| Summary: | 碩士 === 國立臺中科技大學 === 流通管理系碩士班 === 102 === This study aims to explore the information content of the different purposes of share repurchases announcement and to examine the impact of the purpose and credibility of share repurchases announcement on short-term abnormal return and actual execution ratio in the Taiwan between 2000 and 2013. The results show that the wealth effect of “buying back and canceled” purpose is strongest than other purposes. Furthermore, investors can’t gain any experiences from the purpose credibility of prior announcement to correct stock price reaction. Regarding the execution ratio, compare to other motives, “buying back and canceled” motive announcement cannot provide additional explanations for the execution ratio. Instead, post-actual “buying back and canceled” and disguisedly “buying back and canceled” events have a significantly positive impact on the execution ratio of managers. Further, disguisedly “buying back and canceled” announcements suffer an over-correction underpricing of stock. The phenomenon indicates that there is a possibility of earning management and insider trading of mangers.
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