...Yinghua Li; Yupeng Lin; Xiaoqiao Wang; Shijie Yang ABSTRACT We investigate the role of financial analysts in product quality failures. Relying on information about product recalls, we first show that analyst coverage on average reduces product quality, particularly when managers face...

...Mark T. Bradshaw; Lian Fen Lee; Kyle Peterson ABSTRACT We examine firm decisions to provide listings of sell-side analyst coverage on corporate investor relations (IR) websites. These listings are related to three major areas of financial research—voluntary disclosure, investor relations...

...Jeong-Bon Kim; Louise Yi Lu; Yangxin Yu ABSTRACT Using brokerage mergers and closures as two sources of exogenous shock to analyst coverage, this study explores the causal effect of analyst coverage on ex ante expected crash risk as captured by the options implied volatility smirk. We...

... Sciences and Humanities Research Council of Canada, INSEAD, University of Toronto, and Yale University. October 2013 August 2014 analyst interest firm fundamentals analyst coverage institutional ownership trading volume stock...

...Francois Brochet; Gregory S. Miller; Suraj Srinivasan ABSTRACT We examine the importance of professional relationships developed between analysts and managers by investigating analyst coverage decisions in the context of CEO and CFO moves between publicly listed firms. We find that top executive...

...Divya Anantharaman; Yuan Zhang ABSTRACT We show that managers increase the volume of public financial guidance in response to decreases in analyst coverage of their firms, particularly to decreases that are driven by exogenous reduction in brokerage firm size. Managers do not respond to increases...