Abnormal Disclosure Tone in MD&A and Analysts' Earnings Forecast: Evidence from China

被引：0
|
作者：
Yan, Sibei [1 ]
Hwang, Iny [2 ]
Jung, Hyung-Rok [3 ]
Jung, Taejin [4 ]
机构：
[1] Chengdu Univ, Business Sch, Chengdu, Peoples R China
[2] Seoul Natl Univ, Coll Business Adm, Seoul, South Korea
[3] Kyung Hee Univ, Sch Management, Dept Accounting & Taxat, Seoul, South Korea
[4] IE Univ, IE Business Sch, Calle De Maria De Molina 31, Madrid, Spain
来源：
EMERGING MARKETS FINANCE AND TRADE | 2024年 / 60卷 / 08期
关键词：
Management discussion and analysis (MD&A); tone management; abnormal tone; analysts' earnings forecasts; emerging markets; MANAGEMENT; ACCURACY;
D O I：
10.1080/1540496X.2023.2290542
中图分类号：
F [经济];
学科分类号：
02 ;
摘要：
This study examines the association between abnormal disclosure tone in the Management Discussion and Analysis (MD&A) section of annual reports and analysts' forecasting behavior. Using analysts' forecast data of Chinese listed firms from 2008 to 2020, we find that analysts can discern abnormal tone in managers' disclosures, leading to a downward revision of earnings estimates and an enhancement of forecast accuracy. Moreover, we observe that abnormal tone in the MD&A section attracts analysts' attention as they navigate the challenges posed by tone management and diminished information transparency. Collectively, this paper enhances our understanding of analysts' forecasting behavior concerning the extent of tone management observed in MD&A disclosures within emerging markets.
引用
收藏
页码：1858 / 1874
页数：17
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