forecasts, this bias tending to be higher in countries with less investor protection. This forecast bias declined significantly …

is mainly strategic or whether it also contains an element of cognitive bias. Despite the fact that forecast errors lack … stock returns, our new tests based on selection bias (SB1 and SB2), in conjunction with an analysis of abnormal trading … volume, confirm the presence of both cognitive bias and strategic behaviour in analyst forecasts. This shows that, although …

We present evidence of first impression bias among finance professionals in the field. Equity analysts' forecasts …, target prices, and recommendations suffer from first impression bias. If a firm performs particularly well (poorly) in the … negativity bias, we find that negative first impressions have a stronger effect than positive ones. The market adjusts for …

' forecast bias. Based on the theoretical literature on sell-side analysts, I argue that forecast bias is correlated to investors …

conduct panel data regressions. We show that the analysts' optimistic bias declined significantly after CSA rules, which …

of forecast bias and (ii) investors' limited capability to adjust to this bias. We assume that the presence of a bias is … skills, all the more so the larger the uncertainty about the forecast bias … present a model in which forecast accuracy and timing are affected by information uncertainty stemming from (i) the presence …

, and financial analyst forecast optimistic bias. We find that firms that adopt clawback provisions are followed by more … provisions and similar non-adopters. In particular, we examine financial analyst following, financial analyst forecast accuracy … financial analysts. We also find that financial analysts provide more accurate forecasts, and with less optimistic bias …

extraverted CEOs. Increased forecast uncertainty leads to even stronger stereotyping. Additionally, personality similarity between …

This paper provides evidence of confirmation bias by sell-side analysts in their earnings forecasts. We show that … analysts tend to put higher weight on public information when the current forecast consensus is more consistent with their … earlier, or facing less dispersion in peer forecasts, tend to be more subject to confirmation bias, consistent with some of …

risk premia. The extent of this bias is substantial as verified by a bootstrap approach. We present an alternative …