Dividend Essays & Research Papers

Best Dividend Essays

  • Dividend - 5167 Words
    CHAPTER 17 Payout Policy Chapter Synopsis 17.1 Distributions to Shareholders A corporation’s payout policy determines if and when it will distribute cash to its shareholders by issuing a dividend or undertaking a stock repurchase. To issue a dividend, the firm’s board of directors must authorize the amount per share that will be paid on the declaration date. The firm pays the dividend to all shareholders of record on the record date. Because it takes three business days for shares to be...
    5,167 Words | 17 Pages
  • Dividends - 842 Words
    Deal with rational for dividend according to MM Relevance theory, Walter's Model, Gordon’s Growth Model, Graham Dodd Model Deal with rational for dividend according to MM Relevance theory, Walter's Model, Gordon’s Growth Model, Graham Dodd Model Financial Management Assignment 2 Topic: Rational for Dividends By Group 2:- 104 | Anshul Jain 105 | Bhaskar Jain 106 | Pranav Jain 154 | Parth Barot 155 | Subhashish Baruah 156 | Chaitanya Agrawal Financial Management Assignment 2 Topic:...
    842 Words | 3 Pages
  • dividend - 2052 Words
    Dividend policy is concerned with financial policies regarding paying cash dividend in the present or paying an increased dividend at a later stage. Whether to issue dividends, and what amount, is determined mainly on the basis of the company's unappropriated profit (excess cash) and influenced by the company's long-term earning power. When cash surplus exists and is not needed by the firm, then management is expected to pay out some or all of those surplus earnings in the form of cash...
    2,052 Words | 7 Pages
  • Dividend - 1891 Words
    TABLE OF CONTENTS List of Tables i List of Figures iv Abstract v Key Terms ix CHAPTER-1 Introduction 1.1 Introduction to Dividends 1 1.2 A Short History of Dividend Policy 6 1.3 Dividend Policy 9 1.4 Economic Rationale to Dividends 12 1.5 Dividend Policy and its Linkages with other Financial Policies 15 1.6 Pure Vs Smoothed Residual Dividend Policy 16 1.7 Dividend Declaration Process 17 1.8 Alternative Forms of Dividends 18...
    1,891 Words | 29 Pages
  • All Dividend Essays

  • Dividends - 2221 Words
    Recall from previous chapters that debt, preferred stock and common stock are examples of external sources of financing. Retained earnings represent an internal source. We saw how the capital structure decision (i.e. deciding on the optimal mix of equity and debt financing) was so-closely tied to the dividend decision. In essence, capital structure policy affects the dividend decision and vice versa. This chapter, however, focuses on the dividend decision. Realize that the decisions are...
    2,221 Words | 13 Pages
  • Dividends and Dividend Policy - 1197 Words
    Running Head: DIVIDENDS AND DIVIDEND POLICY: DOES DIVIDEND Dividends and Dividend Policy: Does Dividend Policy Matter Ronald Jones University of Phoenix August 21, 2011 Dividends and Dividend Policy: Does Dividend Policy Matter According to Investor Dictionary, corporate finance is the specific area of finance dealing with the financial decisions corporations make, and the tools and analysis used to make the decisions. It may be divided as a whole between long term, capital...
    1,197 Words | 4 Pages
  • Dividend Policy - 5103 Words
    An Empirical Analysis of Dividend Payout Policy Indian Corporate ABSTRACT In the present paper an attempt has been made to assess the dividend payout policies of Indian Companies. For the purpose of study BSE Sensex -30 companies have been selected as sample for the study. To study impact of profitability, liquidity and size of business on dividend payout regression analysis were carried out. An attempt has also been made to calculate estimated dividend payout based on regression...
    5,103 Words | 16 Pages
  • Dividend Policy - 2735 Words
    Capital Markets and Corporate Finance (Stream 1): FINC5001 Dr. Reuben Segara Finance Discipline School of Business University of Sydney 1 Dividend Policy 2 This Lecture PART I – Dividend Fundamentals • • • • What is Dividend Policy? Institutional Features of Dividends Types of Dividend Policies Trends in Dividend Policies PART 2 – Is There An Optimal Dividend Policy? • Dividend Policy is Irrelevant • Dividend Policy is Relevant PART 3 – Alternatives to Dividends • Share...
