Duong, Chau; Pescetto, Gioia; Santamaria, Daniel - In: The European Journal of Finance 20 (2014) 6, pp. 524-549
This paper investigates how investors in value and glamour stocks use financial information. The empirical evidence presented is in line with a model of investors' asymmetric reaction to good and bad news due to confirmation bias. Pessimistic value investors typically under-react to good...