firm size, return on equity, risk and tax rate. Multiple regression analysis was used to study the impact of selected variables on the dividend policy of the companies under study. The results reveal that return on equity has a significant positive impact on dividend payout, whereas risk and tax rate have a significant negative impact.In contrast, there is a positive relationship and zero significance was found between liquidity and dividend payout and leverage and dividend payout. A negative relationship and no significance was found between the size of the firm and dividend payout. This means that liquidity, leverage and size of the firm failed to have any significant impact on the dividend payout of the companies under study. 

Do discretionary accruals affect firms’ corporate dividend policy? Evidence from France

2018 ◽  
Vol 16 (2) ◽  
pp. 333-347 ◽  
Author(s):  
Anis Ben Amar ◽  
Olfa Ben Salah ◽  
Anis Jarboui
Keyword(s):  
Earnings Management ◽  
Dividend Policy ◽  
Positive Impact ◽  
Panel Data Analysis ◽  
Negative Relationship ◽  
Discretionary Accruals ◽  
Additional Measure ◽  
Ample Evidence ◽  
Content Type ◽  
The Impact

Purpose In financial literature, dividend payout decisions are determined by factors such as debt, liquidity, profitability, size and risk. The purpose of this paper is to identify the effect of earnings management measured by discretionary accruals based on Dechow et al.’s (1995) model on dividend policy. Design/methodology/approach This research will use panel data analysis to test the effect of earnings management on dividend policy. The authors selected 280, French non-financial companies, listed on the CAC All Tradable index for the 2008-2015 period. Findings Using a sample of 2108 firm-year observations, the authors find a positive impact of earnings management on dividend policies of firms. Besides, there is a positive/negative relationship between the size of the firm and the dividend policy. Moreover, this paper has dealt with some factors such as debt, the risk of the firm and liquidity which may affect the corporate dividend policy. The results are robust as the authors adopted an additional measure of dividend policy. Practical implications The findings may have important implications for analysts, investors, regulators and academics. First, the study shows that earnings management is a common practice in the French context and constitutes a major objective of dividend policy. Better still, identifying the other variables that influence the dividend policy provides a clearer understanding of dividend policy for investors, analysts and academics alike. Second, the study provides ample evidence of agency problems between various partners in French capital markets, highlighting the necessity to establish new corporate governance mechanisms. This is highly relevant for policymakers in their quest for a better financial market. Originality/value This study extends the literature on the impact of dividend thresholds on earnings management by showing that firms run earnings to inform the market that the company can distribute dividends.

scholarly journals BOARD COMPOSITION, OWNERSHIP STRUCTURE AND DIVIDEND POLICY IN PAKISTAN

2015 ◽  
Vol 03 (02) ◽  
pp. 30-39
Author(s):  
Usmna Azher ◽  
◽  
Syed Kahsif Saeed
Keyword(s):  
Ownership Structure ◽  
Dividend Policy ◽  
Positive Impact ◽  
Stock Exchange ◽  
Board Composition ◽  
Board Independence ◽  
Dividend Payout ◽  
Financial Firms ◽  
The Impact ◽  
Decision Board

The aim of this study was to examine the impact of board composition and ownership structure on dividend policy of the firms listed in Karachi stock exchange. For this purpose, the data of 150 non-financial firms from 2008 to 2012 was employed. This study used descriptive as well as fixed effect and logit models for the estimation purpose. Results showed that CEO Duality and ownership concentration have an insignificant impact on dividend policy. Profitability measures and institutional ownership showed a positive significant impact on both dividend payout ratio and dividend decision. Board independence showed a significant positive impact on dividend payout ratio; however, it remained insignificant in case of dividend decisions.

scholarly journals Analysis of the Interaction between Dividend Policy and Firm Performance in Manufacturing Sector

2019 ◽  
Vol 10 (4) ◽  
pp. 14-21
Author(s):  
Shankar Kumar Singh Jha ◽  
Usama Aziz
Keyword(s):  
Firm Performance ◽  
Dividend Policy ◽  
Positive Impact ◽  
Primary Source ◽  
Theoretical Implication ◽  
Manufacturing Firms ◽  
Primary Data ◽  
Top Management ◽  
Dividend Payout ◽  
The Impact

The purpose of this study is to investigate internal determinant factors of dividend policy in manufacturing firms. The study considers the impact of dividend payout ratio, signalling, earnings per share and risk on firm performance. This research also tries to create a link between dividend policy and firm performance. In the same way, the research is also aimed to create a link between these factors. Such as, the current link between the dividend policy and firm performance. It will elaborate this through current and previous studies as a whole. This study used primary data from the listed manufacturing firms in order to check the effects of dividend policy on firm performance. Data was collected from the primary source. The survey questionnaire was used to collect data from top management in order to highlight the impact of dividend policy on firm performance. Multi-regression analyses were undertaken to identify attributes that influence dividend policy. The results of the study demonstrate that all the variables are significant thus they have a positive impact on firm performance. The study established the findings that dividend payout, earning per share, signalling and risk positively and significantly influence the firm’s value. Moreover, companies should consider dividend policy in order to make the financial decision more efficiently. This study tells us that decisions about dividend policy should be made by considering other variables. The study has both practical and theoretical implication for top management in order to consider the dividend policy and its impact on firm performance.

