Market Reaction Of Stock Repurchase From Configuration Perspective

In developed western capital markets,share repurchase is already a well-established financial policy tool.In my country’s stock trading,various laws and regulations have been continuously improved,and more and more companies have used this method in stock trading.With the new revision of the "Company Law" in 2018,the number of companies conducting stock reviews has exploded.However,when many Chinese enterprises use this tool,they have not obtained the ideal market effect,and some even have negative effects.Therefore,it is of great practical significance for my country’s capital market to study the market effect of stock repurchase on my country’s listed companies and how to carry out stock repurchase to bring about a high excess rate of return.In recent years,domestic and foreign scholars have been continuously improving the issue of stock repurchase,and theoretical research has become more and more abundant.On the basis of the existing research and based on the theory of stock repurchase,this paper puts forward the hypothesis of this paper,which is linked to the variables selected in this paper.Next,this paper integrates the three elements of financial status,corporate governance and repurchase conditions,and systematically constructs the company scale,operating gross profit margin,equity ratio of the top 10 shareholders,shareholding ratio of executives,premium degree,return The theoretical framework of the six factors of the purchase ratio and the high excess rate of return,and how these factors affect the high excess rate of return.However,at present,the market effect of stock repurchase in academic circles is generally based on quantitative methods such as individual case analysis and multiple regression,and mainly discusses an independent cause and internal mechanism.However,due to various complex factors and the asymmetry of cause and effect in the business activities of enterprises.Therefore,there are certain deficiencies in using traditional methods for research.In summary,based on the configuration perspective,this paper adopts a new research method,namely the fuzzy set qualitative comparative analysis method(fs QCA),to explore the "configuration effect" of various factors on high excess returns.This paper selects 225 stock repurchase cases in 2020 and attempts to analyze the relationship between different configurations configured by financial status,corporate governance and repurchase conditions and excess returns.Finally,four paths that can get high excess rate of return are drawn,and they are explained,and relevant countermeasures and suggestions are put forward.