The Time Effects And Endogenous Of The Value Of Listed Companies

As one of the most important concepts and research topics in modern finance theory,corporate value is the core criterion of corporate decision-making.It can measure the effect that enterprises can give the return of their stakeholders.The existing research literature mainly focuses on the definition of the value of the company,the measurement and its influencing factors,and so on.But the existing research doesn't involve whether exist a general time-varying law in the value of the company after the listing.Based on the cross-section fixed effect panel model,this paper used the data from March 2002 to September 2016 to do empirical test on listed companies to general rule and the characteristics of the endogenous of dividend policy with time.And then,based on theoretical conjectures,we explain the economics connotation of empirical conclusions,Data robust empirical results show that: the value of the listed company has a significant and stable time effect.With the change of the time of listing,the value of the company presents the time-dependent law of the U-shaped curve,and rises and then falls.Knee point appeared in about six years or so.Even add capital structure,bankruptcy risk,principal-agent cost and profitability as the control variable,the time-varying law of the value of the listed company is still significant and stable.Under the condition of distinguishing the size and profitability of the company,the company value is still significant Stable U-curve time effect;small-scale companies have early knee point than the large-scale companies may be due to large-scale companies on their own financial indicators to adjust the smaller companies more robust and slow,leading to large-scale companies after the listing of the value of change slower than the small-scale companies;low profitability of the companies have early knee point than the high profitability of the company ahead may be due to low profitability of the company's management by the market,shareholders and creditors of the pressure,more willing to make financial adjustments as soon as possible,so the company value changes faster fast.Theoretical conjecture that: First,the success of listed financing(IPO)will inevitably exacerbate the management of the investment impulse,the management of the listing of excitement in the past will not involve the risk of the project may be adopted,inadvertent investment and excessive investment will lead to corporate value show a downward trend in the initial stage after the listing of the enterprise;Second,the enterprise after the listing of the management goal deviation and the incentive to disappear from the listing of the principal agent problem,in the early listing will also lead to decline in corporate value;Third,due to the mandatory information disclosure mechanism and the effective supervision of shareholders and market investors,after a period of irrational choice and commission agent issues,the management found that due diligence is the ultimate rational choice,then the principal agent costs began decline,which led to the rise in corporate value;Fourth,although the debt shield effect can enhance the value of the company,but when the higher capital structure triggered by the risk of bankruptcy risk is significantly greater than the debt shield effect,the management will adjust the capital structure selection strategy,reduce the risk of bankruptcy.Therefore,the value of listed companies experienced a period of after descending again began to rise.