New Determinants of Analysts’ Earnings Forecast Accuracy


Book Description

Financial analysts provide information in their research reports and thereby help forming expectations of a firm’s future business performance. Thus, it is essential to recognize analysts who provide the most precise forecasts and the accounting literature identifies characteristics that help finding the most accurate analysts. Tanja Klettke detects new relationships and identifies two new determinants of earnings forecast accuracy. These new determinants are an analyst’s “general forecast effort” and the “number of supplementary forecasts”. Within two comprehensive empirical investigations she proves these measures’ power to explain accuracy differences. Tanja Klettke’s research helps investors and researchers to identify more accurate earnings forecasts.




Determinants of Earnings Forecast Error, Earnings Forecast Revision and Earnings Forecast Accuracy


Book Description

​Earnings forecasts are ubiquitous in today’s financial markets. They are essential indicators of future firm performance and a starting point for firm valuation. Extremely inaccurate and overoptimistic forecasts during the most recent financial crisis have raised serious doubts regarding the reliability of such forecasts. This thesis therefore investigates new determinants of forecast errors and accuracy. In addition, new determinants of forecast revisions are examined. More specifically, the thesis answers the following questions: 1) How do analyst incentives lead to forecast errors? 2) How do changes in analyst incentives lead to forecast revisions?, and 3) What factors drive differences in forecast accuracy?




Forecasting: principles and practice


Book Description

Forecasting is required in many situations. Stocking an inventory may require forecasts of demand months in advance. Telecommunication routing requires traffic forecasts a few minutes ahead. Whatever the circumstances or time horizons involved, forecasting is an important aid in effective and efficient planning. This textbook provides a comprehensive introduction to forecasting methods and presents enough information about each method for readers to use them sensibly.







Information Systems Architecture and Technology: Proceedings of 39th International Conference on Information Systems Architecture and Technology – ISAT 2018


Book Description

This three-volume set of books highlights major advances in the development of concepts and techniques in the area of new technologies and architectures of contemporary information systems. Further, it helps readers solve specific research and analytical problems and glean useful knowledge and business value from the data. Each chapter provides an analysis of a specific technical problem, followed by a numerical analysis, simulation and implementation of the solution to the real-life problem. Managing an organisation, especially in today’s rapidly changing circumstances, is a very complex process. Increased competition in the marketplace, especially as a result of the massive and successful entry of foreign businesses into domestic markets, changes in consumer behaviour, and broader access to new technologies and information, calls for organisational restructuring and the introduction and modification of management methods using the latest advances in science. This situation has prompted many decision-making bodies to introduce computer modelling of organisation management systems. The three books present the peer-reviewed proceedings of the 39th International Conference “Information Systems Architecture and Technology” (ISAT), held on September 16–18, 2018 in Nysa, Poland. The conference was organised by the Computer Science and Management Systems Departments, Faculty of Computer Science and Management, Wroclaw University of Technology and Sciences and University of Applied Sciences in Nysa, Poland. The papers have been grouped into three major parts: Part I—discusses topics including but not limited to Artificial Intelligence Methods, Knowledge Discovery and Data Mining, Big Data, Knowledge Based Management, Internet of Things, Cloud Computing and High Performance Computing, Distributed Computer Systems, Content Delivery Networks, and Service Oriented Computing. Part II—addresses topics including but not limited to System Modelling for Control, Recognition and Decision Support, Mathematical Modelling in Computer System Design, Service Oriented Systems and Cloud Computing, and Complex Process Modelling. Part III—focuses on topics including but not limited to Knowledge Based Management, Modelling of Financial and Investment Decisions, Modelling of Managerial Decisions, Production Systems Management and Maintenance, Risk Management, Small Business Management, and Theories and Models of Innovation.




