956
Views
0
CrossRef citations to date
0
Altmetric
FINANCIAL ECONOMICS

Signaling or insider opportunism: an investigation of repurchase activity in Vietnam

&
Article: 2066763 | Received 25 Sep 2021, Accepted 09 Apr 2022, Published online: 28 Apr 2022

References

  • Akyol, A. C., & Foo, C. C. (2013). Share repurchase reasons and the market reaction to actual share repurchases: evidence from Australia. International Review of Finance, 13(1), 1–23. https://doi.org/10.1111/j.1468-2443.2012.01159.x
  • Babenko, I., Tserlukevich, Y., & Vedrashko, A. (2012). The credibility of open market share repurchase signaling. The Journal of Financial and Quantitative Analysis, 47(5), 1059–1088. https://doi.org/10.1017/S0022109012000312
  • Bagnoli, M., Gordon, R., & Lipman, B. L. (1989). Stock repurchase as a takeover defense. The Review of Financial Studies, 2(3), 423–443. https://doi.org/10.1093/rfs/2.3.423
  • Baker, H. K., Powell, G. E., & Veit, E. T. (2003). Why companies use open-market repurchases: A managerial perspective. The Quarterly Review of Economics and Finance, 43(3), 483–504. https://doi.org/10.1016/S1062-9769(02)00151-5
  • Barber, B. M., & Lyon, J. D. (1996). Detecting long-run abnormal stock returns: The empirical power and specification of test statistics. Journal of Financial Economics, 43(3), 341–372. https://doi.org/10.1016/S0304-405X(96)00890-2
  • Bhattacharya, S. (1979). Imperfect information, dividend policy, and “the bird in the hand” fallacy. Bell Journal of Economics, 10(1), 259–270. https://doi.org/10.2307/3003330
  • Bhattacharya, U., & Dittmar, A. (). “Costless versus costly signaling: theory and evidence”. Retrieved 22 April 2022 https://host.kelley.iu.edu/ubhattac/signaling.pdf.
  • Bhattacharya, U., & Jacobsen, E. (2016). The share repurchase announcement puzzle: Theory and evidence. Review of Finance, 20(2), 725–758. https://doi.org/10.1093/rof/rfv020
  • Bhojraj, S., Hribar, P., Picconi, M., & McInnis, J. (2009). Making sense of cents: an examination of firms that marginally miss or beat analyst forecasts. The Journal of Finance, 64(5), 2361–2388. https://doi.org/10.1111/j.1540-6261.2009.01503.x
  • Billett, M. T., & Xue, H. (2007). The takeover deterrent effect of open market share repurchases. The Journal of Finance, 62(4), 1827–1850. https://doi.org/10.1111/j.1540-6261.2007.01258.x
  • Bonaimé, A. A., Öztekin, Ö., & Warr, R. S. (2014). Capital structure, equity mispricing, and stock repurchases. Journal of Corporate Finance, 26, 182–200. https://doi.org/10.1016/j.jcorpfin.2014.03.007
  • Bonaimé, A. A., & Ryngaert, M. D. (2013). Insider trading and share repurchases: Do insiders and firms trade in the same direction? Journal of Corporate Finance, 22, 35–53. https://doi.org/10.1016/j.jcorpfin.2013.03.003
  • Brav, A., Graham, J. R., Harvey, C. R., & Michaely, R. (2005). Payout policy in the 21st century. Journal of Financial Economics, 77(3), 483–527. https://doi.org/10.1016/j.jfineco.2004.07.004
  • Brown, S. J., & Warner, J. B. (1985). Using daily stock returns: The case of event studies. Journal of Financial Economics, 14(1), 3–31. https://doi.org/10.1016/0304-405X(85)90042-X
  • Chan, K., Ikenberry, D. L., Lee, I., & Wang, Y. (2010). Share repurchases as a potential tool to mislead investors. Journal of Corporate Finance, 16(2), 137–158. https://doi.org/10.1016/j.jcorpfin.2009.10.003
  • Chen, H.-C., Chen, -S.-S., Huang, C.-W., & Schatzberg, J. D. (2014). Insider trading and firm performance following open market share repurchase announcements. Journal of Business Finance & Accounting, 41(1–2), 156–184. https://doi.org/10.1111/jbfa.12059
  • Chen, N. Y., & Liu, C. C. (2021). Share repurchases and market signaling: Evidence from earnings management. International Review of Finance, 21(4), 1203–1224. https://doi.org/10.1111/irfi.12321
  • Comment, R., & Jarrell, G. A. (1991). The relative signalling power of Dutch-auction and fixed-price self-tender offers and open-market share repurchases. The Journal of Finance, 46(4), 1243–1271. https://doi.org/10.1111/j.1540-6261.1991.tb04617.x
  • Cziraki, P., Lyandres, E., & Michaely, R. (2021). What do insiders know? Evidence from insider trading around share repurchases and SEOs. Journal of Corporate Finance, 66, 101544. https://doi.org/10.1016/j.jcorpfin.2019.101544
  • Dimitrov, V., & Jain, P. C. (2011). It’s showtime: do managers report better news before annual shareholder meetings? Journal of Accounting Research, 49(5), 1193–1221. https://doi.org/10.1111/j.1475-679X.2011.00419.x
  • Dittmar, A. K. (2000). Why Do Firms Repurchase Stock. The Journal of Business, 73(3), 331–355. https://doi.org/10.1086/209646
  • Fama, E. F., & French, K. R. (2000). Forecasting Profitability and Earnings. The Journal of Business, 73(2), 161–175. https://doi.org/10.1086/209638
