Using my company, Digital Insight, as a benchmark, the number of pages contained in our quarterly
earnings announcement has more than doubled, from five in 2000 to 12 last quarter.
We also find that the bigger the negative earnings news, the later the
earnings announcement.
This suggests that the probability of earnings management is high where public
earnings announcement are voluntarily delayed.
there is lower commonality), then investors should expect the mean forecast to be a more efficient aggregator of individual analysts' diverse idiosyncratic information after an
earnings announcement than before the announcement.
And in after-hours trading following the
earnings announcement, Microsoft's shares fell $1, to $118.
In 2,048 cases, CRSP did not have dally returns available in the period around the quarterly
earnings announcement dates.
Since cash flow statements often take a few extra days to compile, that information generally isn't finalized at many corporations until after the
earnings announcement.
We examine this issue by evaluating return-based and volume-based metrics in
earnings announcement periods.
Recent studies infer the increasing usefulness of
earnings announcements from overtime increases in the absolute or squared abnormal stock returns or abnormal trading volume at
earnings announcement dates (e.
