Buy-Side Analysts and Earnings Conference Calls

• 成果类型: Article
• 署名作者: Jung, Michael J.; Wong, M. H. Franco; Zhang, X. Frank
• 署名单位: New York University; University of Toronto; Yale University
• 刊物名称: JOURNAL OF ACCOUNTING RESEARCH
• ISSN/ISSBN: 0021-8456
• DOI: 10.1111/1475-679X.12180
• 发表日期: 2018
• 页码: 913-952
• 关键词: closed conference calls; broadening access; disclosure; determinants; performance; forecasts; selection

摘要

Companies' earnings conference calls are perceived to be venues for sell-side equity analysts to ask management questions. In this study, we examine another important conference call participantthe buy-side analystthat has been underexplored in the literature due to data limitations. Using a large sample of transcripts, we identify 3,834 buy-side analysts from 701 institutional investment firms who participated (i.e., asked a question) in 13,332 conference calls to examine the determinants and implications of their participation. Buy-side analysts are more likely to participate when sell-side analyst coverage is low and dispersion in sell-side earnings forecasts is high, consistent with buy-side analysts participating when a company's information environment is poor. Institutional investors trade more of a company's stock in the quarters in which their buy-side analysts participate in the call. Finally, we find evidence that buy-side analyst participation is associated with company-level absolute changes in future stock price, trading volume, institutional ownership, and short interest.