A commentator on a financial talk show on TV says that On average, firms pay out too

Question:

A commentator on a financial talk show on TV says that “On average, firms pay out too little to stockholders. This is why stock prices go up with increases and down with decreases. ” Is the commentator right?

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...