Access the full text.
Sign up today, get DeepDyve free for 14 days.
E. Elton, M. Gruber, M. Gultekin (1984)
Professional Expectations: Accurary and Diagonosis of ErrorsJournal of Financial and Quantitative Analysis, 19
A. Ali, A. Klein, J. Rosenfeld (1992)
Analysts' Use of Information About Permanent and Transitory Earnings Components in Forecasting Annual EPSThe Accounting Review, 67
R. Dowen (1996)
Analyst Reaction to Negative Earnings for Large Well-Known Firms, 23
Jeffery Abarbanell (1991)
Do analysts' earnings forecasts incorporate information in prior stock price changes?Journal of Accounting and Economics, 14
Mark Lang, Russell Lundholm (1993)
CROSS- SECTIONAL DETERMINANTS OF ANALYST RATINGS OF CORPORATE DISCLOSURESJournal of Accounting Research, 31
L. Hwang, C. Jan, S. Basu (1996)
Loss Firms and Analysts' Earnings Forecast ErrorsJournal of Financial Statement Analysis, 1
Richard Frankel, Charles Lee (1998)
Accounting Valuation, Market Expectation, and the Book-to-Market Effect
H. Lin, M. McNichols (1998)
Underwriting relationships, analysts' earnings forecasts and investment recommendationsJournal of Accounting and Economics, 25
Kent Womack (1996)
Do Brokerage Analysts' Recommendations Have Investment Value?Journal of Finance, 51
Scott Stickel (1992)
Reputation and Performance Among Security AnalystsJournal of Finance, 47
P. Brous (1992)
Common Stock Offerings and Earnings Expectations: A Test of the Release of Unfavorable InformationJournal of Finance, 47
Donna Philbrick, W. Ricks (1991)
Using Value Line And Ibes Analyst Forecasts In Accounting ResearchJournal of Accounting Research, 29
John Easterwood, S. Nutt (1999)
Inefficiency in Analysts' Earnings Forecasts: Systematic Misreaction or Systematic Optimism?Journal of Finance, 54
Harrison Hong, Terence Lim, J. Stein (1998)
Bad News Travels Slowly: Size, Analyst Coverage and the Profitability of Momentum StrategiesCapital Markets: Market Efficiency
Jeffery Abarbanell, V. Bernard (1992)
Tests of Analysts' Overreaction/Underreaction to Earnings Information as an Explanation for Anomalous Stock Price BehaviorJournal of Finance, 47
W. Bondt, R. Thaler (1990)
Do Security Analysts OverreactThe American Economic Review, 80
Sok-Hyon Kang, John O'Brien, K. Sivaramakrishnan (1994)
Analysts' Interim Earnings Forecasts: Evidence on the Forecasting ProcessJournal of Accounting Research, 32
Richard Mendenhall (1991)
Evidence on the Possible Underweighting of Earnings-Related InformationJournal of Accounting Research, 29
D. Burgstahler, Ilia Dichev (1997)
Earnings Management to Avoid Earnings Decreases and LossesJournal of Accounting and Economics, 24
T. Lys, S. Sohn (1990)
The Association Between Revisions of Analysts' Earnings Forecasts and Security Price ChangesJournal of Accounting and Economics, 13
Elizabeth Plummer, D. Mest (2001)
Evidence on the Management of Earnings ComponentsJournal of Accounting, Auditing & Finance, 16
Lee-Seok Hwang, C. Jan, Sudipta Basu (1996)
Loss Firms and Analysts' Earnings Forecast ErrorsFox School of Business
L. Brown (1993)
Earnings Forecasting Research: Its Implications for Capital Markets ResearchEconometrics: Applied Econometrics & Modeling eJournal
Terence Lim (2001)
Rationality and Analysts' Forecast BiasJournal of Finance, 56
R. Atiase (1985)
Predisclosure Information, Firm Capitalization, And Security Price Behavior Around Earnings AnnouncementsJournal of Accounting Research, 23
J. Francis, Donna Philbrick (1993)
ANALYSTS DECISIONS AS PRODUCTS OF A MULTITASK ENVIRONMENTJournal of Accounting Research, 31
Amitabh Dugar, Siva Nathan (1995)
