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The Effects of Earnings Per Share and Dividend Per Share on Listed Banks’ Stock Prices in Nigeria

Author

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  • Obioma Anthony Oge

    (MSc Student,Department of Accounting, Babcock University, Ilishan Remo, Ogun State, Nigeria)

  • Samuel A.Olaoye

    (Associate Professor, Department of Accounting, Babcock University, Ilishan Remo, Ogun State, Nigeria)

Abstract

This research focuses on assessing the impact of DPS and EPS on listed banks’ share prices in Nigeria. The population of the research is all the twelve conventional banks listed on The Nigerian Stock Exchange. Data were collected from the annual reports of the banks, statistical bulletin and the Nigerian Stock Exchange’s publications. Panel data regression analysis was used to analyze the secondary data obtained. The findings show that DPS and EPS have significant positive impacts on the share prices of listed banks with positive coefficients of 14.65 and 1.02 respectively. It was found that the impacts of each of DPS and EPS were statistically significant. It was also found that the impact of DPS on the share prices of the listed banks was more than that of EPS. The study therefore recommends that directors of a listed bank in Nigeria should manage the bank’s EPS and DPS for their impact on the stock price.

Suggested Citation

  • Obioma Anthony Oge & Samuel A.Olaoye, 2024. "The Effects of Earnings Per Share and Dividend Per Share on Listed Banks’ Stock Prices in Nigeria," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(5), pages 2157-2169, May.
    • Handle: RePEc:bcp:journl:v:8:y:2024:i:5:p:2157-2169
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    References listed on IDEAS

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    4. Burton G. Malkiel, 2003. "The Efficient Market Hypothesis and Its Critics," Journal of Economic Perspectives, American Economic Association, vol. 17(1), pages 59-82, Winter.
    5. Burton G. Malkiel, 2003. "The Efficient Market Hypothesis and Its Critics," Working Papers 111, Princeton University, Department of Economics, Center for Economic Policy Studies..
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