Reaction of Share Prices to Dividend Policy of Non-Financial Firms in Nigeria: a Panel Data Approach

• Autorzy: Nkechi A. Emeka-Nwokeji , Efeeloo Nangih , Christian O. Chiedu , Ebele N. Ekwunife
• Języki publikacji: EN

Abstrakty

EN

The study analyzed how share prices react to dividend policies of non-financial firms in Nigeria. Data were collected from a sample of 31 non-financial firms using an ex post facto research design from 2013 to 2019, resulting in 217 firm-specific observations. Descriptive statistics, diagnostic tests, and inferential statistics were used as statistical tools of analysis. Results revealed that dividend per share positively and significantly affects share prices of sampled firms. This finding affirms Gordon's bird in hand theory that share prices are affected by dividend. Dividend payout ratio, dividend yield, firm, size and firm age do not have significant effect on share prices of sampled firms. Consequently, the study recommends that firms should ensure that a good dividend policy is implemented and that dividend per share policies are maintained, as this has been empirically demonstrated to influence share prices. (original abstract)

Słowa kluczowe

EN

Shares prices; Dividend policy; Capital market; Panel data

PL

Ceny akcji; Polityka dywidend; Rynek kapitałowy; Dane panelowe

• Czasopismo: Copernican Journal of Finance & Accounting
• Rocznik: 2022
• Tom: 11
• Numer: nr 2
• Strony: 31--49

Twórcy

autor

Nkechi A. Emeka-Nwokeji

• Chukwuemeka Odumegwu Ojukwu University, Nigeria

autor

Efeeloo Nangih

• Ken Saro-Wiwa Polytechnic, Nigeria

autor

Christian O. Chiedu

• Delta State Polytechnic, Nigeria

autor

Ebele N. Ekwunife

• Chukwuemeka Odumegwu Ojukwu University, Nigeria

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Identyfikatory

DOI

10.12775/CJFA.2022.007