File Download
There are no files associated with this item.
Links for fulltext
(May Require Subscription)
- Publisher Website: 10.2308/accr.2009.84.5.1639
- Scopus: eid_2-s2.0-72149100994
- WOS: WOS:000270298300011
- Find via
Supplementary
- Citations:
- Appears in Collections:
Article: The effect of disclosures by management, analysts, and business press on cost of capital, return volatility, and analyst forecasts: A study using content analysis
Title | The effect of disclosures by management, analysts, and business press on cost of capital, return volatility, and analyst forecasts: A study using content analysis |
---|---|
Authors | |
Keywords | Content Analysis Cost Of Capital Disclosure |
Issue Date | 2009 |
Publisher | American Accounting Association. The Journal's web site is located at http://aaapubs.aip.org/accr/ |
Citation | Accounting Review, 2009, v. 84 n. 5, p. 1639-1670 How to Cite? |
Abstract | We document systematic evidence of risk effects of disclosures culled from a virtually exhaustive set of sources from the print medium. We content analyze more than 100,000 disclosure reports by management, analysts, and news reporters (i.e., business press) in constructing firm-specific disclosure measures that are quantitative and amenable to replication. We expect credibility and timeliness differences in the disclosures by source, which would translate into differential cost of capital effects. We find that when content analysis indicates favorable disclosures, the firm's risk, as proxied by the cost of capital, stock return volatility, and analyst forecast dispersion, declines significantly. In contrast, unfavorable disclosures are accompanied by significant increases in risk measures. Analysis of disclosures by source-corporations, analysts, and the business press-reveals that negative disclosures from business press sources result in increased cost of capital and return volatility, and favorable reports from business press reduce the cost of capital and return volatility. |
Persistent Identifier | http://hdl.handle.net/10722/178039 |
ISSN | 2023 Impact Factor: 4.4 2023 SCImago Journal Rankings: 4.640 |
ISI Accession Number ID | |
References |
DC Field | Value | Language |
---|---|---|
dc.contributor.author | Kothari, SP | en_US |
dc.contributor.author | Li, X | en_US |
dc.contributor.author | Short, JE | en_US |
dc.date.accessioned | 2012-12-19T09:41:39Z | - |
dc.date.available | 2012-12-19T09:41:39Z | - |
dc.date.issued | 2009 | en_US |
dc.identifier.citation | Accounting Review, 2009, v. 84 n. 5, p. 1639-1670 | en_US |
dc.identifier.issn | 0001-4826 | en_US |
dc.identifier.uri | http://hdl.handle.net/10722/178039 | - |
dc.description.abstract | We document systematic evidence of risk effects of disclosures culled from a virtually exhaustive set of sources from the print medium. We content analyze more than 100,000 disclosure reports by management, analysts, and news reporters (i.e., business press) in constructing firm-specific disclosure measures that are quantitative and amenable to replication. We expect credibility and timeliness differences in the disclosures by source, which would translate into differential cost of capital effects. We find that when content analysis indicates favorable disclosures, the firm's risk, as proxied by the cost of capital, stock return volatility, and analyst forecast dispersion, declines significantly. In contrast, unfavorable disclosures are accompanied by significant increases in risk measures. Analysis of disclosures by source-corporations, analysts, and the business press-reveals that negative disclosures from business press sources result in increased cost of capital and return volatility, and favorable reports from business press reduce the cost of capital and return volatility. | en_US |
dc.language | eng | en_US |
dc.publisher | American Accounting Association. The Journal's web site is located at http://aaapubs.aip.org/accr/ | en_US |
dc.relation.ispartof | Accounting Review | en_US |
dc.subject | Content Analysis | en_US |
dc.subject | Cost Of Capital | en_US |
dc.subject | Disclosure | en_US |
dc.title | The effect of disclosures by management, analysts, and business press on cost of capital, return volatility, and analyst forecasts: A study using content analysis | en_US |
dc.type | Article | en_US |
dc.identifier.email | Li, X: xuli1@hku.hk | en_US |
dc.identifier.authority | Li, X=rp01615 | en_US |
dc.description.nature | link_to_subscribed_fulltext | en_US |
dc.identifier.doi | 10.2308/accr.2009.84.5.1639 | en_US |
dc.identifier.scopus | eid_2-s2.0-72149100994 | en_US |
dc.relation.references | http://www.scopus.com/mlt/select.url?eid=2-s2.0-72149100994&selection=ref&src=s&origin=recordpage | en_US |
dc.identifier.volume | 84 | en_US |
dc.identifier.issue | 5 | en_US |
dc.identifier.spage | 1639 | en_US |
dc.identifier.epage | 1670 | en_US |
dc.identifier.isi | WOS:000270298300011 | - |
dc.publisher.place | United States | en_US |
dc.identifier.scopusauthorid | Kothari, SP=7102665346 | en_US |
dc.identifier.scopusauthorid | Li, X=42961803500 | en_US |
dc.identifier.scopusauthorid | Short, JE=35224022000 | en_US |
dc.identifier.issnl | 0001-4826 | - |