Table 12 Alternative types of analyst...

Table 12

Alternative types of analyst information

	(1)	(2)
Variables	CAR(−1,+1)	CAR(−1,+1)
Panel A: Stock recommendation revisions
LT (%)	0.0318^***	0.0298^***
LT (%)	(2.75)	(2.58)
Rec Chg	0.0189^***	0.0241^***
Rec Chg	(38.36)	(25.27)
LT (%) × Rec Chg		−0.0348^***
LT (%) × Rec Chg		(−7.71)
N	58,913	58,913
Adj. R²	0.160	0.162
Firm & Year FEs	Yes	Yes
Controls	Yes	Yes
Panel B: Earnings Forecast Revisions
LT (%)	−0.00604^**	−0.00603^**
LT (%)	(−2.28)	(−2.27)
∆EPS/P	0.0162^**	0.00463
∆EPS/P	(2.43)	(0.49)
LT (%) × ∆EPS/P		0.0946
LT (%) × ∆EPS/P		(1.19)
N	408,343	408,343
Adj. R²	0.060	0.060
Firm & Year FEs	Yes	Yes
Controls	Yes	Yes

	(1)	(2)
Variables	CAR(−1,+1)	CAR(−1,+1)
Panel A: Stock recommendation revisions
LT (%)	0.0318^***	0.0298^***
LT (%)	(2.75)	(2.58)
Rec Chg	0.0189^***	0.0241^***
Rec Chg	(38.36)	(25.27)
LT (%) × Rec Chg		−0.0348^***
LT (%) × Rec Chg		(−7.71)
N	58,913	58,913
Adj. R²	0.160	0.162
Firm & Year FEs	Yes	Yes
Controls	Yes	Yes
Panel B: Earnings Forecast Revisions
LT (%)	−0.00604^**	−0.00603^**
LT (%)	(−2.28)	(−2.27)
∆EPS/P	0.0162^**	0.00463
∆EPS/P	(2.43)	(0.49)
LT (%) × ∆EPS/P		0.0946
LT (%) × ∆EPS/P		(1.19)
N	408,343	408,343
Adj. R²	0.060	0.060
Firm & Year FEs	Yes	Yes
Controls	Yes	Yes

Note(s): This table estimates the effect of long-term institutional shareholdings (LT (%)) on the stock market response (CARs) to stock recommendation revisions (Rec Chg) and earnings forecast revisions (∆EPS/P). Panel A provides the results for stock recommendation revisions, and Panel B presents the results for earnings forecast revisions. All the variables are defined in table A1 in Appendix. The t-statistics are reported in parentheses. Standard errors are clustered at the firm level. *, ** and *** denote statistical significance for the coefficients at 10%, 5% and 1% respectively

Source(s): Authors’ own work

[ViewLarge]

Sharing Unavailable