Table 3. Market valuation–investment... | Emerald Publishing

Table 3.

Market valuation–investment link in the presence of financial constraint

Dependent Variable: Net investment
S. No.	Quartile	Sales growth	Cash flow	FDev	MDev	Growth	F Test
1	Top Quartile (N = 327)	−0.0702 (−0.95)	0.035* (1.77)	0.368*** (3.25)	0.296*** (3.15)	0.261** (2.81)	2.64 (0.02)
2	2nd Quartile (N = 327)	−0.0664 (−1.11)	0.073* (1.70)	0.197** (2.09)	0.250** (2.47)	0.3316* (1.76)	2.00 (0.07)
3	3rd Quartile (N = 327)	0.0037 (0.56)	0.015* (1.65)	0.2142 (1.19)	0.186** (2.39)	0.1836 (0.87)	1.85 (0.100)
4	Bottom Quartile (N = 327)	0.007*** (7.99)	0.0100 (1.45)	−0.2756 (−1.45)	0.280** (2.66)	0.483* (1.66)	15.24 (0.000)

Dependent Variable: Net investment
S. No.	Quartile	Sales growth	Cash flow	FDev	MDev	Growth	F Test
1	Top Quartile (N = 327)	−0.0702 (−0.95)	0.035* (1.77)	0.368*** (3.25)	0.296*** (3.15)	0.261** (2.81)	2.64 (0.02)
2	2nd Quartile (N = 327)	−0.0664 (−1.11)	0.073* (1.70)	0.197** (2.09)	0.250** (2.47)	0.3316* (1.76)	2.00 (0.07)
3	3rd Quartile (N = 327)	0.0037 (0.56)	0.015* (1.65)	0.2142 (1.19)	0.186** (2.39)	0.1836 (0.87)	1.85 (0.100)
4	Bottom Quartile (N = 327)	0.007*** (7.99)	0.0100 (1.45)	−0.2756 (−1.45)	0.280** (2.66)	0.483* (1.66)	15.24 (0.000)

Notes:

t-values in parentheses. ***Significant at 1%, **significant at 5%, *significant at 10%

Source: Author’s estimation