B2 Vertaisarvioimaton kirjan tai muun kokoomateoksen osa
Use of interim earnings information on the Helsinki Stock Exchange
Tekijät: Vieru Markku, Schadewitz Hannu
Toimittaja: Timo Rothovius, Jussi Nikkinen
Kustantaja: Vaasa: Yliopistopaino
Julkaisuvuosi: 2007
Kokoomateoksen nimi: Contributions to accounting and finance : essays in honour of professor Paavo Yli-Olli
Sarjan nimi: Acta Wasaensia
Numero sarjassa: 173
Vuosikerta: 173
ISBN: 978-952-476-180-2
ISSN: 0355-2667
Verkko-osoite: http://urn.fi/URN:NBN:fi-fe2018062826623
In this paper we study how the market uses the information on current and past interim earnings. Our hypothesis is that investors focus on a comparison of year-to-year changes in interim earnings. We provide further international evidence on how the market acts in the face interim earnings announcements. The data is based on the Finnish emerging market covering the years 1992-2002. We found, consistent with Ball and Bartov [1], evidence that investors underestimate the magnitude of the serial correlation in interim earnings. The results suggest that investors use, at least in part, a seasonal random walk model when forming earnings expectations.