    2,735 Words | 17 Pages
  • Dividend Relevance - 5565 Words
    How accurate is the statement that “The dividend policy of a firm is irrelevant”. By Mr. George Ekegey Ekeha (MBA – Finance, MBA & BCom) (Lecturer in Corporate Finance & International Finance @ Regent University College of Science & Technology) Email: ekegey24ge@yahoo.co.uk March 2009 THIS PAPER IS PREPARED IN RESPONSE TO A RELEVANT QUESTION TO HELP STUDENTS TAKING CORPORATE FINANCE COURSE. No Part of This Thesis Is To Be Used For Any Purposes, Other Than Academic...
    5,565 Words | 18 Pages
  • Dividend Policy - 3895 Words
     Dividend Policy: Clientele Effects and Signalling Model Literature Review Sharon Theresia 17132233 Corporate Finance 307 Singapore Campus Abstract Two of the most influential dividend policies are being reviewed and compared. in this paper, clientele effects and signalling model are two chosen policies. Findings implied that clientele is shaped by tax preferences of shareholders which in the end will determine companies’ ideal dividend policies. It is also believed that amount of paid...
    3,895 Words | 12 Pages
  • dividend policy - 2601 Words
    THE ROLE OF DIVIDEND POLICY IN STOCK PRICE DETERMINATION IN TELECOMMUNICATION INDUSTRY: THE CASE OF PLDT AND GLOBE FATIMA KAYE A. DE CHAVEZ, LORELLA A. ESPELETA and LESLIE JOY A. PATIO College of Business and Accountancy University of Batangas ABSTRACT The issue of how much a company should pay its stockholders, as dividend is one that has been of concern to managers for a long time. The optimal dividend policy of a firm may be defined as the best dividend payout ratio the firm can...
    2,601 Words | 11 Pages
  • Dividend Policy - 1334 Words
    Learning Zone (Relevant to Paper II – PBE Management accounting and finance) Simon S P Lee, The Chinese University of Hong Kong Dividend Policy Bank distributed a $6.30 dividend per share in 2008. If you purchased shares in Hang Seng Bank at $87 per share, the company’s dividend yield was 7.2% ($6.30/$87) which is much higher than the bank deposit rate. Dividend payout ratio is another important indicator: Dividend payout ratio = Dividend per share ÷ Earnings per share Dividend...
    1,334 Words | 4 Pages
  • Dividend Policy - 6456 Words
    Effects of Dividends on Stock Prices in Nepal Rabindra Joshi* Abstract This paper examines the impact of dividends on stock price in the context of Nepal. A majority of earlier studies conducted in developed countries show that dividend has a strong effect than retained earnings. The study examines whether this is consistent in the context of Nepal (or not) and the implication particularly to the banking and non-banking sector. To achieve the objective of the study, a descriptive and analytical...
    6,456 Words | 17 Pages
  • Residual Dividends - 513 Words
    Chapter 14. Residual Dividends Residual Dividend -2011 Net Income $15.0 Million -2012 Net Income increase by 8% -Capital structure 35% Debt, 65% Equity -2011 paid $3.0 million cash dividends -2012 invest a major capital project; capital budget for the project is $12.0 million 1. Cash dividends 2012: 3,000,000 x (1+0.08) = 3,000,000 x 1.08 = 3,240,000 payout in 2012 2. Dividend Payout ratio 2012...
    513 Words | 2 Pages
  • Dividend Policy - 6347 Words
    Internship Report on Dividend Policy of Uttara Bank Limited Prepared to Md. Rizvy Ahmed Lecturer Faculty of Business Administration Eastern University Prepared by Md. Aminul IslamSarker ID: 082200122 Batch: 16th Major in Finance group Bachelor of Business Administration (Spring semester2013) Mail Address: aminulefg@yahoo.com Eastern University Acknowledgement My first and foremost gratitude goes to Mr. ShuvoMondal, my supervisor at Jatrabari Branch of...
    6,347 Words | 34 Pages
  • Dividend and Topic - 4115 Words
    Chapter 14 Questions: Topic: DIVIDENDS 1. Payments made out of a firm's earnings to its owners in the form of cash or stock are called: A) Dividends. B) Distributions. C) Share repurchases. D) Payments-in-kind. E) Stock splits. Answer: A Topic: REGULAR CASH DIVIDENDS 2. A cash payment made by a firm to its owners in the normal course of business is called a: A) Share repurchase. B) Liquidating dividend. C) Regular cash dividend. D) Special dividend....
