Dividend policy influence stock price volatility of telecommunication industry in Malaysia / Shahirin Abd Latip

Share prices are the most important indicators used by investors to invest or not to invest on a particular share. The main objective of the investing is to maximize the expected return at the low level of risk. There are many factors contributed to the price changes of share include investor’s reac...

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Main Author:	Abd Latip, Shahirin
Format:	Student Project
Language:	English
Published:	Faculty of Business Management 2017
Subjects:	Dividends. Stock dividends. Dividend reinvestment
Online Access:	http://ir.uitm.edu.my/id/eprint/23624/ http://ir.uitm.edu.my/id/eprint/23624/1/PPb_SHAHIRIN%20ABD%20LATIP%20J%20BM%2017_5.pdf

id	uitm-23624
recordtype	eprints
spelling	uitm-236242019-04-07T07:48:10Z http://ir.uitm.edu.my/id/eprint/23624/ Dividend policy influence stock price volatility of telecommunication industry in Malaysia / Shahirin Abd Latip Abd Latip, Shahirin Dividends. Stock dividends. Dividend reinvestment Share prices are the most important indicators used by investors to invest or not to invest on a particular share. The main objective of the investing is to maximize the expected return at the low level of risk. There are many factors contributed to the price changes of share include investor’s reaction towards earnings, dividend or other news. According to the efficient market hypothesis, when there is new information either good or bad news are available to the public, they will affect share price of the company. Thus, aim of this study is to determine the effect of dividend policy towards share price of the Telecommunication companies in Malaysia. We look into five Telecommunication companies that are listed in Bursa Malaysia. The data for this study is a secondary data that collected from DataStream. The duration of this study will be from 2010 until 2015. Panel Data analysis has been applied and various methods in order to test the significant of the variables towards the price volatility of Telecommunication companies. The finding of this study shows that there is a significant positive relationship between the DPR of a firm and share price volatility. This result is consistent with (Zakaria, Muhammad, & Zulkifli, 2012). DY is insignificant and positively related to the movement of stock prices. Thus, this finding suggests that, higher DPR will lead to a more volatile share prices. Among the control variables, only firm size (NI) and leverage (DER) showed high correlation with the changes of the firm share prices. The larger the size of the company, the greater the company needs to face with the volatility of share prices. The results show all variables are significant except variable DY on the changes of the company share prices. The contradiction could be because of the different economics and business environments of the countries. Faculty of Business Management 2017 Student Project NonPeerReviewed text en http://ir.uitm.edu.my/id/eprint/23624/1/PPb_SHAHIRIN%20ABD%20LATIP%20J%20BM%2017_5.pdf Abd Latip, Shahirin (2017) Dividend policy influence stock price volatility of telecommunication industry in Malaysia / Shahirin Abd Latip. [Student Project] (Submitted)
repository_type	Digital Repository
institution_category	Local University
institution	Universiti Teknologi MARA
building	UiTM Institutional Repository
collection	Online Access
language	English
topic	Dividends. Stock dividends. Dividend reinvestment
spellingShingle	Dividends. Stock dividends. Dividend reinvestment Abd Latip, Shahirin Dividend policy influence stock price volatility of telecommunication industry in Malaysia / Shahirin Abd Latip
description	Share prices are the most important indicators used by investors to invest or not to invest on a particular share. The main objective of the investing is to maximize the expected return at the low level of risk. There are many factors contributed to the price changes of share include investor’s reaction towards earnings, dividend or other news. According to the efficient market hypothesis, when there is new information either good or bad news are available to the public, they will affect share price of the company. Thus, aim of this study is to determine the effect of dividend policy towards share price of the Telecommunication companies in Malaysia. We look into five Telecommunication companies that are listed in Bursa Malaysia. The data for this study is a secondary data that collected from DataStream. The duration of this study will be from 2010 until 2015. Panel Data analysis has been applied and various methods in order to test the significant of the variables towards the price volatility of Telecommunication companies. The finding of this study shows that there is a significant positive relationship between the DPR of a firm and share price volatility. This result is consistent with (Zakaria, Muhammad, & Zulkifli, 2012). DY is insignificant and positively related to the movement of stock prices. Thus, this finding suggests that, higher DPR will lead to a more volatile share prices. Among the control variables, only firm size (NI) and leverage (DER) showed high correlation with the changes of the firm share prices. The larger the size of the company, the greater the company needs to face with the volatility of share prices. The results show all variables are significant except variable DY on the changes of the company share prices. The contradiction could be because of the different economics and business environments of the countries.
format	Student Project
author	Abd Latip, Shahirin
author_facet	Abd Latip, Shahirin
author_sort	Abd Latip, Shahirin
title	Dividend policy influence stock price volatility of telecommunication industry in Malaysia / Shahirin Abd Latip
title_short	Dividend policy influence stock price volatility of telecommunication industry in Malaysia / Shahirin Abd Latip
title_full	Dividend policy influence stock price volatility of telecommunication industry in Malaysia / Shahirin Abd Latip
title_fullStr	Dividend policy influence stock price volatility of telecommunication industry in Malaysia / Shahirin Abd Latip
title_full_unstemmed	Dividend policy influence stock price volatility of telecommunication industry in Malaysia / Shahirin Abd Latip
title_sort	dividend policy influence stock price volatility of telecommunication industry in malaysia / shahirin abd latip
publisher	Faculty of Business Management
publishDate	2017
url	http://ir.uitm.edu.my/id/eprint/23624/ http://ir.uitm.edu.my/id/eprint/23624/1/PPb_SHAHIRIN%20ABD%20LATIP%20J%20BM%2017_5.pdf
first_indexed	2023-09-18T23:11:04Z
last_indexed	2023-09-18T23:11:04Z
_version_	1777418805501231104

Dividend policy influence stock price volatility of telecommunication industry in Malaysia / Shahirin Abd Latip

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