THE EFFECT OF DIVIDEND POLICY ON SHARE PRICES OF BURSA MALAYSIA LISTED COMPANIES

IF 2.4 Q2 ENGINEERING, INDUSTRIAL

International Journal of Industrial Engineering and Management Pub Date : 2023-03-28 DOI:10.15282/ijim.17.1.2023.9203

Norshafizah Binti Hanafi, Radhiah Binti Halid, Fazilah Mohd Othman

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引用次数: 1

Abstract

The objective of this study is to determine the effects of dividend policies on share prices with an emphasis on companies listed on the FTSE Bursa Malaysia 100 (FBM100) index. These research aims to investigate and examine the effect of dividend policy on the share prices performance of listed companies under FTSE FBM100. This study measures a relationship between dividend policies (independent variables) which include dividend yield, volume traded, dividend payout, and company size, return on invested capital, free cash flow yield, volume traded (control variables) toward share price as dependent variable. The effects of dividend policy on share price movement are one of the most disputed topics in corporate finance. The share price is the most common factor for investors when making decision to buy shares. Various empirical studies can be found examining and analyzing the effect of dividend policy on share prices, however, the results are inconsistent. This study focused on the effect of dividend policy on share prices of companies listed on the FTSE (Financial Time Stock Exchange) FBM100 index from 2011 to 2020.. A total of 56 companies are sampled in this study after filtering, and data were analyzed using the regression model. The results of panel data regression model indicated that dividend payout has an insignificant effect on share prices, however, dividend yield has negative and significant effect on share price. Return on invested capital, volume traded, and company sizes by market capitalization have significant effect on share price while free cash flow yield had no significant effect. As a result, dividend policy has considerable impact on share prices. Thus, the result is important. The findings of this study are expected to serve as a reference for companies in establishing dividend policies that will improve company performance and for investors in considering whether it should retain, increase, or decrease their stake in the company.

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红利政策对马来西亚交易所上市公司股价的影响

本研究的目的是确定股息政策对股价的影响，重点是在富时马来西亚100指数(FBM100)上市的公司。本研究旨在调查和检验股利政策对富时100指数成分股公司股价表现的影响。本研究衡量了股息政策(自变量)之间的关系，包括股息收益率，交易量，股息支付，公司规模，投资资本回报率，自由现金流收益率，交易量(控制变量)对股价的因变量。股利政策对股价变动的影响是公司财务中最具争议的话题之一。股票价格是投资者决定购买股票时最常见的因素。研究和分析股利政策对股价影响的实证研究很多，但结果并不一致。本研究主要研究2011 - 2020年股利政策对富时证券交易所FBM100指数上市公司股价的影响。经筛选后，本研究共选取56家企业作为样本，采用回归模型对数据进行分析。面板数据回归模型的结果表明，股利支付对股价的影响不显著，而股利收益率对股价的影响为负且显著。投资资本回报率、交易量和公司市值规模对股价有显著影响，而自由现金流收益率对股价无显著影响。因此，股息政策对股价有相当大的影响。因此，结果很重要。本研究的结果有望为公司制定股息政策提供参考，以提高公司绩效，并为投资者考虑是否应保留，增加或减少其在公司的股份。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

International Journal of Industrial Engineering and Management Business, Management and Accounting-Business, Management and Accounting (miscellaneous)

CiteScore

5.00

自引率

17.20%

发文量

审稿时长

21 weeks

期刊介绍： International Journal of Industrial Engineering and Management (IJIEM) is an interdisciplinary international academic journal published quarterly. IJIEM serves researchers in the industrial engineering, manufacturing engineering and management fields. The major aims are: To collect and disseminate information on new and advanced developments in the field of industrial engineering and management; To encourage further progress in engineering and management methodology and applications; To cover the range of engineering and management development and usage in their use of managerial policies and strategies. Thus, IJIEM invites the submission of original, high quality, theoretical and application-oriented research; general surveys and critical reviews; educational or training articles including case studies, in the field of industrial engineering and management. The journal covers all aspects of industrial engineering and management, particularly: -Smart Manufacturing & Industry 4.0, -Production Systems, -Service Engineering, -Automation, Robotics and Mechatronics, -Information and Communication Systems, -ICT for Collaborative Manufacturing, -Quality, Maintenance and Logistics, -Safety and Reliability, -Organization and Human Resources, -Engineering Management, -Entrepreneurship and Innovation, -Project Management, -Marketing and Commerce, -Investment, Finance and Accounting, -Insurance Engineering and Management, -Media Engineering and Management, -Education and Practices in Industrial Engineering and Management.