چكيده لاتين
Corporate social responsibility (CSR) refers to a companyʹs commitment to conducting its business activities in an ethical and sustainable manner, taking into account its impact on society, the environment, and the economy. CSR can influence corporate value by enhancing a companyʹs reputation, improving customer loyalty, and mitigating regulatory risks. Companies that actively invest in social responsibility initiatives often experience positive effects on their growth rates, attracting both investors and informed customers. Furthermore, such investments can lower a company’s cost of equity by reducing perceived risk among investors and lenders. Given the importance of this subject, the present study investigates the impact of CSR on company value, growth rate, and cost of equity.
This study is applied in nature and focuses on companies listed on the Tehran Stock Exchange. Using a screening method, a sample of 130 companies was selected for the period 2013 to 2022. Data were sourced from the comprehensive Codal Publishers website and the Rahavard Novin database. Hypotheses were tested using multiple regression analysis, performed in Eviews software.
The results of the hypothesis tests in three areas—company value, growth rate, and cost of equity—are as follows. In the area of company value, CSR was found to have a positive effect. However, CSR did not have a positive effect on changes in stock prices for highly valued firms, nor did its impact on company value increase over time. In terms of company growth rate, CSR had a positive effect, but this effect was not significant for highly valued companies, and its influence on growth rates did not increase over time. Lastly, with regard to cost of equity, CSR was found to have a negative effect. Notably, for highly valued companies, CSR also reduced the cost of equity, and its influence on reducing cost of equity increased over time.
