Access the full text.
Sign up today, get DeepDyve free for 14 days.
Devashish Mitra, James Owers (1995)
DIVIDEND INITIATION ANNOUNCEMENT EFFECTS AND THE FIRM'S INFORMATION ENVIRONMENTJournal of Business Finance & Accounting, 22
M. Harris, A. Raviv (1990)
Capital Structure and the Informational Role of DebtJournal of Finance, 45
S. Bhattacharya (1979)
Imperfect Information, Dividend Policy, and "The Bird in the Hand" FallacyThe Bell Journal of Economics, 10
S. Teoh, I. Welch, T. Wong (1998)
Earnings Management and the Long-Run Market Performance of Initial Public OfferingsJournal of Finance, 53
S. Penman (1983)
The Predictive Content of Earnings Forecasts and DividendsJournal of Finance, 38
Kenneth Eades, Patrick Hess, E.Han Kim (1985)
Market rationality and dividend announcementsJournal of Financial Economics, 14
A Kane, YK Lee, A Marcus (1984)
Earnings and dividend announcements: Is there a corroboration effect?Journal of Finance, 39
Robert Holthausen, D. Larcker, Richard Sloan (1995)
Annual bonus schemes and the manipulation of earningsJournal of Accounting and Economics, 19
Mukesh Bajaj, Anand Vijh (1995)
Trading Behavior and the Unbiasedness of the Market Reaction to Dividend AnnouncementsJournal of Finance, 50
PM Healy, KG Palepu, RS Ruback (1992)
Does corporate performance improve after mergers?Journal of Financial Economics, 31
Stewart Brown (1978)
Earnings Changes, Stock Prices, and Market EfficiencyJournal of Finance, 33
Kose John, Joseph Williams (1983)
Dividends, Dilution, and Taxes: A Signalling EquilibriumJournal of Finance, 40
R. Porta, Florencio Silanes, Andrei Shleifer (1998)
Corporate Ownership Around the WorldCorporate Finance and Organizations eJournal
Patricia Dechow (1994)
Accounting earnings and cash flows as measures of firm performance : The role of accounting accrualsJournal of Accounting and Economics, 18
Srinivasan Rangan (1998)
Earnings management and the performance of seasoned equity offeringsJournal of Financial Economics, 50
J. Woolridge (1983)
Dividend Changes and Security PricesJournal of Finance, 38
C. Holderness, R. Kroszner, D. Sheehan (1998)
Were the Good Old Days that Good? Changes in Managerial Stock Ownership Since the Great DepressionCorporate Finance: Governance
John Mcconnell, H. Servaes (1990)
Additional evidence on equity ownership and corporate valueJournal of Financial Economics, 27
D. Collins, P. Hribar (1999)
Errors in Estimating Accruals: Implications for Empirical ResearchSamuel Curtis Johnson Graduate School of Management at Cornell University Research Paper Series
Richard Rendleman, Charles Jones, H. Latané (1982)
Empirical anomalies based on unexpected earnings and the importance of risk adjustmentsJournal of Financial Economics, 10
David Belsley, E. Kuh, R. Welsch (1980)
Regression Diagnostics: Identifying Influential Data and Sources of Collinearity
E. Bergstrom, R. Cornwallis, A. Smith (1960)
The Bird in the Hand, 31
PC Venkatesh (1989)
The impact of dividend initiation on the information content of earnings announcements and returns volatilityJournal of Business, 62
S. Bhattacharya (1980)
Nondissipative Signaling Structures and Dividend PolicyQuarterly Journal of Economics, 95
S. Claessens, Simeon Djankov, Larry Lang (1999)
The Separation of Ownership and Control in East Asian CorporationsCorporate Finance and Organizations eJournal
Michael Mikhail, Beverly Walther, R. Willis (2003)
Reactions to Dividend Changes Conditional on Earnings QualityJournal of Accounting, Auditing & Finance, 18
S. Chang, Sonnan Chen (1991)
Information effects of earnings and dividend announcements on common stock returns: Are they interactive?Journal of Economics and Business, 43
R. Leftwich, M. Zmijewski (1994)
Contemporaneous Announcements of Dividends and EarningsJournal of Accounting, Auditing & Finance, 9
E. Fama, K. French (1992)
The Cross‐Section of Expected Stock ReturnsJournal of Finance, 47
A. Kalay (1985)
Predictable events and excess returns: The case of dividend announcementsJournal of Financial Economics, 14
S Claessens, S Djankov, LHP Lang (2000)
The separation of ownership and control in East Asian corporationsJournal of Financial Economics, 58
Gustavo Grullon, Roni Michaely, B. Swaminathan (2002)
Are Dividend Changes a Sign of Firm MaturityThe Journal of Business, 75
Hong Xie (2001)
THE MISPRICING OF ABNORMAL ACCRUALSThe Accounting Review, 76
Jennifer Gaver, K. Gaver, J. Austin (1995)
Additional evidence on bonus plans and income managementJournal of Accounting and Economics, 19
P. Healy, K. Palepu, Richard Ruback (1990)
Does Corporate Performance Improve after Mergers?Management Practice
Patricia Dechow, Richard Sloan, A. Sweeney (1994)
DETECTING EARNINGS MANAGEMENTAccounting review: A quarterly journal of the American Accounting Association, 70
Andrew Christie, M. Joye, R. Watts (1991)
Decentralization of the Firm: Theory and EvidenceJournal of Corporate Finance, 9
Joseph Fan, T. Wong (2000)
Corporate Ownership Structure and the Informativeness of Accounting Earnings in East AsiaAFA 2001 New Orleans Meetings (Archive)
Merton Miller, Kevin Rock (1985)
Dividend Policy under Asymmetric InformationJournal of Finance, 40
D. Burgstahler, Ilia Dichev (1997)
