TY - JOUR
T1 - Inappropriate Corporate Strategies
T2 - Latin American Companies That Increase Their Value by Short-Term Liabilities
AU - Feregrino, Jorge
AU - Espinosa-Cristia, Juan Felipe
AU - Lay, Nelson
AU - Leyton, Luis
N1 - Publisher Copyright:
© 2022 by the authors.
PY - 2022/12
Y1 - 2022/12
N2 - This study seeks to understand the financing strategy used by companies listed on the Mexican Stock Exchange (BVM), the São Paulo Stock Exchange (VVSP), and the Santiago Stock Exchange (BCS). To this end, the data observed in the Economática database for a sample of 29 companies were considered. Then, through a long panel data model, the study concludes that in the organizations reviewed, there is a degree of association between the variables “short-term liabilities” and “share price”, as the former increases by 1%, and the value of the shares increases by 0.09% in the subsequent period. This confirms a procyclical financial leverage.
AB - This study seeks to understand the financing strategy used by companies listed on the Mexican Stock Exchange (BVM), the São Paulo Stock Exchange (VVSP), and the Santiago Stock Exchange (BCS). To this end, the data observed in the Economática database for a sample of 29 companies were considered. Then, through a long panel data model, the study concludes that in the organizations reviewed, there is a degree of association between the variables “short-term liabilities” and “share price”, as the former increases by 1%, and the value of the shares increases by 0.09% in the subsequent period. This confirms a procyclical financial leverage.
KW - financial crises
KW - financing policy and company value
KW - fluctuations and economic cycles
KW - illegal conduct
UR - http://www.scopus.com/inward/record.url?scp=85144725762&partnerID=8YFLogxK
U2 - 10.3390/ijfs10040100
DO - 10.3390/ijfs10040100
M3 - Article
AN - SCOPUS:85144725762
SN - 2227-7072
VL - 10
JO - International Journal of Financial Studies
JF - International Journal of Financial Studies
IS - 4
M1 - 100
ER -