File Download

There are no files associated with this item.

  Links for fulltext
     (May Require Subscription)
Supplementary

Article: Innovative originality, profitability, and stock returns

TitleInnovative originality, profitability, and stock returns
Authors
Issue Date2018
PublisherOxford University Press. The Journal's web site is located at http://rfs.oxfordjournals.org/
Citation
The Review of Financial Studies, 2018, v. 31 n. 7, p. 2553-2605 How to Cite?
AbstractWe propose that innovative originality is a valuable organizational resource and that owing to limited investor attention and skepticism of complexity, greater innovative originality may be undervalued. We find that firms’ innovative originality strongly predicts higher, more persistent, and less volatile profitability and higher abnormal stock returns, findings that are robust to extensive controls. The return predictive power of innovative originality is stronger for firms with higher valuation uncertainty, lower investor attention, and greater sensitivity of future profitability to innovative originality. This evidence suggests that innovative originality acts as a “competitive moat” and is undervalued by the market.
Persistent Identifierhttp://hdl.handle.net/10722/258995
ISSN
2015 Impact Factor: 3.119
2015 SCImago Journal Rankings: 9.925
SSRN

 

DC FieldValueLanguage
dc.contributor.authorHirshleifer, D-
dc.contributor.authorHsu, P-
dc.contributor.authorLi, D-
dc.date.accessioned2018-09-03T03:59:47Z-
dc.date.available2018-09-03T03:59:47Z-
dc.date.issued2018-
dc.identifier.citationThe Review of Financial Studies, 2018, v. 31 n. 7, p. 2553-2605-
dc.identifier.issn0893-9454-
dc.identifier.urihttp://hdl.handle.net/10722/258995-
dc.description.abstractWe propose that innovative originality is a valuable organizational resource and that owing to limited investor attention and skepticism of complexity, greater innovative originality may be undervalued. We find that firms’ innovative originality strongly predicts higher, more persistent, and less volatile profitability and higher abnormal stock returns, findings that are robust to extensive controls. The return predictive power of innovative originality is stronger for firms with higher valuation uncertainty, lower investor attention, and greater sensitivity of future profitability to innovative originality. This evidence suggests that innovative originality acts as a “competitive moat” and is undervalued by the market.-
dc.languageeng-
dc.publisherOxford University Press. The Journal's web site is located at http://rfs.oxfordjournals.org/-
dc.relation.ispartofThe Review of Financial Studies-
dc.rightsPre-print: Journal Title] ©: [year] [owner as specified on the article] Published by Oxford University Press [on behalf of xxxxxx]. All rights reserved. Pre-print (Once an article is published, preprint notice should be amended to): This is an electronic version of an article published in [include the complete citation information for the final version of the Article as published in the print edition of the Journal.] Post-print: This is a pre-copy-editing, author-produced PDF of an article accepted for publication in [insert journal title] following peer review. The definitive publisher-authenticated version [insert complete citation information here] is available online at: xxxxxxx [insert URL that the author will receive upon publication here].-
dc.titleInnovative originality, profitability, and stock returns-
dc.typeArticle-
dc.identifier.emailHsu, P: paulhsu@hku.hk-
dc.identifier.authorityHsu, P=rp01553-
dc.identifier.doi10.1093/rfs/hhx101-
dc.identifier.hkuros289089-
dc.identifier.volume31-
dc.identifier.issue7-
dc.identifier.spage2553-
dc.identifier.epage2605-
dc.publisher.placeUnited Kingdom-
dc.identifier.ssrn2117516-

Export via OAI-PMH Interface in XML Formats


OR


Export to Other Non-XML Formats