    4,115 Words | 26 Pages
  • Shares and Dividends - 2087 Words
    Forms of payment Cash dividends (most common) are those paid out in currency, usually via electronic funds transfer or a printed paper check. Such dividends are a form of investment income and are usually taxable to the recipient in the year they are paid. This is the most common method of sharing corporate profits with the shareholders of the company. For each share owned, a declared amount of money is distributed. Thus, if a person owns 100 shares and the cash dividend is USD $0.50 per share,...
    2,087 Words | 6 Pages
  • Dividend Policy - 2184 Words
    A: Description of dividend policy Dividend policy is an important issue for all top management in every year because company need to make decision about paying the dividend or not and how much of the dividend per share. It means that company may not pay the dividend because it wants to keep more capital to develop the new plans or hope company can have enough money to handle the future problems. On the other hand, company may think that it need to pay the dividend to the shareholders every...
    2,184 Words | 6 Pages
  • dividend policy - 14319 Words
    CHAPTER 13 DIVIDEND POLICY L E A R N I N G LG1 LG2 LG3 Understand cash dividend payment procedures and the role of dividend reinvestment plans. Describe the residual theory of dividends and the key arguments with regard to dividend irrelevance and relevance. Discuss the key factors involved in formulating a dividend policy. G O A L S LG4 Review and evaluate the three basic types of dividend policies. LG5 Evaluate stock dividends from accounting,...
    14,319 Words | 93 Pages
  • Dividend Policy - 338 Words
     FM ASSIGNMENT ON DIVIDEND POLICY Submitted To: Prof. Ramana Rao By Group 1, Ganesh Behera (22074) Udaya Bhaskar (22071) Kasu Varma (22101)...
    338 Words | 7 Pages
  • Dividend Policies - 2067 Words
    The dividend irrelevance theory is a concept that is based on the premise that the dividend policy of a given company should not be considered particularly important by investors. Further, the terms of that dividend policy should not have any bearing on the price of the shares of stock issued by that company. With this particular financial theory, the idea is that investors can always sell a portion of their shares if they want to generate some amount of cash flow. As with most investment...
    2,067 Words | 6 Pages
  • Reasons for Dividends - 507 Words
    REASONS FOR DIVIDENDS Dividend policy is likely to be set in the form of a goal rather than a rigid rule, even though a definite policy has the advantage of providing the investor, or potential investor, a clear basis for choice. Investors knowing the dividend policy of the alternative companies can choose the type of company that best fits their individual investment goals. This is desirable, because stockholders differ in the extent to which they prefer dividends rather than opportunities...
    507 Words | 2 Pages
  • Dividend Policy - 1691 Words
    Dividend policy Dividend policy is concerned with taking a decision regarding paying cash dividend in the present or paying an increased dividend at a later stage. The firm could also pay in the form of stock dividends which unlike cash dividends do not provide liquidity to the investors, however, it ensures capital gains to the stockholders. The expectations of dividends by shareholders helps them determine the share value, therefore, dividend policy is a significant decision taken by the...
    1,691 Words | 7 Pages
  • Dividend Policy - 1563 Words
    Dividend Policy Factors Affecting Dividend Policy: 1. External Factors 2. Internal Factors External Factors Affecting Dividend Policy 1. General State of Economy: * In case of uncertain economic and business conditions, the management may like to retain whole or large part of earnings to build up reserves to absorb future shocks. * In the period of depression the management may also retain a large part of its earnings to preserve the firm's liquidity position. * In periods of...
    1,563 Words | 5 Pages
  • Dividend Policy - 1959 Words
    Dividend Theory 1. Discuss the factors which may impact on a firm’s dividend policy? .Industry and Company Variations Payout ratios vary amongst different industries e.g. firms within the telecoms and utilities sectors may typically payout around 60% of earnings in dividends, whilst retailers and computer software companies may typically payout around 20% of earnings in dividends Legal Constraints 1. Legal constraints can be viewed in the context of three broad...
    1,959 Words | 7 Pages
  • Dividend Policy - 2470 Words
    Dividend Policy Dividend policy Executive summary Once a company makes a profit, they must decide on what to do with those profits. They could continue to retain the profits within the company, or they could pay out the profits to the owners of the firm in the form of dividends. Once the company decides on whether to pay dividends, they may establish a somewhat permanent dividend policy, which may in turn affect investors and perceptions of the company in the financial...
    2,470 Words | 9 Pages
  • Stock Dividend - 1021 Words
    Stock dividend * Definition: * A corporate distribution to shareholders declared out of profits, at the discretion of the directors of the corporation, which is paid in the form of shares of stock, as opposed to money, and increases the number of shares. * A dividend paid as additional shares of stock rather than as cash. If dividends paid are in the form of cash, those dividends are taxable. When a company issues a stock dividend, rather than cash, there usually are not tax...
