Debt/Equity Ratios and Asset Pricing Analysis

The impact of dividend payment on firm value is a subject ongoing debate by academics and practitioners. We examine the policy Nigerian manufacturing companies over period 2010 2018. Pooled ordinary least square (OLS) fixed effect regression analysis was applied twenty thirty-five listed Nigeria Stock Exchange (NSE). result indicates significant positive relationship between payout ratio, per s...

A binomial lattice based framework for the analysis of finite investment options with finite operational phase is developed. Solutions for European and American type finite horizon investment options with optimal capital structure and a multi-stage investment setting with multiple debt issues are discussed. The analysis shows that optimal leverage ratios are not affected by option moneyness at ...

We contend that economic preferences over risk-taking in different subnational regions worldwide affect fundamental aspects of firms’ corporate financing, namely financing costs and capital structure. study this hypothesis, by hand-matching with the corresponding regional preferences. Our baseline results show credit bond pricing increase higher preferences, whereas such yield lower ratios book...

for their advice on an earlier version where a static model was developed. Abstract This paper develops a model in which an optimal capital structure and an optimal debt maturity are jointly determined in a stochastic interest rate environment. Valuation formulas are derived in closed form and numerical solutions are used to obtain comparative statics. The model yields leverage ratios and debt ...

Most American households carry debt, yet we have little understanding of how debt influences health behavior, especially health care seeking. We examined associations between foregone medical care and debt using a population-based sample of 914 southeastern Michigan residents surveyed in the wake of the late-2000s recession. Overall debt and ratios of debt to income and debt to assets were posi...

this study examines the empirical validity of claims that value stocks (stocks with high ratios of book value to price) have higher average returns than growth stocks (stocks with low book-to-market ratios). the analyses are performed using data pertaining to 70 firms for the period 1381-1389 and used the panel data methodology. this paper contains significant and consistent results. the result...

Implementation credit rating for Corporates is influenced by Different circum-stances, systems, processes, and cultures in each country. In this study, we pro-posed a Factor analysis modified approach for determine important factors on real data set of 123 accepted corporate in Tehran Securities Exchange for the years 2009-2017 of diverse range of 52 variable. We estimated the priority score fo...