Chan, Konan; Chan, Louis K. C.; Jegadeesh, Narasimhan; … - In: The Journal of Business 79 (2006) 3, pp. 1041-1082
An exclusive focus on bottom-line income misses important information contained in accruals (the difference between accounting earnings and cash flow) about the quality of earnings. Earnings increases that are accompanied by high accruals, suggesting low-quality earnings, are associated with...