Showing 1 - 10 of 2,115
We investigate how the tone of sell-side debt analysts' discussions about debt-equity conflict events affects the informativeness of debt analysts' reports in debt markets. Conflict events such as mergers and acquisitions, debt issuance, share repurchases, or dividend payments potentially...
Persistent link: https://www.econbiz.de/10013095014
Persistent link: https://www.econbiz.de/10012433123
I examine the role of sell-side debt analyst reports in the corporate bond market for financially distressed firms. Debt analysts are not subject to the same conflict-of-interest regulations as equity analysts, and for this reason it is an open question whether the primary function of debt...
Persistent link: https://www.econbiz.de/10012984684
Using a random sample of 60% of our cross-sectional data on U.S. stocks from 1964 to 2012, we trained four machine learning algorithms to forecast debt paydown over a one-year horizon. An evaluation of these candidate models on half of the hold-out sample (20% of the original dataset) showed...
Persistent link: https://www.econbiz.de/10012992854
Sell-side analysts play an important role in propagating corporate capital structure choices across firms. Using exogenous characteristics of analyst network peers as well as the “friends-of-friends” approach from the network effects literature to identify peer effects, we find that...
Persistent link: https://www.econbiz.de/10012970390
I investigate whether the financial reporting quality (FRQ) of a firm influences the propensity of institutional investors to simultaneously hold the firm’s debt and equity (i.e., dual-holders). I predict that the underlying reason for institutional dual-holding in firms with low FRQ is access...
Persistent link: https://www.econbiz.de/10014352333
We use the staggered introduction of a major financial reporting regulation worldwide to study whether firms make financing decisions consistent with the pecking order theory. Exploiting cross-country and within country-year variation, we document that treated firms increase their issuance of...
Persistent link: https://www.econbiz.de/10012857192
We analyse interactions of simultaneous shifts in comprehensive balance sheet items annually and identify common (latent) factors, which are consistent across years. Five factors are interpreted to reflect five major decisions in businesses: Financial Flexibility, Short-term Credit, Long-term...
Persistent link: https://www.econbiz.de/10013066402
We study changes in financial policies following a regulatory shock to the accounting transparency of defined benefit …
Persistent link: https://www.econbiz.de/10012829065
This paper studies the effect of financial constraints and financial distress on accounting restatements; specifically … the interest coverage ratio-influence the likelihood of an accounting restatement. To do so, we use a sample of Spanish … associated with a higher incidence of accounting restatements. Our evidence is consistent with the argument that financially …
Persistent link: https://www.econbiz.de/10015055556