Accounting for Income Taxes


Book Description

Accounting for Income Taxes is the most comprehensive review of AFIT research. It is designed both to introduce new scholars to this field and to encourage active researchers to expand frontiers related to accounting for income taxes. Accounting for Income Taxes includes both a primer about the rules governing AFIT (Sections 3-4) and a review of the scholarly studies in the field (Sections 5-8). The primer uses accessible examples and clear language to express essential AFIT rules and institutional features. Section 3 reviews the basic rules and institutional details governing AFIT. Section 4 discusses ways that researchers, policymakers, and other interested parties can use the tax information in financial statements to better approximate information in the tax return. The second half of the monograph reviews the extant scholarly studies by splitting the research literature into four topics: earnings management, the association between book-tax differences and earnings characteristics, the equity market pricing of information in the tax accounts, and book-tax conformity. Section 5 focuses on the use of the tax accounts to manage earnings through the valuation allowance, the income tax contingency, and permanently reinvested foreign earnings. Section 6 discusses the association between book-tax differences and earnings characteristics, namely earnings growth and earnings persistence. Section 7 explores how tax information is reflected in share prices. Section 8 reviews the increased alignment of accounting for book purposes and tax purposes. The remainder of the paper focuses on topics of general interest in the economics and econometric literatures. Section 9 highlights some issues of general importance including a theoretical framework to interpret and guide empirical AFIT studies, the disaggregated components of book-tax differences and research opportunities as the U.S. moves toward International Financial Reporting Standards (IFRS). Section 10 discusses econometric weaknesses that are common in AFIT research and proposes ways to mitigate their deleterious effects.




Measurement Theory and Applications for the Social Sciences


Book Description

Which types of validity evidence should be considered when determining whether a scale is appropriate for a given measurement situation? What about reliability evidence? Using clear explanations illustrated by examples from across the social and behavioral sciences, this engaging text prepares students to make effective decisions about the selection, administration, scoring, interpretation, and development of measurement instruments. Coverage includes the essential measurement topics of scale development, item writing and analysis, and reliability and validity, as well as more advanced topics such as exploratory and confirmatory factor analysis, item response theory, diagnostic classification models, test bias and fairness, standard setting, and equating. End-of-chapter exercises (with answers) emphasize both computations and conceptual understanding to encourage readers to think critically about the material. ÿ




Wall Street Research


Book Description

Wall Street Research: Past, Present, and Future provides a timely account of the dramatic evolution of Wall Street research, examining its rise, fall, and reemergence. Despite regulatory, technological, and global forces that have transformed equity research in the last ten years, the industry has proven to be remarkably resilient and consistent. Boris Groysberg and Paul M. Healy get to the heart of Wall Street research—the analysts engaged in the process—and demonstrate how the analysts' roles have evolved, what drives their performance today, and how they stack up against their buy-side counterparts. The book unpacks key trends and describes how different firms have coped with shifting pressures. It concludes with an assessment of where equity research is headed in emerging markets, drawing conclusions about this often overlooked corner of Wall Street and the industry's future challenges.




How Audiences Decide


Book Description

How Audiences Decide: A Cognitive Approach to Business Communication is a comprehensive introduction to persuasive communication in the context of business. It summarizes relevant theories and findings from the fields of cognitive science, social cognition, leadership, team cognition, psycholinguistics, and behavioral economics. By illuminating the thought processes of many different audiences, from consumers to Wall Street analysts to CEOs, it helps communicators better understand why audiences make the decisions they make and how to influence them. The book covers a broad range of communication techniques—including those concerning persuasive speaking and writing, interviews and group meetings, content and style, typography and nonverbal behaviors, charts and images, rational arguments and emotional appeals—and examines the empirical evidence supporting each of them.




Financial Behavior


Book Description

Financial Behavior: Players, Services, Products, and Markets provides a synthesis of the theoretical and empirical literature on the financial behavior of major stakeholders, financial services, investment products, and financial markets. The book offers a different way of looking at financial and emotional well-being and processing beliefs, emotions, and behaviors related to money. The book provides important insights about cognitive and emotional biases that influence various financial decision-makers, services, products, and markets. With diverse concepts and topics, the book brings together noted scholars and practitioners so readers can gain an in-depth understanding about this topic from experts from around the world. In today's financial setting, the discipline of behavioral finance is an ever-changing area that continues to evolve at a rapid pace. This book takes readers through the core topics and issues as well as the latest trends, cutting-edge research developments, and real-world situations. Additionally, discussion of research on various cognitive and emotional issues is covered throughout the book. Thus, this volume covers a breadth of content from theoretical to practical, while attempting to offer a useful balance of detailed and user-friendly coverage. Those interested in a broad survey will benefit as will those searching for more in-depth presentations of specific areas within this field of study. As the seventh book in the Financial Markets and Investment Series, Financial Behavior: Players, Services, Products, and Markets offers a fresh looks at the fascinating area of financial behavior.