Full metadata record
| DC Field | Value | Language |
|---|---|---|
| dc.contributor | School of Accounting and Finance | en_US |
| dc.contributor.advisor | Cheng, C. S. Agnes (AF) | - |
| dc.contributor.advisor | Ohlson, James A. (AF) | - |
| dc.creator | Xie, Si | - |
| dc.identifier.uri | https://theses.lib.polyu.edu.hk/handle/200/9762 | - |
| dc.language | English | en_US |
| dc.publisher | Hong Kong Polytechnic University | - |
| dc.rights | All rights reserved | en_US |
| dc.title | The dark side of earnings response coefficient : the role of ERC in future stock crash risk prediction | en_US |
| dcterms.abstract | This study tries to explain individual crash risk from the perspective of valuation theory. We find that a higher Earnings Response Coefficient (ERC) predicts a higher probability of price crash than a lower ERC. This finding can be explained by investors' misevaluation of earnings persistence and systematic risk of the firm, which is also related to the bad news hoarding hypothesis. If managers hold back the bad news, this would prevent the investors from correcting their valuation of the systematic risk, hence resulting in a higher ERC and higher crash risk. Consistent with prior literature on earnings opacity, we find that the valuation theory could explain the increasing crash risk, which is further supported by cross-sectional analyses. | en_US |
| dcterms.extent | 82 pages | en_US |
| dcterms.isPartOf | PolyU Electronic Theses | en_US |
| dcterms.issued | 2018 | en_US |
| dcterms.educationalLevel | M.Phil. | en_US |
| dcterms.educationalLevel | All Master | en_US |
| dcterms.LCSH | Hong Kong Polytechnic University -- Dissertations | en_US |
| dcterms.LCSH | Business forecasting | en_US |
| dcterms.LCSH | Disclosure in accounting | en_US |
| dcterms.LCSH | Investments | en_US |
| dcterms.accessRights | open access | en_US |
Files in This Item:
| File | Description | Size | Format | |
|---|---|---|---|---|
| 991022173536703411.pdf | For All Users | 512.77 kB | Adobe PDF | View/Open |
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