The literature has clearly established that corporate decisions can be driven by market value. When equity is overvalued, companies are more likely to make more investments (Baker, Stein, and Wurgler, 2003; Polk and Sapienza, 2009; Stein, 1996), conduct more mergers and acquisitions (e.g., Dong et al., 2006; Rhodes-Kropf, Robinson, and Viswanathan, 2005; Shleifer and Vishny, 2003), offer more securities and pay more dividends (Baker and Wurgler, 2000, 2002, 2004), and use more accruals (Chi and Gupta, 2009). In addition, many of these researchers also show that these decisions are followed by lower stock returns, suggesting that they are not beneficial to investors.