Abstract

http://ssrn.com/abstract=1988919
 
 

Citations (2)



 


 



Analyst Forecast Consistency


Gilles Hilary


INSEAD

Charles Hsu


Hong Kong University of Science & Technology

January 20, 2012

Journal of Finance, Forthcoming

Abstract:     
We show empirically that analysts who display more consistent forecast errors have greater ability to affect prices, and that this effect is larger than that of stated accuracy. These results lead to three implications. First, consistent analysts are less likely to be demoted and are more likely to be nominated All Star analysts. Second, analysts strategically deliver downward-biased forecasts to increase their consistency (if at the expense of stated accuracy). Finally, the benefits of consistency and of “lowballing” (accuracy) are increasing (decreasing) in institutional investors’ presence.

Number of Pages in PDF File: 44

Keywords: analyst forecast, consistency, Reg FD

JEL Classification: M4, G2

Accepted Paper Series





Download This Paper

Date posted: January 20, 2012  

Suggested Citation

Hilary, Gilles and Hsu, Charles, Analyst Forecast Consistency (January 20, 2012). Journal of Finance, Forthcoming. Available at SSRN: http://ssrn.com/abstract=1988919

Contact Information

Gilles Hilary (Contact Author)
INSEAD ( email )
Boulevard de Constance
77305 Fontainebleau Cedex
France
Charles Hsu
Hong Kong University of Science & Technology ( email )
Hong Kong
Hong Kong
852-2358-7568 (Phone)
852-2358-1693 (Fax)
Feedback to SSRN


Paper statistics
Abstract Views: 2,296
Downloads: 425
Download Rank: 29,154
Citations:  2

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo5 in 0.344 seconds