Issue: Số 30 - Tháng 10- 2025Tài chính - Ngân hàng - Bảo hiểm
Dividend policy and stock price volatility: Evidence from listed firms in the Vietnamese stock market
Published: July 29, 2026
Abstract
This study investigates the impact of dividend policy on stock price volatility using data from 100 companies listed on HoSE and HNX that paid cash dividends during the 2020–2024 period. To address endogeneity and enhance the robustness of the findings, the System Generalized Method of Moments (S-GMM) is employed. The empirical results indicate that dividend yield (DY) exerts a negative and statistically significant effect on price volatility at the 1% level, consistent with prior research such as Baskin (1989) and Hussainey et al. (2011). In contrast, the dividend payout ratio (DP) shows a positive but statistically insignificant relationship with volatility. Regarding control variables, EPS is negatively associated with price fluctuations, while ROE and financial leverage (LEV) display positive and significant effects, suggesting that higher profitability and leverage may heighten volatility risk. Additionally, the Covid-19 dummy variable exhibits a positive and highly significant impact at the 1% level, highlighting the substantial influence of macroeconomic shocks on market behavior.
Keywords
dividend policyprice fluctuationsstockslisted companies on the Vietnamese stock market
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