Chen, Sheng-Syan; Ho, Lan-Chih; Shih, Yi-Cheng - In: Financial Management 36 (2007) 2, pp. 1-21
We examine how announcements of corporate capital investments by one firm affect the stock prices of its competitors. We find that on average, rivals experience a signifi cantly negative valuation effect. The results suggest that for the sample as a whole, the competitive effect dominates the...