We investigate whether investors are misled by firms that exclude particular expenses in calculating non-GAAP earnings in order to beat analysts' earnings forecasts. Our empirical analyses suggest that firms that pursue a strategy of non-GAAP reporting to beat analysts' earnings forecasts not...

This study finds that pro-forma earnings forecasts by bidding firms during acquisitions are associated with a higher likelihood of deal completion, expedited deal closing, and with a lower acquisition premium − but only in stock-financed acquisitions. Analysts also respond to these forecasts...

While levels of actual and consensus forecast earnings per share (EPS) vary with scale (measured typically by share price), magnitudes of the difference do not vary with scale. That is, forecast errors within a certain range (e.g., plus/minus 5 cents per share) are equally likely for both...

We provide evidence of unreported trading by corporate insiders in their own firm's shares and link this activity to future firm earnings and analyst forecast error. Unreported trading represent discrepancies between insider shareholdings from trades they report to the Exchange and their...

We provide evidence of unreported trading by corporate insiders in their own firm's shares and link this activity to future firm earnings and analyst forecast error. Unreported trading are cases of discrepancies between insider shareholdings from trades reported to the Exchange and their...

Purpose: The purpose of this paper is to examine analysts' earnings forecasts during a period of heightened uncertainty and forecasting complexity, that of a forced change of CEO. How well do analysts utilise their information advantage to reduce information uncertainty between management and...

This article aims to highlight the degree of suitability of theinformation issued in the annual report with the conception ofthe usefulness of 49 volunteers and forecast information byTunisian financial analysts. Our questionnaire with 50 financialTunisian analysts aims to analyze the degree of...

Analysts' functions are divided into discovery and interpretation roles, but separating between the two is non-trivial. We conjecture that analysts' interpretation skill can be gauged by their forecast revisions following material unanticipated news — in particular following non-earnings 8-K...

There is a long-standing debate on the recognition of intangible assets and whether they can be measured reliably. Most recognized intangibles are acquired in business combinations, and estimating their fair values is highly subjective. Using a broad sample of business combinations in the U.S....

This study investigates whether effective audit committees influence the association between management earnings forecasts and the properties of analysts‟ forecasts. We posit that this influence on the part of an audit committee would likely result from increased responsibility for monitoring...