The Research On The Factors Of Stock Dividend Policy Of China’s Smse Stock Market

As a form of dividend distribution, stock dividend has been more popular thancash dividends with investors in China’s capital market. At the same time, listedcompanies are active to cater to the preferences of investors and keen to distributestock dividend, the SMSE stock market has been concentration areas of stockdividend. Stock dividend policy of listed companies have a major significance, notonly to the company’s own long-term development but the demands for return oninvestment of shareholders and even affect the normal operation of the securitiesmarket, thus influence the development of China’s market economy. However, thestock dividend policy-making is an extremely complex task because of many factors.Therefore, the research on the factors of the stock dividend of China’s SMSE stockmarket is particularly meaningful.First of all, based on the analysis of the western related theory of stock dividendpolicy, this paper summarized the results of the study about the stock dividend policyof China’s listed companies by the theoretical circles and combined with thesummaries about the characteristics of the listed companies which distributed stockdividend by the practical realm, and then proposed some research supposition aboutthe influencing factors of the stock dividends policy of China’s SMSE stock market.Then, this paper selected the listed companies, which has been listed in China’sSMSE stock market by the end of2010, as samples for the research and Organizedrelated data. This paper established Logit regression model and multiple linearregression model successively by using stepwise regression method, then respectivelyanalyzed the factors of the stock dividend distribution intention and distributionproportion of China’s SMSE stock market. The empirical results show: Shares oflisted companies, the main business revenue growth, the proportion of institutionalownership, whether distributing cash dividends this year and equity scale of listedcompanies will have a greater impact on dividend distribution intention; the capacityfor distributing stock dividends, the main business revenue growth, asset-liability ratioand equity scale have a greater impact on the proportion of the stock dividenddistribution.Finally, this paper analysis the reason for the influencing factors of the stockdividends policy of China’s SMSE stock market, and put forward some relevantpolicy suggestions with the hope that it may benefit to the healthy development of the securities markets of our country.