The persistent effect of equity market timing on capital structure during right issue

This research aims to find empirical evidence of the persistent effects market timing equity on capital structure (CS) in Indonesia as measured by book leverage (BL) and (ML) due inconsistent results previous studies, both inside outside Indonesia. The data was collected from companies that published right issue (RI) 2000 2019 listed Stock Exchange. which were used sample, they had higher than 1. hypothesis examined using two types regression analysis: ordinary least squares examine cross-section Fama-McBeth for testing panel data. this uncovered effect BL ML at RI+1, RI+2, RI+3, RI+4, RI+5, total, RI+1 RI+5. Moreover,a two-pair sample t-test analyze issuance new shares or debt. revealed when RI+3 ML, company issued (NEI) large numbers, so debt issues (NDI) decreased. Further, is beneficial determine time during a rights obtain high share price cost remains low.