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作者：Holzman, Eric R.; Miller, Brian P.; Twedt, Brady J.
作者单位：Indiana University System; Indiana University Bloomington; IU Kelley School of Business; Texas A&M University System; Texas A&M University College Station; Mays Business School
摘要：A longstanding literature suggests that earnings provide the market with relevant information about firm performance, but one often overlooked benefit is their role in disciplining market expectations. This study examines the role of earnings announcements in constraining potential mispricing associated with firm-specific media sentiment. We show that media sentiment-driven quarterly returns (orthogonal to risk factors and fundamental news) largely reverse when public earnings are released. Ou...
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作者：Cade, Nicole L.; Garavaglia, Shannon M.; Hoffman, Vicky B.
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); University of Pittsburgh
摘要：We conduct an experiment in the securities-based crowdfunding setting to investigate whether some investors avoid accounting information for psychological reasons, even when they understand the information is useful in their decision-making. Results suggest investors who experience relatively more psychological discomfort when working with quantitative information are relatively less likely to acquire the financial statements of a potential crowdfunding investment. Importantly, this effect is ...
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作者：Dambra, Michael; Even-Tov, Omri; Munevar, Kimberlyn
作者单位：State University of New York (SUNY) System; University at Buffalo, SUNY; University of California System; University of California Berkeley
摘要：This paper examines the informativeness of special purpose acquisition company (SPAC) revenue forecasts. We document a positive association between the compound annual growth rate in revenue forecasts and abnormal returns, retail trading, and Twitter activity in the five-day window surrounding the disclosure of a merger announcement. By contrast, we find limited evidence that institutional investors and traditional information intermediaries respond to SPAC revenue forecasts. We also find evid...
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作者：Ege, Matthew S.; Kim, Young Hoon; Wang, Dechun
作者单位：Texas A&M University System; Texas A&M University College Station; Mays Business School; George Mason University
摘要：Using a comprehensive database of U.S. internal auditor job postings, we find that firms are about 10 percent more likely to post an internal auditor job after the revelation of accounting and operational failures. Also, the demand for internal auditors is stronger when a failure is more severe. Among firms posting internal auditor jobs, firms demand higher-quality internal auditors in response to a failure compared with when there has not been a recent failure. We find evidence of internal au...
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作者：Koo, Minjae; Sivaramakrishnan, Konduru; Zhao, Yuping
作者单位：Chinese University of Hong Kong; Rice University; University of Houston System; University of Houston
摘要：Fair value estimates from external third-party sources are generally considered more reliable than internal estimates based on managerial inputs. However, even externally sourced estimates are subject to managerial opportunism, because firms can switch from one external source to another. In the context of life insurance companies that mostly rely on external sources, we posit that such source switches could be driven by managerial incentive either to faithfully report fair values (objective v...
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作者：Ecker, Frank; Francis, Jennifer; Olsson, Per; Schipper, Katherine
作者单位：Frankfurt School Finance & Management; Duke University
摘要：For a broad sample of firms, we use structural equations modeling to construct latent variables for realaction aggressiveness and reporting policy aggressiveness. We estimate the association between the latent variables and the associations of each latent variable with shareholder payoffs (returns) and CEO payoffs (annual compensation to the CEO position). Results show the two types of aggressiveness are positively correlated but have different associations with the payoffs we consider. Greate...
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作者：Huang, Allen H.; Kraft, Pepa; Wang, Shiheng
作者单位：Hong Kong University of Science & Technology; Hautes Etudes Commerciales (HEC) Paris
摘要：This study examines whether and when credit ratings are useful for accounting fraud prediction. We find that negative rating actions by Standard & Poor's (S&P), an issuer-paid credit rating agency (CRA), have predictive ability for fraud incremental to fraud prediction models (e.g., F-score) and other market participants. In contrast, rating actions by Egan-Jones Rating Company (EJR), an investor-paid CRA relying on public information, have less predictive ability, which is subsumed by S&P and...
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作者：Jiang, Xu; Tang, Chao; Zhang, Gaoqing
作者单位：Duke University; Hong Kong University of Science & Technology; University of Minnesota System; University of Minnesota Twin Cities
摘要：We study the economic impacts of adopting harmonized accounting standards when firms' investments exhibit beauty contest features. We model harmonized accounting standards as common/correlated noises in firms' accounting reports. We show that while more harmonized accounting standards have ambiguous effects on the reports' informativeness in representing firms' underlying fundamentals, they always reduce their usefulness in forecasting aggregate investments. Therefore, the stronger the beauty ...
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作者：Millo, Yuval; Spence, Crawford; Valentine, James
作者单位：University of Warwick; University of London; King's College London; Marquette University
摘要：Literature on equity analysts presents a conundrum: analysts are seen as influential market participants, yet researchers widely criticize them for their bias and inaccuracy. Studies drawing from economic frames struggle to explain this. Therefore, we develop a new conceptualization that positions analysts as actors operating in a social field. Drawing on a qualitative study involving 70 interviews with analysts and portfolio managers, we offer two broad insights. First, we identify long-term ...
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作者：Hecht, Gary; Maas, Victor S.; van Rinsum, Marcel
作者单位：University of Illinois System; University of Illinois Urbana-Champaign; University of Amsterdam; Erasmus University Rotterdam; Erasmus University Rotterdam - Excl Erasmus MC
摘要：We investigate managers' propensity to engage in strategic promotion behavior. Strategic promotion behavior occurs when managers pursue personal economic interests when contributing to employee promotion decisions, such that the probability that relatively lower performing employees are selected for a promotion is increased. We develop theory about how two important organizational characteristics-transparency about individual performance levels and the presence of group incentives-jointly affe...