scholarly journals The impact of board of directors’ characteristics on dividend policy: Evidence from a developing country

2021 ◽  
Vol 5 (2) ◽  
pp. 44-56
Author(s):  
Kasun Tharaka Dissanayake ◽  
Hareendra Dissabandara
Keyword(s):  
Positive Relationship ◽  
Dividend Policy ◽  
Negative Relationship ◽  
Board Size ◽  
Dividend Payment ◽  
Significant Positive Relationship ◽  
Board Characteristics ◽  
Sectorial Analysis ◽  
Women On Boards ◽  
The Impact

The “dividend puzzle” has been an unresolved problem since the 1950s. The purpose of this paper is to investigate the nature and a level of the relationship between board characteristics dividend policy. The study used a positivistic approach and Spearman correlation metric, descriptive statistics, and binary regression models have been deployed as analytical tools. It is found that food and beverages sector had the highest percentage for dividend payout from 2015 to 2019. The highest percentage for women on boards was 13% in the land and property sector. The average board size for the selected companies was 8. The likelihood to pay dividends, women on boards, the board size, and CEO duality indicated a significant positive relationship. Panel regression results indicate that there is no significant relationship between board characteristics and the level of dividend payment for the selected sample. But in a sectorial analysis audit committee size has a significant negative relationship with the level of dividend payment in the manufacturing sector whereas board gender diversity has a significant positive relationship with the same in the food and beverage sector. In summary, dividend decision has been affected by several board characteristics, but such factors had no significant impact on the level of dividends declared in the market. The sectorial analysis revealed that several characteristics affected the level of dividends in two sectors

scholarly journals ANALYSIS OF THE INFLUENCES OF DIVIDEND PAYOUT RATIO, RETURN ON EQUITY, GROWTH AND FIRM SIZE ON STOCK VALUE WITH LEVERAGE AS MEDIATING VARIABLE

2020 ◽  
Vol 3 (1) ◽  
pp. 44
Author(s):  
Novia Utami
Keyword(s):  
Regression Analysis ◽  
Multiple Regression ◽  
Stock Exchange ◽  
Internal Factors ◽  
Positive Direction ◽  
Dividend Payout ◽  
Return On Equity ◽  
Stock Value ◽  
The Impact ◽  
Share Value

This study aims to examine the internal factors that influence the value of a company's shares mediated by the leverage. The sample of this research is the firms listed in the Indonesia Stock Exchange (IDX) during the period 2017 - 2019. Data collected with the purposive method and obtained 102 companies in the year observed. This study uses multiple regression analysis and regression analysis with interaction. Based on the results of multiple regression analyses, this study found that return on equity and total assets influence the value of shares with positive direction, while debt to equity, dividend payout ratio and growth sales do not affect share value. While based on the results regression analysis with interactions, this study found that leverage strengthens the effect of dividend payout ratio and sales growth on share value, and weaken the impact of return on equity and total assets on share value.

scholarly journals The Impact of Insurance Company's Profitability on the Economic Growth

2019 ◽  
Vol 8 (6S3) ◽  
pp. 693-699
Keyword(s):  
Economic Growth ◽  
Regression Analysis ◽  
Negative Impact ◽  
Positive Impact ◽  
Random Effect ◽  
Random Effect Model ◽  
Hausman Test ◽  
Return On Equity ◽  
Effect Model ◽  
The Impact

This paper investigates the impact of Jordanian insurance company's profitability on the economic growth during the period 2007-2016. Regression analysis using random effect model was adopted after applying Hausman test. The results reveals that earning per share, and net realized premiums to shareholders equity have a negative impact on the economic growth, also a significant positive impact for the return on equity on the economic growth has been founded. According to the results the study recommended to encourage individuals and investors to participate in insurance in various fields.

scholarly journals The Determinants of Dividend Payout: Evidence from the Malaysian Property Market

2018 ◽  
Vol 11 (1) ◽  
pp. 27
Author(s):  
Ong Chun Lin ◽  
Hassanudin Mohd Thas Thaker ◽  
Ahmad Khaliq ◽  
Mohamed Asmy Mohd Thas Thaker
Keyword(s):  
Ownership Structure ◽  
Positive Relationship ◽  
Annual Report ◽  
Negative Relationship ◽  
Property Market ◽  
Dividend Payout ◽  
Return On Equity ◽  
Macroeconomic Variables ◽  
Significant Negative Relationship ◽  
Property Companies

