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| Content Provider | Springer Nature Link |
|---|---|
| Author | Gyamfi Yeboah, Frank Ziobrowski, Alan J. Lambert, Lisa Schurer |
| Copyright Year | 2010 |
| Abstract | This study examines the reaction of REIT prices to unexpected FFO announcements. Using both the traditionally constrained models and an unconstrained model, we find that the market reacts significantly when REITs announce unexpected FFO with a stronger response for positive than negative surprises. Also, we find that FFO explains significantly more variance in abnormal returns than net income supporting our conjecture that FFO, being more accurately reflective of cash flow, provides more useful information to investors than traditional GAAP measures. Our results are robust to different specifications. The results also suggest that the traditional approaches have been misspecified. |
| Starting Page | 622 |
| Ending Page | 644 |
| Page Count | 23 |
| File Format | |
| ISSN | 08955638 |
| Journal | The Journal of Real Estate Finance and Economics |
| Volume Number | 45 |
| Issue Number | 3 |
| e-ISSN | 1573045X |
| Language | English |
| Publisher | Springer US |
| Publisher Date | 2010-11-12 |
| Publisher Place | Boston |
| Access Restriction | One Nation One Subscription (ONOS) |
| Subject Keyword | REITs FFO Net income Market reaction Asymmetric response Finance/Investment/Banking Regional/Spatial Science |
| Content Type | Text |
| Resource Type | Article |
| Subject | Finance Urban Studies Accounting Economics and Econometrics |
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