Effect of Earnings Per Share and Dividend Per Share on Corporate Share Value of Listed Consumer Goods Companies in Nigeria
Abstract
The study investigated the effect of earnings per share and dividend per share on corporate share value of listed consumer goods companies in Nigeria. Ex-post facto research design was adopted. A sample size of 79 consumer goods companies in Nigeria was selected for a period of ten years (2016 – 2025). The sample of 79 was got from a population of 179 using Taro Yamane method. The data were extracted from the Nigeria Exchange Group. Descriptive statistics, variance inflation factor and generalized method of moments were utilized in analyzing the data. The result revealed that earnings per share have no significant effect on market price per share of listed consumer goods companies in Nigeria. On the other hand, dividend per share, combined effects of earnings per share and dividend per share have a significant effect on market price per share of listed consumer goods companies in Nigeria. Based on the findings, the study recommends that consumer goods companies in Nigeria should focus on improving the quality and transparency of their earnings reports. This can be achieved through better financial disclosures, cost control, and sustainable profit strategies to ensure investor confidence. Companies should strive to maintain regular dividend payments, as this will attract and retain investors, thereby enhancing market value.
Keywords
Earnings per sharedividend per sharecorporate share valuemarket price per shareconsumer goods companies.
References
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