Parent Category: Article
Earnings Surprise Implicit in Stock Prices: Which Earnings Forecasting Models are Investors Using and What Determines Their Choice?
|Title||Earnings Surprise Implicit in Stock Prices: Which Earnings Forecasting Models are Investors Using and What Determines Their Choice? ||Author(S)||Leon Zolotoy (Author) |
|Abstract|| In this paper we address the issue of modeling the relationship between stock prices and accounting earnings in the presence of potential divergence of opinion regarding the expected company earnings. We introduce a new measure of the earnings surprise, the implied earnings surprise, which we define as the weighted average of the random walk, time series and the analysts’ earnings surprises, with the weights being estimated directly from stock prices. ...||Pagination||p1161–1179|
|Journal Title||Journal of Business Finance & Accounting|| || |
|Permanent Links||click here|| || |