Brown, Stephen; Hillegeist, Stephen A.; Lo, Kin - In: Journal of Accounting and Economics 47 (2009) 3, pp. 208-225
We examine the effect of earnings surprises on changes in information asymmetry. We hypothesize and find that asymmetry is lower (higher) in the quarter following positive (negative) earnings surprises compared to firms that meet the consensus analyst earnings forecast. The relations between...