This paper investigates the decision by top-level executives of more than 1,200 public corporations to exercise large stock option awards in the period 1992-2001. We hypothesize and find that abnormally large option exercises predict stock return future performance. We then hypothesize that this...

This paper investigates the decision by top-level executives of more than 1,200public corporations to exercise large stock option awards in the period 1992-2001. Wehypothesize and find that abnormally large option exercises predict stock return futureperformance. We then hypothesize that this...

Prior research examines how companies exploit Twitter in communicating with investors, how information in tweets by individuals may be used to predict the stock market as a whole, and how Twitter activity relates to earnings response coefficients (the beta from the returns/earnings regression)....

Does the placement of a line item in the income statement matters to investors? The passage of SFAS No. 145 affords a quasi-experimental setting to answer this question, because pre-SFAS No. 145, gains/losses from early debt extinguishments were reported below the line, while post-SFAS No. 145,...

Prior studies document the role social media information plays in the stock market as well as the important dissimilarities between the bond and stock markets. Bridging these two literatures, we examine the role of social media information in the corporate bond market. Analyzing a broad sample...

Prior research generally finds that firms underreport option expense by managingassumptions underlying option valuation (e.g. they shorten the expected option lives), but it fails to document management of a key assumption, the one concerning expected stock-price volatility. Using a new...

Prior research generally finds that firms underreport option expense by managing assumptions underlying option valuation (e.g. they shorten the expected option lives), but it fails to document management of a key assumption, the one concerning expected stock-price volatility. Using a new...

Prior studies document the role social media information plays in the stock market as well as the important dissimilarities between the bond and stock markets. Bridging these two literatures, we examine the role of social media information in the corporate bond market. Analyzing a broad sample...