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Can High ESG Ratings Help Sustain Dividend Growth?

Harvard Corporate Governance

One possible source of returns in this environment could be dividends, particularly from those companies able to grow their dividends despite the prevailing macroeconomic headwinds. Companies with dividend growth that keeps pace with inflation could potentially be favored by investors. more…).

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Data Update 7 for 2023: Dividends, Buybacks and Cash Flows

Musings on Markets

This is the last of my data update posts for 2023, and in this one, I will focus on dividends and buybacks, perhaps the most most misunderstood and misplayed element of corporate finance. Viewed in that context, dividends as just as integral to a business, as the investing and financing decisions.

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The Dividend Discount Model (DDM): The Black Sheep of Valuation?

Brian DeChesare

When I started offering financial modeling training , I never expected to get questions about a methodology like the Dividend Discount Model (DDM). Otherwise, the written version follows: Why Use a Dividend Discount Model? The main argument in favor of the DDM is that it best represents what happens in real life when you buy a stock.

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How Dividend Payout Ratio Affects Business Valuation


To dive deeper into the impact of dividend payout ratios on business valuation, continue reading below When investors look to invest in a company, one of the key metrics they use to evaluate the company's value is the dividend payout ratio.

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Washington State AG Seeks To Block Albertsons' $4B Dividend Payout


Albertsons Companies Inc (NYSE: ACI ) had a lawsuit filed against it by Washington State Attorney General Bob Ferguson to stop the grocery chain from paying shareholder dividends.

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Dividends, Shareholder Signals & Present Value

Auto Dealer Valuation Insights

One early finding is that investors clearly distinguished between companies that pay dividends and those that don’t. Across the size spectrum, investors favored dividend-paying stocks in 2022, as illustrated in Table 1. While it was a down year across the board.

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The Effect of Board Independence on Dividend Payouts

Reynolds Holding

In a new paper, we use agency theory to explore the effect of board independence on dividend policy. Dividends serve as a governance mechanism to mitigate agency conflicts, reducing free cash flows, which managers may exploit for personal gain rather than using them to maximize shareholder wealth.