    1,021 Words | 4 Pages
  • Dividend Policy - 2036 Words
    Stability of dividend policy. There may be three types of dividend policy (1) Strict or Conservative dividend Policy which envisages the retention of profits on the cost of dividend pay-out. It helps in strengthening the financial position of the company; (2) Lenient Dividend Policy which views the payment of dividend at the maximum rate possible taking in view the current earing of the company. Under such policy company retains the minimum possible earnings; (3) Stable Dividend Policy...
    2,036 Words | 7 Pages
  • Dividend Decision - 1540 Words
    DIVIDEND DECISION  The dividend decision is one of the 3 basic decisions which a financial manager maybe required to take, the other two being the investment decisions and the financing decisions. In each period any earnings that remain after satisfying obligations to the creditors, the government and the preference sh.hol can either be retained or paid out as dividends or bifurcated between retained earnings and dividends. The retained earnings can be invested in assets which will help...
    1,540 Words | 6 Pages
  • Theories of Dividend - 1063 Words
    App13A_SW_Brigham_778322_R2 12/24/02 5:14 AM Page 13A-1 13A ILLUSTRATION OF THE THREE DIVIDEND POLICY THEORIES Figure 13A-1 illustrates the three alternative dividend policy theories: (1) Miller and Modigliani’s dividend irrelevance theory, (2) Gordon and Lintner’s bird-in-thehand theory, and (3) the tax preference theory. To understand the three theories, consider the case of Hardin Electronics, which has from its inception plowed all earnings back into the business and thus has never...
    1,063 Words | 6 Pages
  • Dividend Policy - 7015 Words
    january 2011 Dividends: The 2011 guide to dividend policy trends and best practices Published by Corporate Finance Advisory For questions or further information, please contact: Marc Zenner marc.p.zenner@jpmorgan.com (212) 834-4330 Tomer Berkovitz tomer.x.berkovitz@jpmorgan.com (212) 834-2465 John Clark john.hs.clark@jpmorgan.com (212) 834-2156 Evan Junek evan.a.junek@jpmorgan.com (212) 834-5110 DiviDEnDs: ThE 2011 GuiDE To DiviDEnD poliCy TrEnDs anD BEsT praCTiCEs | 1 1....
    7,015 Words | 26 Pages
  • Dividend Policies - 12438 Words
    ABSTRACT The dividend Decision is one of the core elements of modern corporate financial management. A reasonable dividend Decision will help the company in the capital markets and establish a good corporate image for the company's long-term development and create favorable conditions for the listed company's financial decision-making, dividend Decision has a positive significance. Appropriate dividend distribution Decision can not only set a good corporate image, but also to build the...
    12,438 Words | 39 Pages
  • Dividend Policy - 4977 Words
    BY: WAFAA OMAI ADVANCED FINANCAIL MANAGEMENT The purpose of this paper is to help management must decide on the form of the dividend distribution, generally as cash dividends or via a share buyback. Various factors may be taken into consideration: where shareholders must pay tax on dividends, firms may elect to retain earnings or to perform a stock buyback, in both cases increasing the value of shares outstanding. Alternatively, some companies will pay "dividends" from stock rather than in...
    4,977 Words | 15 Pages
  • Dividend Policy - 4729 Words
    THE EFFECT OF DIVIDEND POLICY ON THE MARKET PRICE OF SHARES IN NIGERIA: CASE STUDY OF FIFTEEN QUOTED COMPANIES By Dr. J. J. Adefila Department of Accountancy, University of Maiduguri, Dr. J. A. Oladipo and J.O Adeoti, Both of the Department of Business Administration, University of Ilorin ABSTRACT The issue of how much a company should pay its stockholders, as dividend is one that has been of concern to managers for a long time. The optimal dividend policy of a firm may be defined as the...
    4,729 Words | 13 Pages
  • Dividend Policy - 661 Words
    DIVIDEND POLICY * Under dividend policy you should be ale to explain the following: * Dividend and types of dividend * Dividend policies and factors that affect dividend policy * Theories of dividend policy * It is a proportion of annual accounting profit or accumulated profit paid out to shareholders either in the form of cash or shares. * Dividend is recommended by the Board of directors for the approval of shareholders at Annual General Meeting (AGM). Shareholders...
