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We analyze new Swedish data on the portfolio holdings of large blockholders and find that firm value increases with the weight of a stock in a large blockholder's portfolio. In our sample, this weight may be greater than 50%. We are the first to show that this value premium is correlated with...
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The recommendation of financial analysts plays an important role in making investment decisions. The method of constructing a portfolio using such recommendations does not rely on quantitative models instead it relies on research of the analysts and their qualitative views. We explore paradigms...
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This research aims to examine empirically the overreliance on representativeness heuristic and anchoring-adjustment influences experienced by investors in forecasting future earnings. This research was a laboratory experiment with a design of 2x2 full factorial between subject. The results...
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(integrated) production of information. Nonetheless, this paper documents significant stock return and forecast revision …
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of stock recommendation, target price, and earnings forecast changes, and that investors following trade ideas can earn …
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forecast revisions as forecast measures but, additionally, focus on implied return revisions, based on target prices … forecast measures increases (decreases) within the quarter prior to the observation period. Further results show that mutual … fund managers primarily attribute high information value to consensus forecast revisions that contain positive information …
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