Reversal of fortune dividend signaling and the disappearance of sustained earnings growth
作者： Harry DeAngelo , Linda DeAngelo , Douglas J. Skinner
DOI: 10.1016/0304-405X(95)00850-E
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摘要: Abstract We study the signaling content of managers' dividend decisions for 145 NYSE firms whose annual earnings decline after nine or more consecutive years growth. Using a variety model specifications and definitions favorable signals, we find virtually no support notion that help identify with superior future earnings. Dividends tend not to be reliable signals because (i) behavioral bias (overoptimism) leads managers overestimate when growth prospects fade; (ii) make only modest cash commitments they increase dividends, undermining reliability such signals.
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