Abstract
I examine the predictability of dividend cuts based on the time interval between dividend announcement dates using a large dataset of US firms from 1971 to 2014. The longer the time interval between dividend announcements, the larger the probability of a cut in the dividend per share, consistent with the view that firms delay the release of bad news.
| Original language | English |
|---|---|
| Pages (from-to) | 71-76 |
| Number of pages | 6 |
| Journal | Economics Letters |
| Volume | 146 |
| Early online date | 22 Jul 2016 |
| DOIs | |
| Publication status | Published - Sept 2016 |
Bibliographical note
© 2016, Elsevier. Licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International http://creativecommons.org/licenses/by-nc-nd/4.0/Keywords
- dividend policy
- dividend dates
- signalling theory
- asymmetric information
- US capital market