originality strongly predicts higher, more persistent, and less volatile profitability; and higher abnormal stock returns … higher valuation uncertainty, lower investor attention, and greater sensitivity of future profitability to innovative …

In this paper, after controlling for the level of R&D expenditures, I find that profitability of R&D intensive firms is …&D-to-market value variable becomes insignificant even when not controlling for the firm's profitability. Since quarterly profits are … lower not higher subsequent returns, once I control for the level of R&D expenditures and firm's profitability. The …

This paper investigates whether profitability skewness is related to expected stock return. We document significant … evidence that profitability skewness positively predicts cross-sectional stock returns, opposite to the negative relation … between return skewness and stock returns.The positive return predictability is robust to alternative proxies of profitability …

raise the question why capital would seek out financial investments in the first place. -- Profit rates ; growth rates of …

We provide a novel framework and empirical results to understand the relation between profitability growth and returns …. By connecting a concave profit function to a standard valuation framework, we argue that if growth-rate risk carries a … positive risk premium, firms with higher current profitability growth should earn higher average returns but this effect should …

paper shows that its disappearance can be attributed to negative shocks to the profitability of small firms and positive … shocks to big firms. After adjusting for the price impact of profitability shocks, we find a robust size effect in the cross …

Operating leverage (OL) and profitability are interrelated determinants of stock returns. We show that the … alternative profitability measures that treat OL differently. Our results extend research linking monetary policy, OL, and … profitability by documenting important time-varying interrelations among these characteristics and returns …

that the disappearance of the size effect can be attributed to profitability shocks in the US. This paper documents a weak … resurfaces after adjusting for the price impact of profitability shocks …

that is responsible for the forecasting power of earnings yield. These results are robust across different estimation …