Earnings Management to Avoid Earnings Decreases and LossesJournal of Accounting and Economics, 24
J. Aharony, Itzhak Swary (1980)
Quarterly Dividend and Earnings Announcements and Stockholders' Returns: An Empirical AnalysisJournal of Finance, 35
E. Kasanen, J. Kinnunen, J. Niskanen (1996)
Dividend-based earnings management: Empirical evidence from FinlandJournal of Accounting and Economics, 22
R. Morck, Andrei Shleifer, Robert Vishny (1988)
Management Ownership and Market Valuation: An Empirical AnalysisJournal of Financial Economics, 20
S. Benartzi, Roni Michaely, R. Thaler (1997)
Do Changes in Dividends Signal the Future or the PastJournal of Finance, 52
K. Palepu, P. Healy (1993)
The Effect of Firms' Financial Disclosure Strategies on Stock Prices
Robert Holthausen (1990)
Accounting method choice: Opportunistic behavior, efficient contracting, and information perspectivesJournal of Accounting and Economics, 12
Merton Miller (1958)
The Cost of Capital, Corporation Finance and the Theory of InvestmentThe American Economic Review, 48
Merton Miller, F. Modigliani (1961)
DIVIDEND POLICY, GROWTH, AND THE VALUATION OF SHARESThe Journal of Business, 34
R La Porta, F Lopez-De-Silanes, A Shleifer (1999)
Corporate ownership around the worldJournal of Finance, 54
P. Venkatesh (1989)
The Impact of Dividend Initiation on the Earnings Announcements and Returns VolatilityThe Journal of Business, 62
CG Holderness, RS Kroszner, DP Sheehan (1999)
Were the good old days that good? Changes in managerial stock ownership since the great depressionJournal of Finance, 54
P Hribar, DW Collins (2002)
Errors in estimating accrual: Implications for empirical researchJournal of Accounting Research, 40
Stephen Brown, Jerold Warner (1985)
Using daily stock returns: The case of event studiesJournal of Financial Economics, 14
B. Barber, J. Lyon (1997)
Detecting Long-Run Abnormal Stock Returns: The Empirical Power and Specification of Test StatisticsJournal of Financial Economics, 43
H. DeAngelo, L. Deangelo, Douglas Skinner (1992)
Dividends and LossesJournal of Finance, 47
H. White (1980)
A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for HeteroskedasticityEconometrica, 48
J. Jones (1991)
Earnings Management During Import Relief InvestigationsJournal of Accounting Research, 29
J. Lintner (1956)
DISTRIBUTION OF INCOMES OF CORPORATIONS AMONG DIVIDENDS, RETAINED EARNINGS AND TAXES, 46
Merle Erickson, Shiing-wu Wang (1999)
Earnings Management by Acquiring Firms in Stock for Stock MergersJournal of Accounting and Economics, 27
S. Easton (1991)
Earnings and Dividends: Is There an Interaction Effect?Journal of Business Finance & Accounting, 18
Mark Defond, Chul Park (1997)
Smoothing income in anticipation of future earningsJournal of Accounting and Economics, 23
Doron Nissim, Amir Ziv (2001)
Dividend Changes and Future ProfitabilityJournal of Finance, 56
R. Conroy, Kenneth Eades, Robert Harris (2000)
A Test of the Relative Pricing Effects of Dividends and Earnings: Evidence from Simultaneous Announcements in JapanJournal of Finance, 55
PM Healy, KG Palepu (1988)
Earnings information conveyed by dividend initiations and omissionsJournal of Financial Economics, 21
D Mitra, J Owers (1995)
Dividend initiation announcement effects and the firm's information environmentJournal of Accounting, Auditing, and Finance, 22
Richard Sloan (1998)
Do Stock Prices Fully Reflect Information in Accruals and Cash Flows About Future EarningsThe Accounting Review, 71
P. Asquith, D. Mullins (1983)
The Impact of Initiating Dividend Payments on Shareholders' WealthThe Journal of Business, 56
Mukesh Bajaj, Anand Vijh (1990)
Dividend clienteles and the information content of dividend changesJournal of Financial Economics, 26
The literature has suggested that earnings and earnings forecasts provide stronger signals than dividends about future performance of a firm. We test the information effects of simultaneous announcement of earnings and dividends in the Hong Kong market, distinguished by three interesting features (concentrated family-shareholdings, low corporate transparency, and no tax on dividends). Our results show significant share price reactions to unexpected earnings and dividend changes, but dividends appear to play a dominant role over earnings in pricing, a result contrary to findings in the literature. The signaling hypothesis works primarily for firms with earning increases, while the maturity hypothesis works mainly for firms with earnings declines.
Review of Quantitative Finance and Accounting – Springer Journals
Published: Oct 24, 2006
Read and print from thousands of top scholarly journals.
Already have an account? Log in
Bookmark this article. You can see your Bookmarks on your DeepDyve Library.
To save an article, log in first, or sign up for a DeepDyve account if you don’t already have one.
Copy and paste the desired citation format or use the link below to download a file formatted for EndNote
Access the full text.
Sign up today, get DeepDyve free for 14 days.
All DeepDyve websites use cookies to improve your online experience. They were placed on your computer when you launched this website. You can change your cookie settings through your browser.