NDLI: Does the market reaction to former information influence the future voluntary disclosure of earnings forecasts

Content Provider	IEEE Xplore Digital Library
Author	Zhou Xian-hua Robert, B. Chen Gao-cai
Copyright Year	2010
Description	Author affiliation: Department of Econometrics and Business Statistics, Monash University, Australia (Robert, B.) \|\| School of Management, Shenyang Jianzhu University, P.R. China, 110168 (Zhou Xian-hua) \|\| School of Management, Donghua University, P.R. China, 201000 (Chen Gao-cai)
Abstract	In the broad, the market reacts to the earnings forecast disclosure in three ways, namely, under reaction, overreaction and expected reaction. Generally, if the market has already overreacted (under reacted) to the disclosed earnings forecast, the company will show a weak (strong) inclination to keep disclosing information. This paper studies companies which are listed on the Shanghai and Shenzhen stock exchange and have issued their earnings forecast during 2004–2006. The result shows that, what is taken in consideration when the manager decides to disclose information is how the stock market responds to the former information. If the management found the market has overreacted to its good news, the inclination for further release should be decreased, similarly if the market has under reacted to its bad news. In a word, the decision to disclose its earnings forecast or not is on the basis of consideration of past market reaction, not only on the basis of the type of news.
Starting Page	1359
Ending Page	1364
File Size	91789
Page Count	6
File Format	PDF
ISBN	9781424481163
ISSN	21551855
e-ISBN	9781424481194
DOI	10.1109/ICMSE.2010.5719969
Language	English
Publisher	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Publisher Date	2010-11-24
Publisher Place	Australia
Access Restriction	Subscribed
Rights Holder	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Subject Keyword	Industries Correlation voluntary disclosure market reaction Companies Chinese A-share market MONOS devices Mathematical model Stock markets Forecasting earnings forecast
Content Type	Text
Resource Type	Article

Sl.	Authority	Responsibilities	Communication Details
1	Ministry of Education (GoI), Department of Higher Education	Sanctioning Authority	https://www.education.gov.in/ict-initiatives
2	Indian Institute of Technology Kharagpur	Host Institute of the Project: The host institute of the project is responsible for providing infrastructure support and hosting the project	https://www.iitkgp.ac.in
3	National Digital Library of India Office, Indian Institute of Technology Kharagpur	The administrative and infrastructural headquarters of the project	Dr. B. Sutradhar bsutra@ndl.gov.in
4	Project PI / Joint PI	Principal Investigator and Joint Principal Investigators of the project	Dr. B. Sutradhar bsutra@ndl.gov.in Prof. Saswat Chakrabarti will be added soon
5	Website/Portal (Helpdesk)	Queries regarding NDLI and its services	support@ndl.gov.in
6	Contents and Copyright Issues	Queries related to content curation and copyright issues	content@ndl.gov.in
7	National Digital Library of India Club (NDLI Club)	Queries related to NDLI Club formation, support, user awareness program, seminar/symposium, collaboration, social media, promotion, and outreach	clubsupport@ndl.gov.in
8	Digital Preservation Centre (DPC)	Assistance with digitizing and archiving copyright-free printed books	dpc@ndl.gov.in
9	IDR Setup or Support	Queries related to establishment and support of Institutional Digital Repository (IDR) and IDR workshops	idr@ndl.gov.in

Earnings quality and voluntary disclosure of internal control audit reports

Does Benefit Relationship Affect Analysts’ Earnings Forecast?—Evidence from Chinese Stock Market

Listed companies' contribution to non-shareholders stakeholders: Influencing factors and value relevance of voluntary disclosure

Incentives for voluntary earnings disclosure: empirical evidence for listed taiwanese companies.

Voluntary causal disclosures: tendencies and capital market reaction. Rev. Quantitative finance and accounting (2000).

Earnings non-synchronicity and voluntary disclosure (2013)

Accounting Information, Stock Prices and Capital Market Efficiency - From the Automobile Industry of Chinese Listed Companies Empirical Data

The case of analysts ’ forecasts (2004).

Does the stock market fully appreciate the implications of leading indicators for future earnings? evidence from order backlog.

Does the market reaction to former information influence the future voluntary disclosure of earnings forecasts — Evidence from the Chinese a-share market

Similar Documents

Earnings quality and voluntary disclosure of internal control audit reports

Does Benefit Relationship Affect Analysts’ Earnings Forecast?—Evidence from Chinese Stock Market

Listed companies' contribution to non-shareholders stakeholders: Influencing factors and value relevance of voluntary disclosure

Incentives for voluntary earnings disclosure: empirical evidence for listed taiwanese companies.

Voluntary causal disclosures: tendencies and capital market reaction. Rev. Quantitative finance and accounting (2000).

Earnings non-synchronicity and voluntary disclosure (2013)

Accounting Information, Stock Prices and Capital Market Efficiency - From the Automobile Industry of Chinese Listed Companies Empirical Data

The case of analysts ’ forecasts (2004).

Does the stock market fully appreciate the implications of leading indicators for future earnings? evidence from order backlog.

Does the market reaction to former information influence the future voluntary disclosure of earnings forecasts — Evidence from the Chinese a-share market