Research On Dividend Distribution Policy Of China Communications Construction Company Limited

Dividend distribution policy is an important part of the financial management activities of listed companies,which directly affects the future development of enterprises and the trend of stock price.Due to the short development time of China’s capital market,there are many immature places compared with the western capital market,so the dividend policy of Listed Companies in China is not completely reasonable,and the research on dividend policy is less.Therefore,it is necessary to study the dividend policy of Listed Companies in China.The research object of this paper is the dividend distribution policy of CCCC.In the research process,it mainly adopts the financial index analysis method and the enterprise value evaluation model,and expounds the factors that affect the dividend distribution policy of CCCC and the enterprise value evaluation.Firstly,it analyzes the internal and external factors that affect the dividend distribution policy of CCCC.Secondly,it uses the enterprise value evaluation model to get the future dividend cash flow of CCCC based on the prediction of securities institutions.Then it uses the binary regression model to calculate the capital cost of CCCC.Finally,it evaluates the enterprise value of CCCC.The results show that the dividend distribution policy of CCCC is affected by many factors,such as financial situation,equity structure,capital cost,enterprise life cycle,industry cycle,macro-economy,system policy,etc.at present,the dividend distribution policy of CCCC can not reasonably reflect its market value,and it can be improved by improving the cash dividend payment rate through the sensitivity coefficient analysis method Therefore,CCCC should improve its dividend distribution policy from two aspects: improving the cash dividend payment rate and adopting diversified dividend distribution methods,and put forward the operational guarantee measures of dividend distribution policy.The research results are of great significance to improve the dividend distribution policy of CCCC in order to improve its enterprise value.