Firms' histories and their capital structures

• 成果类型: Article
• 署名作者: Kayhan, Ayla; Titman, Sheridan
• 署名单位: Louisiana State University System; Louisiana State University; University of Texas System; University of Texas Austin; National Bureau of Economic Research
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2005.10.007
• 发表日期: 2007
• 页码: 1-32
• 关键词: Target capital structure; Market timing; pecking order; financial deficit

摘要

This paper examines how cash flows, investment expenditures, and stock price histories affect debt ratios. Consistent with earlier work, we find that these variables have a substantial influence on changes in capital structure. Specifically, stock price changes and financial deficits (i.e., the amount of external capital raised) have strong influences on capital Structure changes, but in contrast to previous conclusions, we find that over long horizons their effects are partially reversed. These results indicate that although firms' histories strongly influence their capital structures, over time their capital structures tend to move towards target debt ratios that are consistent with the tradeoff theories of capital structure. (c) 2006 Elsevier B.V. All rights reserved.