Several recent papers assume that private information (PIN), proposed by Easley, Hvidkjaer and O'Hara (2002, 2004), is a determinant of stock returns. We replicate Easley, Hvidkjaer and O'Hara (2002) and show that while PIN does predict future returns in the sample they analyze, the effect is...

Sloan (1996) and several follow up papers show that the stock market behaves as though it cannot understand the implications of accruals for future earnings. We propose and find evidence consistent with the hypothesis that risk-averse arbitrageurs are unable to eliminate accrual related...

A number of recent studies assume market efficiency and hence interpret an association between stock returns and leading indicators as evidence of the contribution of such indicators to future earnings. We explicitly examine (i) whether one leading indicator - order backlog - has predictive...

Using a sample of petroleum refining firms, this paper provides evidence that earnings sensitivity measures analogous to those mandated by the SEC's (1997) new market risk disclosure rules are positively associated with stock market determined oil price exposures. We also find that earnings...

We examine several explanations drawn from prior academic research and current popular press anecdotes for the unprecedented level of underpricing in Internet IPOs. Our sample consists of 342 Internet firms that went public between 1988 and 1999 and a matched sample of 249 non-Internet IPOs. The...

Claims have often been made that the quality of the online customer experience in terms of web site ease of use, selection of goods offered, quality of customer service, the effectiveness of virtual community building, and site personalization are crucial to the success of e-commerce firms. If...

We consider stock markets in 20 countries to investigate whether the accrual anomaly (Sloan 1996), characterized by U.S. stock prices overweighting the role of accrual persistence, is a local manifestation of a global phenomenon. We explore whether the occurrence of the anomaly is related to...

Although leading indicators are becoming increasingly important for equity valuation, disclosures of such indicators suffer from the absence of GAAP related guidance on content and presentation. We explicitly examine (i) whether one leading indicator - order backlog - predicts future earnings,...

The financial press and accounting regulators (e.g., the SEC and FASB) have expressed concern about pressures on Internet firms to report high levels of revenue. This study verifies the association between market capitalization and revenue, and examines economic factors that potentially...

US state governments frequently provide firms with targeted subsidies. In exchange, recipient firms promise to create or retain a certain number of jobs in the subsidizing state. In this paper, using novel hand-collected data, we address three questions: (i) the extent to which firms meet job...