Year: 2017
Type: article
Abstract: This study tests the validity of the free cash flow hypothesis in the context of firms traded on Borsa Istanbul. The study applies a panel regression to a data set composed of 1267 observations from 227 companies during the period 2008–2014. The results reveal a significant, negative correlation between dividends per share and free cash flow. Likewise, a significant, inverse relationship is found between leverage and free cash flow. Thus, the results support the free cash flow hypothesis.
Source: Borsa Istanbul Review
Authors: Eyup Kadioglu, Ender Aykut Yilmaz
Institution: Altınbaş University
Language: English
Subfield: Accounting
Domain: Social Sciences
Open Access status: gold
Estimated APC paid: $1,500
OpenAlex ID: W2570840446