    661 Words | 3 Pages
  • Dividend Policy - 2414 Words
    Question 1 If we take a look at the company’s compounded annual growth rate in EPS we can see that Georgia Atlantic’s growth rate is really low compared to the industry average. Furthermore we can see from the first table that Georgia Atlantic’s P/E ratio is also lower in all the years as compared to the industry and the M/B ratio is also relatively low compared to the industry. Due to the fact that Georgia Atlantic is operating in a relatively mature market, there is a very low possibility...
    2,414 Words | 7 Pages
  • Dividend Decision - 2110 Words
    Financial Management Unit 15 Unit 15 Structure 15.1 Introduction 15.2 Traditional Approach 15.3 Dividend Relevance Model 15.3.1 15.3.2 Walter Model Gordon’s Dividend Capitalization Model Dividend Decision 15.4 Dividend Irrelevance Theory: Miller and Modigliani Model 15.5 Stability of Dividends 15.6 Forms of Dividends 15.7 Stock Split 15.8 Summary Terminal Questions Answers to SAQs and TQs 15.1 Introduction ...
    2,110 Words | 5 Pages
  • The Setting of Dividend Policy - 509 Words
    THE SETTING OF DIVIDEND POLICY Dividend policy is likely to be set in the form of a goal rather than a rigid rule, even though a definite policy has the advantage of providing the investor, or potential investor, a clear basis for choice. Investors knowing the dividend policy of the alternative companies can choose the type of company that best fits their individual investment goals. This is desirable, because stockholders differ in the extent to which they prefer dividends rather than...
    509 Words | 2 Pages
  • Dividend Irrelevance Theory - 5931 Words
    Dividend irrelevance theoryRelevance or irrelevance of retention for dividend policy irrelevance Carlo Alberto Magni Department of Economics, University of Modena and Reggio Emilia viale Berengario 51, 41100 Modena, Italy Email: magni@unimo.it Abstract. In an interesting recent paper, DeAngelo and DeAngelo (2006) highlight that Miller and Modigliani’s (1961) proof of dividend irrelevance is based on the assumption that the amount of dividends distributed to shareholders is equal or greater...
    5,931 Words | 22 Pages
  • Dividend Policy and Share Prices
    Introduction In this paper the impact of dividend policy of the companies on the firm’s share prices is analysed and different views in the context of the semi-strong form of the efficient market hypothesis are contrasted. The overview of the traditional and most recent empirical investigations of the stock market reaction to the dividend announcements is provided and different findings are discussed and compared. Three companies have been selected from the FTSE All share price index....
    2,457 Words | 10 Pages
  • Corporate Dividend Practice - 519 Words
    CORPORATE DIVIDEND PRACTICE One consideration is the desire to have a relatively stable dividend; the second is the desire to pay out, in the long run, a given fraction of earnings. This fraction is usually referred to as the payout target. These objectives may be conflicting. Earnings tend to fluctuate substantially from year to year. If a corporation routinely paid out a given fraction of those earnings as dividends, then the dividend itself would tend to fluctuate drastically from year to...
    519 Words | 2 Pages
  • Dividend Irrevance Theory - 7017 Words
    CHAPTER ONE 1 INTRODUCTION The term dividend refers to that part of profits of a company which is distributed by the company among its shareholders. It is the reward of the shareholders for investments made by them in the shares of the company. The investors are interested in earning the maximum return on their investments and to maximize their wealth. A company, on the other hand, needs to provide funds to finance its long-term growth. If a company pays out as dividend most of what it...
    7,017 Words | 26 Pages
  • Finance and Dividend Payout Policy
    Questions for Case 26 1. What are the problems here, and what do you recommend? 2. What happens to Gainesboro’s financing need and unused debt capacity if: a. no dividends are paid? b. a 20% payout is pursued? c. a 40% payout is pursued? d. a residual payout policy is pursued? Note that case Exhibit 8 presents an estimate of the amount of borrowing needed. Assume that maximum debt capacity is, as a matter of policy, 40% of the book value of equity. In addition, please...
    770 Words | 3 Pages
  • Minicase Dividend Policy - 1734 Words
    Dividend Policy DEANNA PEREZ FASHIONS, INC. Directed As a young adult in her mid-twenties, Deanna Perez emigrated from Spain with her family to New York City in the early 1950s. Deanna was artistically inclined and loved women’s fashions. Even as a young girl, Deanna had spent hours drawing, designing, and sewing outfits for her dolls; consequently, it was no surprise to her family when she took a job in the fashion industry. It was Deanna’s dream to someday be successful, wealthy, and...
