High-tech firms

Dividend policy in a context of sustainability and technological change

Bibliographic Data

ID21401058
AuthorsVí­ctor Barros (0000-0002-7318-8257, University of Lisbon), Pedro Verga Matos (0000-0002-6737-2656, University of Lisbon, corresponding author), Joaquim Miranda Sarmento (0000-0002-1235-5779, University of Lisbon), Pedro Rino Vieira (0000-0001-8557-5433, University of Lisbon)
Year2023
Volume190
Pages122434
Publication date2023-05-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueTechnological Forecasting and Social Change (JOURNAL)
Journal identifiersISSN: 0040-1625 • E-ISSN: 1873-5509
PublisherElsevier BV (PUBLISHER)
DOI10.1016/j.techfore.2023.122434
OpenAlexW4322761842
LanguageEN
Citations received4
References cited109

We examine whether the dividend policy of high-tech firms is explained by ESG performance in the triple ESG components (environmental, social, and governance). Using a panel of US-based firms in the technology sector from 2002 to 2021, we find that better ESG scores are linked with a higher likelihood of dividend payments, stability of the amount paid, and implied shareholder returns from the dividend yield. R&D intensity is a constraint of dividend policies, although ESG scores mitigate this adverse effect by helping increase the likelihood of dividend payments. Overall, our findings highlight the role of ESG scores in enabling high-tech firms to implement dividend policies that yield stable returns to investors

Business · Constraint (computer-aided design) · Context (archaeology) · Corporate governance · Dividend · Dividend policy · Dividend yield · Economics · Financial system · High tech · Monetary economics · Payment · Shareholder · Yield (engineering) · Corporate Finance and Governance · Corporate Social Responsibility Reporting · Energy, Environment, Economic Growth · Finance

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