Dividend Changes Do Not Signal Changes in Future Profitability

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Do managers credibly use accruals to signal private information? Evidence from the pricing of discretionary accruals around stock splits (2005, neutral): “Examples of such studies include: Healy and Palepu (1990), DeAngelo, DeAngelo, and Skinner (1994), DeFond and Jiambalvo (1994), Perry and Williams (1994), Sweeney (1994), Dechow, Sloan, and Sweeney (1996), Erickson and Wang (1998), Teoh, Welch, and Wong (1998a and 1998b), Shivakumar (2000), and Loui”
Asymmetric Information and Dividend Policy (2008, neutral): “We follow Grullon, Michaely, Benartzi, and Thaler (2005) and Amihud and Li (2006) by using the CRSP database to identify dividend and nondividend payers.”
Dividend and Corporate Taxation in an Agency Model of the Firm (2010, background): “Thaler 1997; Gustavo Grullon et al. 2005). 4The empirical evidence is also not fully explained by Hans-Werner Sinn’s (1991) “life cycle”model in which firms progress from the old view to the new view.”
The effects of voluntary disclosure and dividend propensity on prices leading earnings (2009, background): “Of those, 7,977 firm-years have matching records in Datastream.”
The Evolving Relation Between Earnings, Dividends, and Stock Repurchases (2008, positive): “In addition, these findings cast further doubt on the notion that dividend changes provide information about changes in future earnings (see also DeAngelo et al., 2004; Grullon et al., 2005).”