    1,734 Words | 5 Pages
  • Analysis of Dividend Policy - 2523 Words
    Xavier institute of social service,Ranchi ANALYSIS OF DIVIDEND POLICY OF HERO MOTO CORP & TVS MOTOR . By Anand Shankar Prity sagar Geeta shree pingua Hero Motocorp Ltd., formerly Hero Honda, is an Indian motorcycle and scooter...
    2,523 Words | 8 Pages
  • Paper Presentation on Dividend Policy
    Paper Presentation on Dividend Theory (a theoretical review) 9 Presented by: |ABDULMUMIN, Biliqees Ayoola |UIL/PG2012/105873 | |ADEJARE, Rukayat Bukola |UIL/PG2012/104601 | |AMUJO, Emmanuel Temitope |UIL/PG2012/103958...
    6,421 Words | 30 Pages
  • Signaling Approach on dividend policy
    Signaling Approach on dividend policy Introductory Paragraph The title of the article that I have chosen is “The Information Content of Dividends- A Signaling Approach” which was written by Sasson Bar-Yosef and Lucy Huffman. It is a journal of Financial And Quantitative Analysis, Volume 21 Number. 1. The date of publication was on 1 March 1986. Summary of the Article The purpose of this article is to do the investigation and analysis to see how a corporation makes the decisions of dividend...
    853 Words | 3 Pages
  • Stability of Dividends in India - 10549 Words
    NSE Research Initiative, Project Report no. 229 / 2009 Determinants and the Stability of Dividends in India: Application of Dynamic Partial Adjustment Equation using Extended Instrumental Variable Approach Dr. Manoj Subhash Kamat Dr. Manasvi Manoj Kamat Summary This paper improves on earlier research on stability and determinants of dividend policies by using a more advanced estimation methodology, a larger and more representative sample of panel data (PD), and different proxies for a...
    10,549 Words | 33 Pages
  • Case For Exam Dividend Policy
    Dividend Policy FPL Group Inc Financial Management - I Group 11 Kinnari 20121026 | Krutika P 20121028 | Tushar 20121058 | Vijay 20121062 Agenda  Case Background  Decision Rationale  Financial Analysis Reflection and conclusion Financial Management – I | Dividend Policy at FPL Group Inc. Case Backgound Synopsis Current Situation Case Description Recommendation Competitive Position Financial Management – I | Dividend Policy at FPL Group Inc. Background behind FPL’s decision in...
    1,192 Words | 7 Pages
  • Dividend Theories and Their Arguments
    International Bulletin of Business Administration ISSN: 1451-243X Issue 9 (2010) © EuroJournals, Inc. 2010 http://www.eurojournals.com Dividend Policy: A Review of Theories and Empirical Evidence Husam-Aldin Nizar Al-Malkawi Corresponding Author, Faculty of Business, ALHOSN University P.O. Box 38772 - Abu Dhabi, UAE E-mail: h.almalkawi@alhosnu.ae Michael Rafferty Senior Research Analyst, WRC, University of Sydney, Australia E-mail: m.rafferty@econ.usyd.edu.au Rekha Pillai Faculty of...
    19,059 Words | 53 Pages
  • Dividend Analysis of Banking Industry
    Leading Determinants of Dividend Policy: A Case Study of Indian Banking Industry ABSTRACT: Dividend policy is a critical decision area in the field of finance. The subject of corporate dividend policy has captivated finance scholars for a long time, resulting in intensive theoretical modeling and empirical investigation. But several questions related to dividend decisions remain perplexing because of diverse and conflicting theories and evermore due to diverse empirical results. This paper...
    5,957 Words | 20 Pages
  • Dividend Policy Determinants - 1747 Words
    Past related study This part of the article review contains a brief review of dividend theories along with the major empirical evidence for and against the dividend theories, a brief summary of the results of empirical analysis of determinants of dividend policy by country. Theoretical and empirical backgrounds of the article cover the last fifty years research outcomes on firm value and dividend policy of the firm. Summarizing all these works, there are three dominating views. The first,...
    1,747 Words | 5 Pages
  • Dividend Policy Trends - 23401 Words
    Dividend Policy of Indian Corporate Firms: An Analysis of Trends and Determinants Dr. Y. Subba Reddy1 The present study examines the dividend behavior of Indian corporate firms over the period 1990 – 2001 and attempts to explain the observed behavior with the help of trade-off theory, and signaling hypothesis. Analysis of dividend trends for a large sample of stocks traded on the NSE and BSE indicate that the percentage of companies paying dividends has declined from 60.5 percent in 1990 to...
