The moderate effect of EPS
| (1) | (2) | (3) | (4) | (5) | (6) | |
|---|---|---|---|---|---|---|
| High EPS | Low EPS | |||||
| Variables | LLP/Assetit+1 | LLP/Equityit+1 | LLP/Loansit+1 | LLP/Assetit+1 | LLP/Equityit+1 | LLP/Loansit+1 |
| CFP | −0.001** | −0.046*** | −0.003** | −0.005*** | −0.056*** | −0.007*** |
| (−2.508) | (−4.695) | (−2.455) | (−5.503) | (−6.208) | (−4.704) | |
| Size | −0.001*** | −0.022*** | −0.002*** | −0.004*** | −0.039*** | −0.006*** |
| (−3.251) | (−4.929) | (−3.362) | (−10.776) | (−11.582) | (−10.960) | |
| Leverage | −0.000*** | 0.002** | −0.000*** | −0.001*** | 0.002** | −0.001*** |
| (−4.673) | (2.174) | (−3.807) | (−4.893) | (2.074) | (−3.813) | |
| Diversified | 0.016*** | 0.221*** | 0.026*** | 0.008*** | 0.071*** | 0.017*** |
| (9.923) | (11.682) | (9.619) | (4.313) | (3.976) | (5.589) | |
| GrowthRevenue | 0.003*** | 0.046*** | 0.006*** | 0.002*** | 0.020*** | 0.005*** |
| (4.137) | (5.163) | (4.398) | (3.278) | (2.925) | (4.301) | |
| Efficiency | −0.001 | −0.013 | −0.003** | −0.006*** | −0.039*** | −0.008*** |
| (−1.317) | (−1.504) | (−2.210) | (−7.863) | (−5.588) | (−6.533) | |
| GDPGrowth | −0.004 | −0.071 | −0.011 | −0.046*** | −0.473*** | −0.099*** |
| (−0.624) | (−0.992) | (−1.059) | (−7.486) | (−7.876) | (−9.835) | |
| HHI | −0.021* | −0.039 | −0.020 | −0.088*** | −0.653*** | −0.126*** |
| (−1.861) | (−0.300) | (−1.081) | (−7.094) | (−5.369) | (−6.187) | |
| Constant | 0.018*** | 0.172*** | 0.030*** | 0.052*** | 0.437*** | 0.079*** |
| (5.122) | (4.058) | (4.970) | (14.046) | (12.079) | (12.980) | |
| Bank FE | Yes | Yes | Yes | Yes | Yes | Yes |
| Year FE | Yes | Yes | Yes | Yes | Yes | Yes |
| Obs | 1,313 | 1,313 | 1,313 | 1,221 | 1,221 | 1,221 |
| Adj R2 | 0.138 | 0.203 | 0.140 | 0.353 | 0.348 | 0.367 |
| (1) | (2) | (3) | (4) | (5) | (6) | |
|---|---|---|---|---|---|---|
| High EPS | Low EPS | |||||
| Variables | LLP/Assetit+1 | LLP/Equityit+1 | LLP/Loansit+1 | LLP/Assetit+1 | LLP/Equityit+1 | LLP/Loansit+1 |
| CFP | −0.001** | −0.046*** | −0.003** | −0.005*** | −0.056*** | −0.007*** |
| (−2.508) | (−4.695) | (−2.455) | (−5.503) | (−6.208) | (−4.704) | |
| Size | −0.001*** | −0.022*** | −0.002*** | −0.004*** | −0.039*** | −0.006*** |
| (−3.251) | (−4.929) | (−3.362) | (−10.776) | (−11.582) | (−10.960) | |
| Leverage | −0.000*** | 0.002** | −0.000*** | −0.001*** | 0.002** | −0.001*** |
| (−4.673) | (2.174) | (−3.807) | (−4.893) | (2.074) | (−3.813) | |
| Diversified | 0.016*** | 0.221*** | 0.026*** | 0.008*** | 0.071*** | 0.017*** |
| (9.923) | (11.682) | (9.619) | (4.313) | (3.976) | (5.589) | |
| GrowthRevenue | 0.003*** | 0.046*** | 0.006*** | 0.002*** | 0.020*** | 0.005*** |
| (4.137) | (5.163) | (4.398) | (3.278) | (2.925) | (4.301) | |
| Efficiency | −0.001 | −0.013 | −0.003** | −0.006*** | −0.039*** | −0.008*** |
| (−1.317) | (−1.504) | (−2.210) | (−7.863) | (−5.588) | (−6.533) | |
| GDPGrowth | −0.004 | −0.071 | −0.011 | −0.046*** | −0.473*** | −0.099*** |
| (−0.624) | (−0.992) | (−1.059) | (−7.486) | (−7.876) | (−9.835) | |
| HHI | −0.021* | −0.039 | −0.020 | −0.088*** | −0.653*** | −0.126*** |
| (−1.861) | (−0.300) | (−1.081) | (−7.094) | (−5.369) | (−6.187) | |
| Constant | 0.018*** | 0.172*** | 0.030*** | 0.052*** | 0.437*** | 0.079*** |
| (5.122) | (4.058) | (4.970) | (14.046) | (12.079) | (12.980) | |
| Bank FE | Yes | Yes | Yes | Yes | Yes | Yes |
| Year FE | Yes | Yes | Yes | Yes | Yes | Yes |
| Obs | 1,313 | 1,313 | 1,313 | 1,221 | 1,221 | 1,221 |
| Adj | 0.138 | 0.203 | 0.140 | 0.353 | 0.348 | 0.367 |
Note(s): t-statistics are shown in parentheses. ***, **, and * denote statistical significance at the 1%, 5%, and 10% levels, respectively