Dividends, Share Repurchases And Earnings Quality Of Listed Companies

This paper mainly aims to the research of dividends and stock repurchase for thepublic company, and then to do some research about the quality of earnings. First, weintroduce the concepts of repurchase and dividend payting, we point that therepuchaseing and dividend paying are the very important signals of quality, with somearrangment of relevant of paper. When analysing the data, the thought is that we shoulddo statistic of public companies which has the history of stock repurchase companiesduring2005/1/1to2012/12/31, when choosing the effective sample, we also analyse therepurchasing times and continuity, then we will follow the dividend time and continutiyof these sample. In conclusion,94%of these companies have repurchased the stock in themarket in the last two years, it is these public companies that have100%of opportunitythat have the history of dividends, meanwhile, we do the statistic that average level ofthese companies of dividends is4.28times during the period (2005.1.1-2012.12.31), thecompany which has the history of repurchasing has dividends distribution, the earningquality has some relationship with the times, continuity of the repurchasing and dividendand ROE*b, through the analysis, they have the good quality earnings, however we alsopoint that there are a lot of companies that has no history of repurchasing, they are goodquality earnings too. In this paper, we only start with one point of view to analyse and cangive some reference value to those long-term investors.