Despite the apparent importance of ‘‘street earnings'' to investors, we know relatively little about the process through which this earnings metric is determined. The limited evidence in the extant literature provides analyst-centric explanations, suggesting that analysts' abilities and...

A significant proportion of sell-side analysts’ recommendation revisions are directionally inconsistent with their earnings forecast revisions. For example, analysts revise earnings forecasts upward (downward) while simultaneously downgrading (upgrading) the recommendation. Prior research is...