Another look at GAAP versus the Street: an empirical assessment of measurement error bias

被引:28
作者
Cohen, Daniel A.
Hann, Rebecca N. [1 ]
Ogneva, Maria
机构
[1] Univ So Calif, Leventhal Sch Accounting, Los Angeles, CA 90089 USA
[2] NYU, Stern Sch Business, New York, NY 10012 USA
关键词
capital markets; analyst forecasts; earnings response coefficients; GAAP earnings; street earnings; pro-forma earnings; measurement error;
D O I
10.1007/s11142-007-9029-0
中图分类号
F8 [财政、金融];
学科分类号
0202 ;
摘要
Bradshaw and Sloan (2002, Journal of Accounting Research, 40, 41-66.) document a significant increase in the difference between the earnings response coefficients (ERCs) for GAAP and Street (I/B/E/S) earnings over the 1990s, suggesting that the market has become increasingly reliant or fixated on Street earnings. In this study we investigate whether, alternatively, an "errors in variables" problem caused by a mismatch between the definitions of realized and expected earnings drives the ERC divergence. Our findings suggest that results from conventional analyses of GAAP and Street ERCs, including the ERC divergence pattern, are significantly contaminated by measurement errors in earnings surprises.
引用
收藏
页码:271 / 303
页数:33
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