التفاصيل البيبلوغرافية
| العنوان: |
Operating Leverage*. |
| المؤلفون: |
NOVY-MARX, ROBERT1 |
| المصدر: |
Review of Finance. Jan2011, Vol. 15 Issue 1, p103-134. 32p. 8 Charts, 1 Graph. |
| مصطلحات موضوعية: |
Operating leverage, Expected returns, Rate of return, Financial leverage, Capital intensity |
| مستخلص: |
I derive and test implications of the operating leverage hypothesis for the cross-section of expected returns. Using a novel measure of operating leverage, I document that operating leverage predicts returns in the cross-section, and that strategies formed by sorting on operating leverage earn significant excess returns. Operating leverage also explains why the value premium is weak and non-monotonic across industries, but strong and monotonic within industries. Intra-industry differences in book-to-market are driven by differences in operating leverage, giving rise to expected return differences. Industry differences in book-to-market are driven by differences in the capital intensity of production unrelated to returns. [ABSTRACT FROM PUBLISHER] |
| قاعدة البيانات: |
Finance Source |
