Business, Management and Accounting
4 years ago

Firms' Market Timing Impacts Capital Structure Long-Term, Study Finds.

1 view
The Journal of Finance
Market Timing and Capital Structure
Malcolm Baker, Jeffrey Wurgler

Paper Summary

Firms tend to issue stocks when their value is high and buy back stocks when their value is low. This affects their capital structure for a long time. This means that a company's current financial setup is closely tied to its past stock market performance.

Related papers

Economics, Econometrics and Finance
a year ago

National Stock Exchange prices follow random walk, impacting investor decisions.

Asset Pricing
Stock Market Predictions
Oil Price Shocks
Business, Management and Accounting
5 years ago

African equity markets show limited integration with global counterparts, impacting investment.

Venture Capital
Corporate Governance
1 view
Decision Sciences
8 years ago

Chinese Capital Market Efficiency Boosted by Transparency and Information Disclosure.

Stock Market Predictions
Econophysics