Research On The Motivation Of Company A’s High Stock Dividend And Stock Split Policy

With the r apid econ omic grow th,the cap ital market has also grown wit h the rising demand fo r financing and inve stment.H owever,d ue to the relatively late start of our cap ital market,compared with mature capital markets,there are still irregularities and u nre asonable a spects in s ome opera tions.As one of the most i mportant f inancial d ecisions,d ividend po licy is als o a policy related to the core interests of investors.T he d ividend p olicy has always be en the focus of d iscussion in the ind ustry and academia.After co mparing with the operation of enterprises in mature capital markets,the author found tha t cash dividends are generally used as the main payment method in mature capital markets,and the p olicies are generall y stable;But In o u r country,man y companies adopt the policy of sending and transferring shares as the main dividend d istribution policy,an d the polic y fluctuates greatly..This article selects Company A’s high s tock-split policy as case,beca use this case contains some typical practices of many companies in the domestic capital market.First of all,this paper us es the literature research method to sum up th e current definition of high st ock-split and related opinions on the basis of st udying do mestic and foreign l iterature.Then in th e second c hapter,the concepts and theories involved in the article are sorted out.In Ch apter 3,we first in troduce th e backgro und of co mpany A,give a brief introdu ction t o company A’s main business a nd dividen d policy o ver the years,and list some of the problems that we found.In the fourth chapter,the case analysis is carried out.First,the feasibility of the high stock-split is analyzed from the perspective of financial analysis.The n,the motivation for the company A to implement the high s tock-split is analyzed,and the market research method is used to an alyze the market response for High stoc k-split policy.Finally,th is article concludes that Com pany A itself does n ot actually have the c onditions to implement a high stock-spli t policy,a nd this di viden d policy obj ectively provides co nvenient c onditions for major sharehold ers and executives to reduce their holdings.This article selects a relatively representative case of A comp any’s high-delivery-to-dividen d policy a s the research object.Based o n the specific case,it deeply discusses the intrinsic motivation of listed companies,provides some new persp ectives and research ideas for related research,and invests in small and medi um-sized enterprises,Listed companies and regu lators hav e pu t forward so me of their own sug gestions.