The Effect of Investment Banking Relationships on Financial Analysts' Earnings Forecasts and Investment Recommendations*Contemporary Accounting Research, 12
C. Stickney, Paul Brown, James Wahlen (1995)
Financial Reporting and Statement Analysis: A Strategic Perspective
Thomas Lys, Sungkyu Sohn (1990)
The association between revisions of financial analysts' earnings forecasts and security-price changesJournal of Accounting and Economics, 13
K. Schipper (1991)
Analysts' ForecastsAccounting Horizons, 5
Jeffery Abarbanell, Brian Bushee (1997)
Fundamental Analysis Future Earnings, and Stock PricesJournal of Accounting Research, 35
W. Sharpe (1994)
The Sharpe Ratio, 21
David Belsley, E. Kuh, R. Welsch (1980)
Regression Diagnostics: Identifying Influential Data and Sources of Collinearity
P. Brous, Omesh Kini (1993)
A reexamination of analysts' earnings forecasts for takeover targetsJournal of Financial Economics, 33
François Degeorge, Jayen Patel, R. Zeckhauser (1999)
Earnings Management to Exceed ThresholdsThe Journal of Business, 72
Dov Fried, Dan Givoly (1982)
Financial analysts' forecasts of earnings: A better surrogate for market expectationsJournal of Accounting and Economics, 4
David Dreman, Michael Berry (1995)
Analyst Forecasting Errors and Their Implications for Security AnalysisFinancial Analysts Journal, 51
H. Hong, T. Lim, J. Stein (2000)
Bad News Travels Slowly: Size, Analysts Coverage and the Profitability of Momentum StrategiesJournal of Finance, 55
April Klein (1990)
A direct test of the cognitive bias theory of share price reversalsJournal of Accounting and Economics, 13
H. White (1980)
A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for HeteroskedasticityEconometrica, 48
John Elliot, Donna Philbrick, Christine Wiedman (1995)
Evidence from Archival Data on the Relation Between Security Analysts' Forecast Errors and Prior Forecast Revisions*Contemporary Accounting Research, 11
E. Elton, M. Gruber, M. Gultekin (1981)
Expectations and Share PricesManagement Science, 27
K. Butler, Larry Lang (1991)
THE FORECAST ACCURACY OF INDIVIDUAL ANALYSTS - EVIDENCE OF SYSTEMATIC OPTIMISM AND PESSIMISMJournal of Accounting Research, 29
P. O'Brien (1988)
Analysts' Forecasts as Earnings ExpectationsJournal of Accounting and Economics, 10
When optimistic forecasts can improve access to management, rational analysts have incentives to issue optimistically-biased forecasts (Lim, 2001). This paper proposes that the extent of this optimistic forecast bias will depend on the forecast's importance to management. If management attaches less importance to a forecasted measure, analysts should decrease their forecast bias because the expected benefits of issuing optimistic forecasts are less. We examine analysts' earnings and sales forecasts, and predict that analysts' optimistic bias will be greater for earnings than for sales. Results are consistent with our predictions and contribute to the evidence that analysts' forecast bias is rational and intentional.
Review of Quantitative Finance and Accounting – Springer Journals
Published: Oct 4, 2004
Read and print from thousands of top scholarly journals.
Already have an account? Log in
Bookmark this article. You can see your Bookmarks on your DeepDyve Library.
To save an article, log in first, or sign up for a DeepDyve account if you don’t already have one.
Copy and paste the desired citation format or use the link below to download a file formatted for EndNote
Access the full text.
Sign up today, get DeepDyve free for 14 days.
All DeepDyve websites use cookies to improve your online experience. They were placed on your computer when you launched this website. You can change your cookie settings through your browser.