DOI: https://doi.org/10.18371/fcaptp.v1i32.200497

MODELING THE OPTIMAL DIVIDEND POLICY OF UKRAINIAN COMPANIES

O. M. Ptakhina, T. V. Sych, Ye. V. Ivanov, O. P. Yevsuykov, O. V. Коzyrieva

Abstract


The relevance of the topic under study is that to achieve the primary purpose of the entity’s business is to generate profits, such as developing rational proportions of profit-sharing, and developing an optimal dividend policy is one of the main components of ensuring the efficiency of the enterprise. The study aimed to develop a methodological approach to determining the optimal dividend policy of enterprises based on the dependence of the optimal rate of dividend payments on the capital structure of enterprises in Ukraine. The methodological basis of the study was the method of multivariate regression analysis. Based on this method, Ukrainehas developed a polynomial regression model of the complex relationship between the rate of dividend payments and performance indicators of enterprises. The choice of enterprises is made according to the following criteria: organizational and legal form of a joint-stock company; companies pay dividends. 2000—2018 study period. To test the scenarios for the implementation of the dividend payment policy, an indicator of the elasticity of the net profit of the enterprises that formed the statistical base of the study from the level of dividend payments was calculated. To determine the optimum level of dividend payments, which maximizes the positive effect (E = max), a system of function for the different capital structures of enterprises is constructed and, based on experiments with this system, the optimal level of dividend payments is determined. To determine the optimal type of dividend policy, based on the level of dividend payments, estimated at % of the net profit of the company, the Fibonacci method was used. The range of quantitative levels of dividend payments of the surveyed companies is calculated, according to which the type of optimal policy for the formed capital structure of the company is determined. This approach allows you to determine the appropriate type of dividend policy, taking into account the financial position of companies to maximize their market value. Utilizes subjectivism in the process of optimizing the dividend policy of the company and ensures the reliability of the results of the assessment of the optimal level of dividend payments. It helps to increase the efficiency of companies’ net profits and increase the potential to maximize their market value.


Keywords


dividend policy; Ukraine; financial condition; profit; capital structure

References


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GOST Style Citations


Vithessonthi C. Monetary policy, bank lending and corporate investment / C. Vithessonthi, M. Schwaninger, M. Müller // International Review of Financial Analysis. — 2017. — № 50. — Р. 129—142.

Державна служба статистики України : офіційний вебсайт [Електронний ресурс]. — Режим доступу : http://www.ukrstat.gov.ua.

Wang L. Stock Market Valuation, Foreign Investment, and Cross-Country Arbitrage / L. Wang // Global Finance Journal. — 2019. — № 40. — Р. 74—84.

Hadhri S. Asset allocation and investment opportunities in emerging stock markets: Evidence from return asymmetry-based analysis / S. Hadhri, Z. Ftiti // Journal of International Money and Finance. — 2019. — № 93. — Р. 187—200.

Neskorodeva I. І. An Approach to Predicting the Insolvency of Ukrainian Steel Enterprises Based on Financial Potential
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Про затвердження базового нормативу відрахування частки прибутку, що спрямовується на виплату дивідендів за результатами фінансово-господарської діяльності у 2018 році господарських товариств, у статутному капіталі яких є корпоративні права держави : Постанова Кабінету Міністрів України від 24.04.2019 № 364 [Електронний ресурс]. — Режим доступу : https://docs.dtkt.ua/doc/1228.439.0#pn2.

Modigliani F. Taxes and the Cost of Capital: A Correction / F. Modigliani, M. Miller // Ibid. — 1963. — June. — P. 433—443.

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Mishra S. Regression Modeling and Analysis / S. Mishra, A. Datta-Gupta // Applied Statistical Modeling and Data Analytics. A Practical Guide for the Petroleum Geosciences. — 2018. — Р. 69—96.

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Copyright (c) 2020 O. M. Ptakhina, T. V. Sych, Ye. V. Ivanov, O. P. Yevsuykov, O. V. Коzyrieva

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ISSN (print) 2306-4994, ISSN (on-line) 2310-8770