The Deviation from Target Capital Structure and Firms’ Value

Q: How can I download an article?

To download an article from SID, first log in to the site, search for the article title, and click on the 'Download Article' option.

Q: How can I download an ISI article?

To download an ISI article on SID, enter the keyword or article title in the search bar, view the relevant results, click on the desired article, and select the 'Download Article' option.

Q: How can I access the SID database?

To access the SID database, visit SID.ir, create an account, and log in to access scientific resources.

Q: Is downloading articles from SID free?

Some articles on SID are available for free, while others require payment. Details are specified on the article's page.

AFLATOONI ABBAS

مرکز اطلاعات علمی Scientific Information Database (SID) - Trusted Source for Research and Academic Resources

Journal Paper

Paper Information

Journal: JOURNAL OF FINANCIAL MANAGEMENT PERSPECTIVE Year:2019 | Volume:9 | Issue:2 (26) Page(s): 9-31

Download Full-Text

Persian Verion

View:

250

Download:

Cites:

Information Journal Paper

Title

The Deviation from Target Capital Structure and Firms’ Value

Author(s)

AFLATOONI ABBAS | Issue Writer Certificate

Keywords

Target Capital StructureQ1

Capital Structure DeviationQ1

Firm’Q1

s ValueQ1

Trade Off TheoryQ1

Abstract

The Trade-off theory states that firms have a target (or an optimal) capital structure that maximizes the Firm’; s Value and any deviation can decrease the Firm’; s Value. Following the existing literature, this paper selects the capital structure determinants and using them calculates the deviation of firms’ actual capital structure from their target level, and finanlly investigates the effect of deviation from Target Capital Structure on firms’ value. To this end, this papes uses data from 148 firms listed in Tehran Stock Exchange during 2007-2017 and also applies panel data approach and the approach to control the industry and year effects. The results indicate that an increase in deviation from the Target Capital Structure decreases the Firm’; s Value. The results of complementary analyses in over and under levered firms and also, the results of complementary analyses using an alternative set of capital structure determinant to calculate the Capital Structure Deviation are consistent with the research primary results. The research results are consistent with the notions presented in Trade-off theory.

Cites

No record.

References

No record.

Cite

APA: Copy

AFLATOONI, ABBAS. (2019). The Deviation from Target Capital Structure and Firms’ Value. JOURNAL OF FINANCIAL MANAGEMENT PERSPECTIVE, 9(2 (26) ), 9-31. SID. https://sid.ir/paper/385080/en

Vancouver: Copy

AFLATOONI ABBAS. The Deviation from Target Capital Structure and Firms’ Value. JOURNAL OF FINANCIAL MANAGEMENT PERSPECTIVE[Internet]. 2019;9(2 (26) ):9-31. Available from: https://sid.ir/paper/385080/en

IEEE: Copy

ABBAS AFLATOONI, “The Deviation from Target Capital Structure and Firms’ Value,” JOURNAL OF FINANCIAL MANAGEMENT PERSPECTIVE, vol. 9, no. 2 (26) , pp. 9–31, 2019, [Online]. Available: https://sid.ir/paper/385080/en

Related Journal Papers