    23,401 Words | 73 Pages
  • Dividend Policy at Fpl - 820 Words
    DIVIDEND POLICY AT FPL GROUP, INC. (Case report) Subject: Dividend Policy at FPL Group, Inc. Problem: Should Kate Stark revise her current investment recommendation of “hold” on FPL’s stock to her clients? Options: 1) To change her “hold” recommendation to a “buy” recommendation 2) To change her “hold” recommendation to a “sell” recommendation 3) Remain unchanged; continue with the “hold” recommendation Recommendation: Table of Contents Overview 3 Analysis 4 Overview In...
    820 Words | 3 Pages
  • Dividend Policy Theories - 703 Words
    Question 1: There are a number of theories regarding the relevance of dividend policy-discuss these theories. In what situations might management decide to increase dividends? Dividend Irrelevance Theory Much like their work on the capital-structure irrelevance proposition, Modigliani and Miller also theorized that, with no taxes or bankruptcy costs, dividend policy is also irrelevant. This is known as the dividend-irrelevance theory, indicating that there is no effect from dividends on a...
    703 Words | 3 Pages
  • Dividend Policy & Capital Structure
    “Comparative Analysis of Dividend Policy & Capital Structure” Prepared For: Lutfur Rahman Senior Lecturer, Department of Business Administration, East West University. Course Code: FIN-435 Course Title: Managerial Finance Prepared By: Md. Habibur Rahman Utpal Kumar Ghosh ID: 2006-2-10-175 ID: 2006-2-10-179 Date of Submission: August 11, 2009 East West University 43, Mohakhali C/A, Dhaka-1212 Introduction   Origin of the Report: Mr. Lutfur Rahman, Senior Lecturer, East West...
    6,427 Words | 24 Pages
  • Fpl's Dividend Decision - 597 Words
    Major issues of FPL in 1994: - Negotiation between FPL and FERC (Federal Energy Regulatory Commission) to settle the lawsuit against FPL for changing excessive rates and denying fair access to its transmission system. - Lower investment rate due to the fact that FPL probably does not raise dividends as discussed - Suggestion of dividend cuts by FPL’s managers - FPL’s stock price has fallen by 19.6% while the S&P index has decreased by 22.1% - Rising interest rate and increasing...
    597 Words | 2 Pages
  • Factors of Bank Dividend Policy
    The current issue and full text archive of this journal is available at www.emeraldinsight.com/0307-4358.htm Explanatory factors of bank dividend policy: revisited John Theis and Amitabh S. Dutta D. Abbott Turner College of Business, Columbus State University, Columbus, Georgia, USA Abstract Purpose – The purpose of this paper is to examine the Dickens et al. model of bank holding company dividend policy. They identified five explanatory factors in a sample of bank holding companies...
    4,268 Words | 14 Pages
  • Stock and Dividend Payout - 461 Words
    ABMF5345 CASE STUDY IN FINANCE & INVESTMENT CASE STUDY 3 (15%) Case 3: Gainsboro Machine Tools Corp (GMTC) Read the following about GMTC (GMTC). The questions posed to you are: - 1. In theory, to fund an increased dividend payout or a stock buyback, a firm might invest less, borrow more, or issue more stock. Which of those three elements is Gainesboro’s management willing to vary, and which elements remain fixed as a matter of the company’s policy? 2. What happens to Gainesboro’s...
    461 Words | 3 Pages
  • Avon's Dividend Policy - 1699 Words
    TABLE OF CONTENTSINTRODUCTION3PERFORMANCE OF AVON'S STOCK FROM 1978-19883EVALUATION OF AVON' S FINANCIAL CONDITION IN MID-19885PURPOSE OF THE EXCHANGE OFFER6EVALUATION OF THE TRADE-OFF7REFERENCES10INTRODUCTIONA firm's decisions about dividends are often mixed up with other financing and investment decisions. Some firms pay low dividends because management is optimistic about the firm's future and wishes to retain earnings for expansion. Other firms might finance capital expenditures largely by...
    1,699 Words | 6 Pages
  • Dividend Practices Of Commercial Banks
    DIVIDEND PRACTICES OF COMMERCIAL BANKS AND ITS IMPACT ON STOCK PRICE By MAHIM BHATTARAI Shanker Dev Campus T.U. Regd. No. : 7-1-48-1494-2000 Campus Roll No. : 1889/062 A Thesis Submitted to: Office of the Dean Faculty of Management Tribhuvan University In partial fulfillment of the requirement for the Degree of Master of Business Studies (M.B.S) Kathmandu, Nepal July, 2009 RECOMMENDATION This is to certify that the Thesis Submitted by: MAHIM BHATTARAI Entitled: DIVIDEND...