  • Firth, M., Leung, T. Y., & Rui, O. M. (2010). Double signals or single signal? An investigation of insider trading around share repurchases. Journal of International Financial Markets, Institutions and Money, 20(4), 376–388. https://doi.org/10.1016/j.intfin.2010.05.002
  • Fried, J. M. (2001). Open Market Repurchases: Signaling or Managerial Opportunism? Theoretical Inquiries in Law, 2(2), 865–894. https://doi.org/10.2202/1565-3404.1039
  • Fried, J. M. (2005). Informed trading and false signaling with open market repurchases. California Law Review, 93(5) , 1323–1386. https://www.jstor.org/stable/30038488.
  • Grullon, G., & Michaely, R. (2002). Dividends, share repurchases, and the substitution hypothesis. The Journal of Finance, 57(4), 1649–1684. https://www.jstor.org/stable/3094520.
  • Grullon, G., & Michaely, R. (2004). The Information Content of Share Repurchase Programs. The Journal of Finance, 59(2), 651–680. https://doi.org/10.1111/j.1540-6261.2004.00645.x
  • Guay, W., & Harford, J. (2000). The cash-flow permanence and information content of dividend increases versus repurchases. Journal of Financial Economics, 57(3), 385–415. https://doi.org/10.1016/S0304-405X(00)00062-3
  • Ikenberry, D., Lakonishok, J., & Vermaelen, T. (1995). Market underreaction to open market share repurchases. Journal of Financial Economics, 39(2), 181–208. https://doi.org/10.1016/0304-405X(95)00826-Z
  • Jacob, M., & Jacob, M. (2013). Taxation, dividends, and share repurchases: Taking evidence global. Journal of Financial and Quantitative Analysis, 48(4), 1241–1269. https://doi.org/10.1017/S0022109013000367
  • Jagannathan, M., Stephens, C. P., & Weisbach, M. S. (2000). Financial flexibility and the choice between dividends and stock repurchases. Journal of Financial Economics, 57(3), 355–384. https://doi.org/10.1016/S0304-405X(00)00061-1
  • Jategaonkar, S. (2013). If it’s good for the firm, it’s good for me: insider trading and repurchases. Financial Review, 48(2), 179–203. https://doi.org/10.1111/fire.12000
  • Jiang, Z., Kim, K. A., Lie, E., & Yang, S. (2013). Share repurchases, catering, and dividend substitution. Journal of Corporate Finance, 21, 36–50. https://doi.org/10.1016/j.jcorpfin.2013.01.004
  • Jolls, C. (1998). “Stock Repurchases and Incentive Compensation”. Working paper, NBER.
  • Jun, S. G., Jung, M., & Walkling, R. A. (2009). Share repurchase, executive options and wealth changes to stockholders and bondholders. Journal of Corporate Finance, 15(2), 212–229. https://doi.org/10.1016/j.jcorpfin.2008.11.003.
  • Kay, I. (2016). “Executive pay, share buybacks, and managerial short-termism Harvard Law School Forum on Corporate Governance ”. available at: https://corpgov.law.harvard.edu/2016/01/26/executive-pay-share-buybacks-and-managerial-short-termism/
  • Lee, B. S., & Suh, J. (2011). Cash holdings and share repurchases: International evidence. Journal of Corporate Finance, 17(5), 1306–1329. https://doi.org/10.1016/j.jcorpfin.2011.06.006
  • Lie, E. (2005). Operating performance following open market share repurchase announcements. Journal of Accounting and Economics, 39(3), 411–436. https://doi.org/10.1016/j.jacceco.2005.04.001
  • Maxwell, W. F., & Stephens, C. P. (2003). The wealth effects of repurchases on bondholders. The Journal of Finance, 58(2), 895–919. https://doi.org/10.1111/1540-6261.00550
  • Moore, D. (2017). “Managerial self-interest and strategic repurchases: evidence from equity vesting schedules”. Social Science Research Network 2017 http://dx.doi.org/10.2139/ssrn.3014462.
  • Moser, W. J. (2007). The effect of shareholder taxes on corporate payout choice. Journal of Financial and Quantitative Analysis, 42(4), 991–1019. https://doi.org/10.1017/S0022109000003471
  • Skinner, D. J. (2008). The evolving relation between earnings, dividends, and stock repurchases. Journal of Financial Economics, 87(3), 582–609. https://doi.org/10.1016/j.jfineco.2007.05.003
  • Stephens, C. P., & Weisbach, M. S. (1998). Actual share reacquisitions in open-market repurchase programs. The Journal of Finance, 53(1), 313–333. https://doi.org/10.1111/0022-1082.115194
  • Teoh, S. H., Welch, I., & Wong, T. J. (1998). Earnings management and the long-run market performance of initial public offerings. The Journal of Finance, 53(6), 1935–1974. https://doi.org/10.1111/0022-1082.00079
  • Vermaelen, T. (1981). Common stock repurchases and market signalling: an empirical study. Journal of Financial Economics, 9(2), 139–183. https://doi.org/10.1016/0304-405X(81)90011-8
  • Wang, H. B., Nguyen, C., & Dinh, N. (2020). Operating performance and long‐run stock returns following share repurchase: evidence from an emerging market. Journal of Corporate Accounting & Finance, 31(3), 32–47. https://doi.org/10.1002/jcaf.22450
  • Wang, Z., Yin, Q. E., & Yu, L. (2021). Real effects of share repurchases legalization on corporate behaviors. Journal of Financial Economics, 140(1), 197–219. https://doi.org/10.1016/j.jfineco.2020.10.008