IDEAS home Printed from https://ideas.repec.org/a/taf/apfiec/v12y2002i12p843-849.html
   My bibliography  Save this article

The relationship between dividend policy, financial structure, profitability and firm value

Author

Listed:
  • Samy Ben Naceur
  • Mohamed Goaied

Abstract

This paper investigates the value creation process in the Tunisia stock exchange using a sample including more than 90% of the listed companies. In order to find out the determinants of the value creation of the selected companies, it uses the random probit model estimation procedure with unbalanced panel data. The results indicate that the probability of creating future values is positively and significantly correlated with profitability factor. In addition, the results also suggest that the value creation is affected by industry patterns (listed banks are the more value creator in the Tunisia stock exchange), by size (the probability to create value is stronger in small firms than in big ones) and by nature of property (the probability to create value is stronger in private-owned firms than in public-owned ones). Last but not least, the time trend factor is positive and highly significant. This finding suggests that the progressive reforms of the Tunisian stock exchange have attracted new investors, who have contributed by their purchase to the appreciation of the value of listed shares.

Suggested Citation

  • Samy Ben Naceur & Mohamed Goaied, 2002. "The relationship between dividend policy, financial structure, profitability and firm value," Applied Financial Economics, Taylor & Francis Journals, vol. 12(12), pages 843-849.
  • Handle: RePEc:taf:apfiec:v:12:y:2002:i:12:p:843-849
    DOI: 10.1080/09603100110049457
    as

    Download full text from publisher

    File URL: http://www.tandfonline.com/doi/abs/10.1080/09603100110049457
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1080/09603100110049457?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Matthias Nnadi & Nyema Wogboroma & Bariyima Kabel, 2013. "Determinants of Dividend Policy: Evidence from Listed Firms in the African Stock Exchanges," Panoeconomicus, Savez ekonomista Vojvodine, Novi Sad, Serbia, vol. 60(6), pages 725-741, December.
    2. Tamrin, Muhammad & Mus, H. Rahman & , Sudirman & Arfah, Aryati & Sjahruddin, Herman, 2017. "Effect of profitability and dividend policy on corporate governance and firm value: Evidence from the Indonesian manufacturing Sectors," OSF Preprints 7m9uk, Center for Open Science.
    3. Claudiu Botoc, 2015. "Risk And Firm Value In European Companies: A Dynamic Panel Data Approach," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(1), pages 792-800, July.
    4. Chikashi Tsuji, 2006. "Does EVA beat earnings and cash flow in Japan?," Applied Financial Economics, Taylor & Francis Journals, vol. 16(16), pages 1199-1216.
    5. Farouq Altahtamouni, 2018. "Determinants of Market Value (Case of Jordanian Banks)," International Business Research, Canadian Center of Science and Education, vol. 11(1), pages 124-132, January.
    6. Andreas A. Kouspos & Photis M. Panayides & Dimitris A. Tsouknidis, 2023. "The relationship between technical innovation and financial performance in shipping firms," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 25(4), pages 698-727, December.
    7. Tamrin, Muhammad & Mus, H. Rahman & , Sudirman & Arfah, Aryati & Sjahruddin, Herman, 2018. "Effect of profitability and dividend policy on corporate governance and firm value: Evidence from the Indonesian manufacturing Sectors," INA-Rxiv 8bvw2, Center for Open Science.
    8. Abdullah, Hariem, 2021. "Profitability and Leverage as Determinants of Dividend Policy: Evidence of Turkish Financial Firms," MPRA Paper 112134, University Library of Munich, Germany.
    9. repec:hur:ijaraf:v:4:y:2014:i:2:p:13-22 is not listed on IDEAS
    10. Mursalim Mursalim & Nur Alamzah & Abdullah Sanusi, 2015. "Financial Decision, Innovation, Profitability and Company Value: Study on Manufacturing Company Listed in Indonesian Stock Exchange," Information Management and Business Review, AMH International, vol. 7(2), pages 72-78.
    11. Tamrin, Muhammad & Mus, H. Rahman & , Sudirman & Arfah, Aryati & Jamali, Hisnol, 2017. "Effect of profitability and dividend policy on corporate governance and firm value: Evidence from the Indonesian manufacturing Sectors," Thesis Commons sfjqc, Center for Open Science.
    12. Loc Dong Truong & Thai Xuan Le & H. Swint Friday, 2022. "The Influence of Information Transparency and Disclosure on the Value of Listed Companies: Evidence from Vietnam," JRFM, MDPI, vol. 15(8), pages 1-14, August.
    13. Farouq Rafiq Altahtamouni & Zaher Abdelfattah Alslehat, 2014. "The Impact of Accounting Indicators and Growth on the Market Value," International Journal of Academic Research in Accounting, Finance and Management Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Accounting, Finance and Management Sciences, vol. 4(2), pages 9-18, April.
    14. Gaganpreet Kaur & Anju Bala, 2024. "Merger as an only rescue/choice: lessons from a public sector bank of India," Journal of Banking Regulation, Palgrave Macmillan, vol. 25(2), pages 95-111, June.
    15. He, Yuhan & Yi, Yang, 2023. "Digitalization of tax administration and corporate performance: Evidence from China," International Review of Financial Analysis, Elsevier, vol. 90(C).
    16. Suzan Hol & Nico Van der Wijst, 2008. "The financial structure of nonlisted firms," Applied Financial Economics, Taylor & Francis Journals, vol. 18(7), pages 559-568.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:apfiec:v:12:y:2002:i:12:p:843-849. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RAFE20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.