We provide an investor-attention-based interpretation for early announcements, complementing the signalling-based explanation of Aktas et al. (2018). We find that acquiring firms attract substantial investor attention with their early announcements. The positive relationship between early...

This paper conjectures that insiders exploit their stock's mispricing after earnings announcements to make profitable trades. We design two sets of tests to provide evidence of insider trading on mispricing of their stock. First, insiders' purchases and sales are profitable both after positive...