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作者：Banerjee, Sanjay; Maier, Michael
作者单位：University of Alberta
摘要：More precise public disclosure reduces uncertainty about economic fundamentals, but it can increase uncertainty about other agents' actions, leading to coordination failure. We conducted a laboratory experiment to study the effects of public information precision and strategic complementarity on coordination failure. Information precision is operationalized in terms of granularity (level of detail). We found that (1) granular public disclosure, which is disaggregated and precise, increases the...
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作者：Jame, Russell; Johnston, Rick; Markov, Stanimir; Wolfe, Michael C.
作者单位：University of Kentucky; University of Alabama System; University of Alabama Birmingham; Southern Methodist University; Virginia Polytechnic Institute & State University
摘要：Crowdsourcingwhen a task normally performed by employees is outsourced to a large network of people via an open callis making inroads into the investment research industry. We shed light on this new phenomenon by examining the value of crowdsourced earnings forecasts. Our sample includes 51,012 forecasts provided by Estimize, an open platform that solicits and reports forecasts from over 3,000 contributors. We find that Estimize forecasts are incrementally useful in forecasting earnings and me...
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作者：Li, Ningzhong
作者单位：University of Texas System; University of Texas Dallas
摘要：This paper examines how performance measures are defined in major earnings-based financial covenants in loan contracts to shed light on the economic rationales underlying the contractual use of performance measures. I find an earnings-based covenant is typically based on a performance measure close to earnings before interest, tax, amortization, and depreciation expenses (EBITDA). However, my empirical analyses show that EBITDA is less useful in explaining credit risk than earnings before inte...
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作者：Bernhardt, Dan; Wan, Chi; Xiao, Zhijie
作者单位：University of Illinois System; University of Illinois Chicago; University of Illinois Chicago Hospital; University of Warwick; University of Massachusetts System; University of Massachusetts Boston; Boston College
摘要：We estimate the dynamics of recommendations by financial analysts, uncovering the determinants of inertia in their recommendations. We provide overwhelming evidence that analysts revise recommendations reluctantly, introducing frictions to avoid frequent revisions. More generally, we characterize the sources underlying the infrequent revisions that analysts make. Publicly available data matter far less for explaining recommendation dynamics than do the recommendation frictions and the long-liv...
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作者：Loughran, Tim; Mcdonald, Bill
作者单位：University of Notre Dame
摘要：Relative to quantitative methods traditionally used in accounting and finance, textual analysis is substantially less precise. Thus, understanding the art is of equal importance to understanding the science. In this survey, we describe the nuances of the method and, as users of textual analysis, some of the tripwires in implementation. We also review the contemporary textual analysis literature and highlight areas of future research.
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作者：Lee, Lian Fen; Lo, Alvis K.
作者单位：Boston College
摘要：We examine whether opinions on firms subsequently revealed to have misstated earnings affect analysts' reputation with investors. We find that positive opinions by bullish analysts hurt their reputation, leading investors to react less to their research on non-misstatement firms after the misstatement revelation (i.e., negative spillovers). We also find that bearish analysts issuing more negative opinions gain reputation and experience positive spillovers. Finally, for analysts who dropped cov...
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作者：Demerjian, Peter R.; Donovan, John; Larson, Chad R.
作者单位：University of Washington; University of Washington Seattle; University of Notre Dame; University of Houston System; University of Houston
摘要：We examine how fair value accounting affects debt contract design, specifically the use and definition of financial covenants in private loan contracts. Using SFAS 159 adoption as our setting, we find that a small but significant proportion of loans (14.5%) modify covenant definitions to exclude the effects of SFAS 159 fair values. Only a limited number of these modifications exclude assets elected at fair value (less than 7%), while all exclude liabilities elected at fair value. Notably, we d...
