We use the IPO setting to provide evidence that accounting measures of valuation uncertainty combine with short-sales constraints to generate significant equity market mispricing. The IPOs that we predict to be most susceptible to overpricing in the immediate aftermarket have first-day returns...

This study investigates the association among readability of analyst reports, stock prices, and expectations of future earnings. Readability is one important feature of analyst reports that may affect value-relevant information. We find that analyst report readability reduces forecast dispersion...