Author: Gordon Peter WilsonPublisher:
ISBN:
Category : Financial statements
Languages : en
Pages : 114
Book Description
The Incremental Information Content of Accruals and Cash Flows After Controlling for Earnings
Author: Gordon Peter WilsonPublisher:
ISBN:
Category : Financial statements
Languages : en
Pages : 114
Book Description
Additional Evidence on the Incremental Information Content of Cash Flows and Accruals
Author: Ray J. PfeifferPublisher:
ISBN:
Category :
Languages : en
Pages :
Book Description
This study evaluates the relation between security returns and funds-based earnings components. We document that proxies for market expectations of the components that are based on measures of historical serial- and cross-dependencies are substantially more accurate than random-walk proxies. Moreover, we detect significantly higher valuations of the operating cash flow component of earnings, relative to current accruals when market expectations are represented using the dependency-based predictions. Such differential valuation is not detectable for random-walk representations. Contrary to results in Ali (1994), we find incremental information in unexpected cash flows over the whole spectrum (moderate and extreme) of unexpected cash flow realizations.
The Incremental Information Content of Tone Change in Management Discussion and Analysis
Author: Suresh GovindarajPublisher:
ISBN:
Category :
Languages : en
Pages : 51
Book Description
This study explores whether the Management Discussion and Analysis (MDamp;A) section of Form 10-Q and 10-K has incremental information content beyond financial measures such as earnings surprises, accruals and operating cash flows (OCF). It uses a well-established classification scheme of words into positive and negative categories to measure the tone change in a specific MDamp;A section as compared to those of the prior four filings. Our results indicate that short window market reactions around the SEC filing are significantly associated with the tone of the MDamp;A section, even after controlling for accruals, OCF and earnings surprises. We also show that the tone of the MDamp;A section adds significantly to portfolio drift returns in the window of two days after the SEC filing date through one day after the subsequent quarter s preliminary earnings announcement, beyond financial information conveyed by accruals, OCF and earnings surprises. The incremental information of tone change is larger the weaker is the firm's information environment.
the nature and amount of information reflected in cash flows and accruals
Author: victor l. bernard and thomas l. stoberPublisher:
ISBN:
Category :
Languages : en
Pages : 56
Book Description
Informativeness and Predictability of Earnings and Cash Flows
Author: Zhemin WangThe Incremental Information Content of Earnings
Author: Ashiq AliThe Incremental Information Content of Accrual Versus Cash Flows in New Zealand
Author: Alister Lyall HuntPublisher:
ISBN:
Category : Cash flow
Languages : en
Pages : 130
Book Description
Valuation of Earnings and Cash Flows and Their Components
Author: Andreas A. CharitouAccruals, Cash Flow and Equity Values
Author: Mary E. BarthPublisher:
ISBN:
Category :
Languages : en
Pages : 44
Book Description
We find, as predicted, that the differential ability of accrual and cash flow components of earnings to help forecast future abnormal earnings and the persistence of the components results in the components having different valuation implications. We base our tests on Ohlson (1999) applied to fourteen industries. We find: (1) Accruals and cash flows aid in forecasting future abnormal earnings incremental to abnormal earnings and equity book value. (2) Accruals and cash flows provide explanatory power for equity market value incremental to equity book value and abnormal earnings. (3) There is evidence that accruals and cash flows valuation coefficients are consistent with the Ohlson model.
Earnings quality and earnings management
Author: Sanjay Wikash BissessurPublisher: Rozenberg Publishers
ISBN: 9051709870
Category :
Languages : en
Pages : 217
Book Description