Does the equity market reward “superior” management earnings forecast? Evidence from the U.S. quarterly earnings guidance / Tina Wang

• Main Author: Wang, Tina
• Format: Article
• Language: English
• Published: Universiti Teknologi MARA 2021
• Subjects: Investment, capital formation, speculation
• Online Access: https://ir.uitm.edu.my/id/eprint/56511/1/56511.pdf; https://ir.uitm.edu.my/id/eprint/56511/; https://apmaj.uitm.edu.my

This paper examines whether equity markets reward the controversial practice of issuing short-term management earnings forecasts. Using a large sample of quarterly earnings forecasts, this research found that firms may temporarily reduce stock price volatility by issuing quarterly earnings forecasts...