WebOur identification strategies suggest a negative causal effect of analyst coverage on firm innovation. The evidence is consistent with the hypothesis that analysts exert too much pressure on managers to meet short-term goals, impeding firms' investment in long-term innovative projects. WebFeb 5, 2013 · The Dark Side of Analyst Coverage: The Case of Innovation February 2013 DOI: Authors: Jie He University of Georgia Xuan Tian Indiana University Bloomington Request …
The dark side of analyst estimates and forecasts - IFA Magazine
WebSep 30, 2024 · Although a promising turn for the US economy, it was not such a great time for the many analysts and economists who tried to forecast the number… and got it … WebThe Dark Side of Analyst Coverage: The Case of Innovation Abstract We examine the effect of analyst coverage on firm innovation. Our baseline results show that firms covered by a … higgs centre edinburgh
Analyst/Issuer Guidelines - CFA Institute
WebAug 1, 2024 · Analyst coverage improves information transparency, increases firms' short-term performance pressure, limits or prevents management's short-sighted behavior, and weakens managers' willingness... WebHigh‐fWHR analysts are also more likely to issue bold positive forecasts but less likely to convey bold negative news. The market shows its concern regarding such opportunistic forecasting behaviour and penalizes analysts with greater fWHR by reacting less to the forecast revisions they issue. Suggested Citation WebOur identification strategies suggest a negative causal effect of analyst coverage on firm innovation. The evidence is consistent with the hypothesis that analysts exert too much pressure on managers to meet short-term goals, impeding firms' investment in long-term innovative projects. higgs.ch