Study On The Financial Impact Caused By Stock Repurchase Of JZYY

The stock repurchase originated in the western capital market,and its development is mature.China's stock repurchase started late,and it is still in the development stage.Since the first stock repurchase of China occurred in 1992,due to the constraints of the development of capital market as well as relevant laws and regulations,coupled with the lack of understanding of the stock repurchase of listed companies,China's stock repurchase activities are not very active.In recent years,with the development of the capital market and the improvement of the awareness of the listed companies,the stock repurchase activities in China's capital market are becoming more and more frequent.Which financial impacts will stock repurchase bring to listed companies,it has become the focus topic in the field of financial theory.Taking the case of the stock repurchase of JZYY1 as the object of study,this paper deeply analyzes the financial impacts of stock repurchase,and provides a reference for the theory and practice of stock repurchase in China.Using the event study method,Du Pont analysis system,EVA model and other research methods,the case of the stock repurchase of JZYY as the research object,this paper deeply analyzes the financial effects,the impact on the operating performance and the market reaction of the stock repurchase event.This paper is divided into seven parts.The first part is the introduction,which mainly discusses the research background and research significance.The second part is the basic theory of stock repurchase and literature review,which mainly describes the basic theory of stock repurchase and the research status at home and abroad.The third part gives a brief introduction to the case of the repurchase of shares and analyzes the motivation of stock repurchase.The fourth part is the analysis of the impact of the stock repurchase on the financial activities of the company,from aspects of the financing,investment and earnings distribution.The fifth part is the impact of the stock repurchase on the company's financial situation and operating performance,which mainly analyzes the impact of stock repurchase on the performance of EVA and the market reaction of stock repurchase.The sixth part is the impact of the repurchase of JZYY on the ownership structure and shareholder wealth.The seventh part summarizes the conclusions and puts forward some suggestions.Through the above research,this paper draws the following conclusions:(a)The stock repurchase has further optimized the capital structure of the company,expanded the financial leverage,and passed a positive signal to further improve the company's production and operation environment.(b)Stock repurchase has had a positive impact on the company's financial activities and has effectively promoted the improvement of the company's operating performance.(c)The capital market has made a positive response to the stock repurchase,and the stock repurchase has been recognized by investors to enhance the value of the company.