    46,484 Words | 321 Pages
  • Does a dividend policy matter?
    INTRODUCTION That report is a detailed review of dividend policy and whether or not could affect the market value of the company. When companies make profits, managers have to decide either to reinvest those profits for the good of company or either they could pay out the owners (shareholders) of the firm in dividends. Once they decide to pay dividends they may possibly establish a permanent dividend policy, which is the set of guidelines a company uses in order to decide how much of its...
    1,574 Words | 5 Pages
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  • Coca-Cola Dividend Policy
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  • Dividend Policy at Fpl Group
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  • Determinates of Dividend Policy Apple
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  • Trend of Dividends Policy in Nigeria
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    Assignment 1 Examined topic or field of the literature review article The article is called Dividend policy: A review of Theories and Empirical Evidence. In this article, the main theories on dividend policy are described and their credibility is evaluated. Connection between the reviewed paper and my research proposal According to my research proposal, the master thesis topic will be “Comparative analysis of companies’ dividend policy: international perspective”. Therefore, the...
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  • Determinants of Dividend Payout Ratio
    Determinants of Dividend Payout-Ratio: A Study of Philippine Stock Exchange-Listed Banks, 2007-2011 Introduction Dividend policy is one of the most controversial subjects in finance literature and still `management always ponders about the dividend payment and also why investors need to pay attention on dividend. It is also a corporate profit that is paid out or considered as an income by the corporation to be distributed to its shareholders as a reward for investing. It is also considered...
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  • Dividend Policy of Porsche - 1410 Words
    Paying out dividends belongs to the easiest way to communicate financial well-being and shareholder value, since they are sending out a powerful message about future prospects and performances. The willingness, and also the ability of companies to pay out steady dividends and maybe even to increase them, provides the shareholder with valuable information about the company's fundamentals. Wherever you are looking for information regarding dividends, you will find statements about their...
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  • Corporate dividend payout policy
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  • Dividend Policy and Its Impact on Stock Price
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  • Is the company worth nothing when no dividends?
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  • Dividend Policy at Fpl Group, Inc.
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  • 4 Dividends Share Repurchase 1
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  • Impact of Dividend Policy on Capital Structure
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  • Impact of Dividend Policy on Capital Structure
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  • Why Do Firms Pay Dividends? International Evidence on the Determinants of Dividend Policy*
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  • Distributions to Shareholders: Dividends and Share Repurchases
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  • Impact of Dividend Policy on Shareholders Wealth
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  • Determinants of dividend policy the case of Vietnam
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  • Dividend Payout Ration - Case Study
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  • Dividend Payout Policy_ Individual Assignment
    AF4320 Corporate Finance Semester 1, 2013-2014 Individual Written Assignment This essay will trace the dividend payouts of three public companies in the last consecutive fifteen years and find the key factors which affect a company’s payout policy. The three public companies, namely Hutchison Whampoa Limited (HWL), CLP Holdings Limited (CLP), and The Bank of East Asia (BEA), are all the constituent stocks of the Hang Seng Index. HWL  Dividend Payout History over Last Fifteen Years...
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  • Impact of Dividend Policy on Companies’ Performance
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  • Dividend Policy at Fpl Group, Inc.
    Problem Kate Stark, the electric utilities analyst at First Equity Securities Corporation was faced with a decision involving FPL Group on May 5, 1994. Three weeks earlier, she had valued FPL with a “hold” recommendation due to the belief that FPL would either keep its dividend payout at $2.48 or increase it slightly. Today however, she saw a report from Merrill Lynch stating that they were downgrading FPL stock due to management’s concern that the dividend payout was too high given the...
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  • Dividend Policy Link Bewteen Theory & Practice
    Abstract: The study also examines the influence of liquidity, leverage, profitability, growth, and ownership structure, and market capitalization on the dividend rate. The study reveals that as per dividend irrelevance theory dividend policy has no influence on value of the firm for the reason of homemade dividend according to dividend relevance theory, value of the firm is influenced by dividend policy because of certainty, information content and clientele effect; liquidity, availability of...
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  • Dividend Policy of Large Publicly-Traded Company: Tesco
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  • Agency Problems and Dividend Policies Around the World
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