M.A. Thesis:

The moderating effect of Dividend Policy on earnings efectiveness and stock returns

The main purpose of this study is to determine the effect of adjusting the dividend on earnings awareness and stock returns on the Tehran Stock Exchange. One of the important criteria that different groups use to estimate the company's profitability, predict future profits and related risks, as well as evaluate the performance of management, is the current and past profits of the company. The reported profit of companies is considered as one of the most important decision-making criteria and one of the most important criteria for evaluating the performance and determining the value of the enterprise, which is always used by a wide range of users. This research was conducted for a period of 5 years in the years 93 to 97. Sample data of the studied companies were analyzed by analyzing their availability by classifying them using Excel software and analyzing them using Ives software. The research results showed; There is a negative relationship between earnings awareness and stock returns and this relationship is also significant. The criterion of earnings awareness in this study is earnings per share, although a positive relationship was expected, but due to the conditions of investors in the Tehran Stock Exchange who generally do not invest consciously and are affected by the prevailing market wave and the hypothesis of ignorance of small investors. They strengthen. Dividend policy also moderates the relationship between earnings awareness and stock returns, and the relationship is positive and meaningful.

Keywords: Keywords; Dividends - Profit Awareness - Stock Returns