We examine whether the informativeness of sell-side analyst reports depends on the strength of the regulatory environment of a country and the regulatory background of the institutional investors of a company. Our analyses are based on more than 600,000 analyst reports from 2005 through 2010...

This paper examines the economic consequences of the initiation of governance analyst coverage. Governance analysts process, enhance, and disseminate governance-related information to capital market participants via, for example, governance reports and ratings. Using an exogenous shock in the...

Recent literature shows that hedge fund activism creates value for shareholders and substantially changes target firms. Sell-side analysts, however, produce analysis and generate ideas to buy-side clients including hedge funds. We investigate whether and how sell-side analyst reports affect...

Using a sample of 104 companies that conducted initial public offering (IPO) on the Warsaw Stock Exchange between 2006 and 2016, we investigated the relationship between the accuracy and bias of the earnings forecast disclosed in the IPO prospectus and the firm corporate governance attributes....

We study financial analysts’ recommendation when firms receive contentious shareholder-sponsored proposals on governance-related issues. We find that analysts’ stock recommendations in the month immediately prior to the annual meeting (at which shareholder voting on contested proxy proposals...

Firms with central boards of directors earn superior risk-adjusted stock returns. A long (short) position in the most (least) central firms earns average annual returns of 4.68%. Firms with central boards also experience higher future return-on-assets growth and more positive analyst forecast...

We develop a model where insiders' decision to manipulate earnings is linked both to their stake and to corporate governance. We show how earnings manipulation affects analysts' forecasts and institutional trading. More precisely, whenever there is “excessive” earnings manipulation, we...

We investigate how the interaction between product market competition and firm-level corporate governance enhances the accuracy of analysts' forecasts and reduces the forecasts' deviation. Using a sample of Brazilian public firms covered by analysts, we find that competitive industries provide...