Earnings Management and the Long‐Run Market Performance of Initial Public Offerings
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- Siew Hong Teoh
- University of Michigan
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- Ivo Welch
- University of California Los Angeles
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- T.J. Wong
- University of Science and Technology Hong Kong
書誌事項
- 公開日
- 1998-12
- 権利情報
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- http://onlinelibrary.wiley.com/termsAndConditions#vor
- DOI
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- 10.1111/0022-1082.00079
- 公開者
- Wiley
この論文をさがす
説明
<jats:p>Issuers of initial public offerings (IPOs) can report earnings in excess of cash flows by taking positive accruals. This paper provides evidence that issuers with unusually high accruals in the IPO year experience poor stock return performance in the three years thereafter. IPO issuers in the most “aggressive” quartile of earnings managers have a three‐year aftermarket stock return of approximately 20 percent less than IPO issuers in the most “conservative” quartile. They also issue about 20 percent fewer seasoned equity offerings. These differences are statistically and economically significant in a variety of specifications.</jats:p>
収録刊行物
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- The Journal of Finance
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The Journal of Finance 53 (6), 1935-1974, 1998-12
Wiley