This study aimed to determine the effects of operating cash flows and net income on dividend cash. The hypothesis taken was that H1 effect flow dividends H2 dividends. population this were food beverage companies registered in Indonesia Stock Exchange (IDX) 2015 – 2019. sampling method used purposive sampling, is sample selection with certain criteria. Eight met criteria obtained, so total size...

The purpose of this study is to empirically examine the effect operating cash flow and earnings on stock returns dividends/cash dividends. This uses independent variables, namely profit, dependent variable research sample was taken from basic chemical industrial companies listed Indonesian exchange. Sampling done by using purposive sampling method. data collected secondary official website Indo...

We consider the optimal dividends problem for a company whose cash reserves follow a general Lévy process with certain positive jumps and arbitrary negative jumps. The objective is to find a policy which maximizes the expected discounted dividends until the time of ruin. Under appropriate conditions, we use some recent results in the theory of potential analysis of subordinators to obtain the c...

Using more than 112,000 firm-year observations in 33 countries, we find that two Hofstede’s cultural dimensions, uncertainty avoidance and long-term orientation, remain significant in the determination of dividend policy even after controlling for governance and firm-specific factors. When uncertainty avoidance is high, only firms in countries with stronger investor protection pay more dividend...

This paper develops and tests a dynamic, sequential equilibrium model of corporate cash payout policy that endogenizes a firm's dividend initiation decision, and its extreme reluctance to subsequently cut dividends in a sequential equilibrium. After payment of dividends, all excess cash is disgorged via stock repurchases that elicit no price reactions. The theoretical model generates results co...

From the existing literature, it is not clear what effect financing constraints have on the sensitivities of firms’ investment to their cash flow. I propose an explanation that reconciles the conflicting empirical evidence. I present two models: The unconstrained model, in which firms can raise external funds, and the constrained model, in which firms cannot do so. Using low dividends to identi...

This paper examines the relative importance of earnings and operating cash flows in equity valuation. In contrast to previous studies that use stock returns or future operating cash flows, we use ex post intrinsic value of equity as the criterion for comparison. Ex post intrinsic value of equity is determined adopting both the discounted dividend and residual income models with ex post (future)...

Abstract We derive a consistent valuation approach that integrates the interdependent effects of cash dividends, share repurchases and active debt management while considering personal taxes. The is based on assumption predetermined proportion flow to equity used for instead dividends. Additionally, we examine cost by deriving appropriate adjustment formulae. Furthermore, run simulations invest...

This paper examines the causes and consequences of hedge fund activism. Hedge funds target profitable and healthy firms, with above-average cash holdings. The target firms earn significantly higher abnormal stock returns around the initial 13D filing date than a sample of control firm. However, they do not show improvements in accounting performances in the year after the initial purchase. Inst...

A profession serves a public purpose. Consequently, an outline of the history of the actuarial profession must follow the public purposes served by actuaries in applying their basic science. The formation in London in 1762 of the Society for Equitable Assurances on Lives and Survivorships as a mutual company, initiated a process that created a public purpose for actuaries. A mutual insurance co...