Open Access. Powered by Scholars. Published by Universities.®
Articles 1 - 2 of 2
Full-Text Articles in Business
The Information Content Of Dividend Initiation Announcements: The Case Of Information Technology Firms, Susana Yu, Gwendolyn Webb
The Information Content Of Dividend Initiation Announcements: The Case Of Information Technology Firms, Susana Yu, Gwendolyn Webb
Department of Accounting and Finance Faculty Scholarship and Creative Works
Purpose: The purpose of this paper is to examine the dividend initiation announcements made by firms in the information technology sector as defined in a modern system of industrial classification. Design/methodology/approach: On the basis of a modern classification of the information technology industry, the authors examine a wide range of corporate performance and management measures to discriminate between the two theories of the information revealed by the announcement of dividend initiations, the signaling, and life cycle theories. Findings: The empirical results are more consistent with the corporate life cycle theory of dividends than with the information signaling hypothesis. This finding …
Analysis Of Business Week Hot-Growth Stocks: Momentum And Fundamental Investment Approaches, Susana Yu, Sang Hoon Kim
Analysis Of Business Week Hot-Growth Stocks: Momentum And Fundamental Investment Approaches, Susana Yu, Sang Hoon Kim
Department of Accounting and Finance Faculty Scholarship and Creative Works
This paper extends Bauman et al's (2002) study, and investigates the risk-adjusted returns for the first-timers and repeaters of the Business Week hot-growth stocks. Chan et al's (1996) short-term 6-month momentum model provides significant returns for the first-timers as well as for stocks that had already appeared on the list at least once, the repeaters. On the other hand, Mohanram's (2005) fundamental model provides significant returns for the repeaters only. A portfolio formed by purchasing the repeaters and short selling the first-timers generates significant returns in 10 out of 12 months after publication. We conclude that profitable long/short portfolios can …