We analyze three different mechanical models to forecast earnings and compare their forecasts with those of analysts. Moreover, we evaluate implied cost of capital (ICC) estimates that are based on these forecasts. With our analyses we answer three open questions in the literature. 1) Do model...

This study examines the voluntary disclosure of earnings forecasts by female CEOs. We find that in the backdrop of increased pressure to perform from investors and other stakeholders, female CEOs tend to issue more earnings forecasts than male CEOs, and those forecasts are more accurate. We also...

Based on Graham et al.’s (2005) survey, CFOs believe financial performance impacts the credibility of their forecasts. We examine this link by testing whether management earnings forecasts (MEFs) of firms meeting/beating analysts’ forecast benchmarks exhibit greater credibility than MEFs of...