An empirical investigation of the information content of dividend payment on share prices of publicly quoted companies
Abstract
This study sought to investigate whether or not there is a relationship between dividend
and share prices. The major source of data was financial records of publicly quoted companies.
Data from the various companies was gathered and analysed using correlation analysis, Chisquare
distribution and F-distribution. The results obtained are discussed in this report. It was
found that dividend and share prices are highly correlated. Further, the results showed that the
correlation is even higher when the change in dividend is negative.
Citation
Master of Business and Administration, University of Nairobi, 1997Publisher
University of Nairobi. Faculty of Commerce