The impact of market reaction in times of surplus cash holdings

This study aimed to evaluate the market reaction in times of surplus cash holdings in companies listed in Tehran Stock Exchange took place in 1393.The study sample includes all companies listed in Tehran Exchange Stock from 1388 to 1393.Tehran Stock Exchange statistical method used in this research is panel data to help software Eviews 7 software Excel 2007 .Thus, we conclude that the surplus cash holdings and transactions of trading days, stock returns, there is a direct relationship between the systemic risk And the market reaction is a direct relationship between excess cash holdings there. The findings showed that companies that hold large cash will be increased systemic risk.