Azevedo, Vitor; Bielstein, Patrick; Gerhart, Manuel - In: Review of Quantitative Finance and Accounting 56 (2020) 2, pp. 545-579
We propose a novel method to forecast corporate earnings, which combines the accuracy of analysts’ forecasts with the unbiasedness of a cross-sectional model. We build on recent insights from the earnings forecasts literature to improve analysts’ forecasts in two ways: reducing their...