Using 4-dimensional panel data (time, industry, country, companies) we examine the differences between European quoted and non-quoted companies at the level financial performance and some financial ratios. We find that quoted companies perform significantly better not only in terms of profit,...

Consistent with the uncertainty of research and development's future benefits, prior accounting studies hypothesize and find a positive relation between research and development (Ramp;D) and the variability of future earnings. However, prior research has assumed constant marginal productivity of...

We find evidence that performance — reflected in earnings and cash flows — is transferred from targets to acquirers around acquisitions. Using a sample of 2,128 completed deals from 1985-2010, our results suggest that targets depress performance when investor attention declines once the deal...

More companies are disclosing free cash flow in their earnings announcements. Companies choose a range of definitions for disclosed free cash flow, none of which correspond to the theoretical definition. The most common definition (in 38% of free cash flow disclosures) is operating cash flow...

This monograph provides a thorough review of earnings quality issues and analysis. Its primary objectives are to help gain a deep understanding of earnings quality and facilitate the development of comprehensive, granular, and contextual earnings quality indicators and analyses. While there are...

We present a selection of seminar slides based on our 2013 Quarterly Journal of Economics paper, "https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1640552" Managerial Miscalibration. Using a large panel of CFO forecasts of S&P 500 returns, we find that executives are severely miscalibrated,...

Using a unique 10-year panel that includes more than 13,300 expected stock market return probability distributions, we find that executives are severely miscalibrated, producing distributions that are too narrow: realized market returns are within the executives' 80% confidence intervals only...

We investigate whether ownership concentration influences bank profitability in a developing country context. We focus on bank ownership concentration measured as the amount of direct equity held by a majority shareholder categorised into: high ownership concentration, moderate ownership...

This study examines the implications of firm profitability, as a potential indication of audit-related risk, to audit quality, auditor reporting, auditor continuance decisions, and audit pricing in the post-SOX environment. Using a sample of non-financial public companies over the period 2005...