Economics
S. Nowroozi; M.H. Ranjbar; J. Asadnia
Abstract
The aim of this study is to investigate the information content of quarterly earnings announcements of firms in Tehran Stock Exchange's information needs of stakeholders and investigate influential factors on it and then propose optimal model. To provide a measure of how much value-relevant information ...
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The aim of this study is to investigate the information content of quarterly earnings announcements of firms in Tehran Stock Exchange's information needs of stakeholders and investigate influential factors on it and then propose optimal model. To provide a measure of how much value-relevant information is provided at earnings releases, we calculate the adjusted R2 from a regression of calendar-year returns on returns in each of the four seven-day announcement “event windows” during the year. In order to investigate more, we investigate the factors affecting this information content. Therefore, the financial data of 106 firms for the period between the years 1385 to 1389 were analyzed. Results showed that announcement of quarterly earnings an average of 9 to 17 percent of total annual information that affect stock prices of companies and this indicates that the primary role of announcement of quarterly earnings for investors and other stakeholders is not to provide timely information, but it increase the reliability of other sources of information that issue timelier. Also other results of this study show that there are a significant positive relation between the information content of quarterly earnings announcements and some variables such as growth opportunities and quality and nature of earnings and a negative and significant relationship with the size, financial leverage and age of firm. Finally optimal model of research are propose in below:
Innovation and Technology
A. Hosseinpour; M. Ranjbar; J. Asadnia; F. Ahmadi
Abstract
Behavioral and psychological factors, such as power, agency costs, profit management, and myopic behavior of managers can affect information transparency and cause significant changes. Evidence, on the other hand, suggests that investors determine the value of stocks under the influence of judgments ...
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Behavioral and psychological factors, such as power, agency costs, profit management, and myopic behavior of managers can affect information transparency and cause significant changes. Evidence, on the other hand, suggests that investors determine the value of stocks under the influence of judgments based on mental imagery, unscientific information, and the psychological and emotional conditions of the stock exchange. However, investors can be present in this market relying on information transparency. Therefore, considering the importance of these relations for market, the present study is an attempt to investigate the effect of managers' ethical and behavioral characteristics on investors’ sentiments in companies listed on the Tehran Stock Exchange. For this purpose, hypotheses are developed and data of Companies listed on Tehran Stock Exchange during 2009 to 2018 are analyzed. The statistical population of the study includes 150 companies, selected by systematic elimination. The regression model of the research is tested using panel data method with integrated effects approach. The results show that with regard to the effect of managers’ ethical and behavioral characteristics, optimism, short-sightedness, agency behavior, and profit management intensify investors' sentiment and have a positive and significant effect on it by reducing transparency in firms’ decision-making environment. Moreover, the results confirm that the managerial power index, which reflects manager's authoritative behavior, has no significant effect on investors' sentiment.