The paper aims to investigate the determinants of dividend payout among the Malaysian property companies. The sample size consists of 30 property listed companies on Bursa Malaysia. The data are generally obtained from the company’s annual report for the period of 2012 to 2016. The study employs multiple regression analysis to examine the influence of firms specific and macroeconomic variables on dividend payout. Result of the test shows that the dividend payout has a significant negative relationship with ownership structure and positive relationship on return on equity, quick ratio and GDP. The study instigates to enrich the literature on dividend determinants especially in the context of Malaysia.

scholarly journals A systematic review of dividend policy in relation to stock price volatility

2021 ◽  
Vol 6 (1) ◽  
pp. 92-104
Author(s):  
Sheena Bhatta ◽  
Bal Ram Duwal
Keyword(s):  
Stock Price ◽  
Dividend Policy ◽  
Stock Exchange ◽  
Negative Relationship ◽  
Price Volatility ◽  
Manufacturing Companies ◽  
Dividend Yield ◽  
Stock Price Volatility ◽  
Dividend Payout ◽  
The Impact

When it comes to determining a dividend policy that would maximize shareholder value, focusing merely on how much of the firm’s profit is necessary for dividend distribution and reinvestment is insufficient. It is critical to analyze the impact of their dividend choice on the stock price.The purpose of this study is to scrutinize the impact of dividend policy on stock price volatility. The report investigated the relationship between the dividend policy and stock price volatility taking 8 articles between 2010 to 2020. Likewise, following a systematic literature review method, the study critically analyzed the selected articles based on their strengths and weaknesses. The findings suggest that, in most of the cases demonstrated by authors, dividend policy has a significant negative relationship with the stock price volatility. The stock’s price volatility often decreases after the declaration of dividend payout ratio and dividend yield. Based on the results of this study, it can be implied that, managers of manufacturing companies and banks, those listed in the stock exchange, may be able to reduce the price volatility of their stock by increasing dividend payout and dividend yield. Since the study is limited to 4 databases, further studies could include some more articles from top-rated databases that signify dividend policy in diverse sectors to derive even more accurate results.

scholarly journals Effect of Corporate Governance Index on Dividend Policy: An Investigation of Textile Industry of Pakistan

2017 ◽  
Vol 5 (2) ◽  
Author(s):  
Safdar Husain Tahir ◽  
Sara Sohail ◽  
Saba Babar ◽  
Irtaza Oayyum
Keyword(s):  
Corporate Governance ◽  
Textile Industry ◽  
Dividend Policy ◽  
Positive Impact ◽  
Stock Exchange ◽  
Payout Policy ◽  
Profit Margin ◽  
Dividend Payout ◽  
Governance Index ◽  
The Impact

This study empirically observes the impact of corporate governance index on dividend payout policy by using the data on thirty textile firms listed at Karachi Stock Exchange. The data cover the five-year period from 2009 to 2013. The data were gathered from financial statements of all the sample firms. Multiple regression models were used to check the impact of corporate governance on dividend policy. No effect of corporate governance index on firm dividend policy was found, and the largest shareholders also had no impact on dividend payout policy. A significant positive relationship was found between payout policy and stock value. Gross profit margin and operating profit margin had significant positive impact on the firm’s dividend payout policy. There is a significant correlation between the firm’s performance and payout policy.

scholarly journals Changes in consumers’ awareness and interest in cosmetic products during the pandemic

2022 ◽  
Vol 9 (1) ◽  
Author(s):  
Yeong-Hyeon Choi ◽  
Seong Eun Kim ◽  
Kyu-Hye Lee
Keyword(s):  
Positive Relationship ◽  
Negative Impact ◽  
Positive Impact ◽  
Negative Relationship ◽  
Marketing Strategies ◽  
Cosmetic Products ◽  
Consumer Awareness ◽  
The Future ◽  
Standard Information ◽  
The Impact

AbstractThis research investigates the impact of the COVID-19 pandemic on consumers’ perspectives of beauty and individual cosmetic products. Since the first confirmed case of COVID-19 was announced on December 31st, 2019, the search volumes of Google News have been updated and information on confirmed cases of the disease has been collected. This study used Python 3.7, NodeXL 1.0.1, and Smart PLS 3.0 to analyze consumer awareness of cosmetic products during the pandemic. The results reveal that consumers’ perspectives of beauty are impacted by a pandemic. Global consumers perceive skincare as an important aspect during the pandemic, while the importance of makeup fell after the outbreak. The awareness of skincare and makeup products has changed. The spread of the pandemic (SOP) has a positive impact on skincare products, but a negative impact on makeup products, except for eye makeup products, which was positive. Finally, the SOP was not significant in terms of consumers’ interest in masks. Fifth, interest in masks showed a positive relationship with interest in skincare products, such as cleansing products, while a negative relationship was observed with interest in makeup products. Overall, this study concludes that pandemics certainly have an impact on global consumers’ perspectives. As a pandemic spread, interest in skincare products increases, while interest in makeup products decreases. This study has academic significance in that it investigates the effects of consumption of cosmetic products during the stay-at-home rules. It can be used as standard information for setting marketing strategies in pandemic-like situations in the future.

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