Insider trading around open-market share repurchases

被引：1
|
作者：
Leng F. [1 ]
Zhao K.M. [2 ]
机构：
[1] Milgard School of Business, University of Washington Tacoma, Tacoma, WA
[2] Department of Economics and Finance, Middle Tennessee State University, Murfreesboro, TN
来源：
Journal of Economics and Finance | 2014年 / 38卷 / 3期
关键词：
Insider Trading; Long-Term Stock Performance; Open Market Share Repurchase;
D O I：
10.1007/s12197-012-9227-x
中图分类号：
学科分类号：
摘要：
We examine insider trading around open-market share repurchases and find that insiders trade passively in 3 months prior to repurchase announcements and in up to 12 months following the announcements. Furthermore, both pre-announcement and post-announcement abnormal insider trading is unrelated to short-term announcement returns but correlated with long-term post-announcement returns. Our results indicate that corporate insiders trade passively around repurchase announcements in accordance with their perceived undervaluation to exploit the long-run abnormal stock returns related to the events. © 2012 Springer Science+Business Media, LLC.
引用
收藏
页码：461 / 491
页数：30
相关论文
共 50 条
  • [41] Long-term stock performance after open-market repurchases in Korea
    Lee, Yong-Gyo
    Jung, Sung-Chang
    Thornton, John H., Jr.
    [J]. GLOBAL FINANCE JOURNAL, 2005, 16 (02) : 191 - 209
  • [42] Effects of Legalizing Open Market Share Repurchases: International Evidence
    Wang, Zigan
    Yu, Luping
    [J]. JOURNAL OF LAW FINANCE AND ACCOUNTING, 2021, 6 (01): : 125 - 177
  • [43] EU Regulation and open market share repurchases: new evidence
    Drousia, Angeliki
    Episcopos, Athanasios
    Leledakis, George N.
    Pyrgiotakis, Emmanouil G.
    [J]. EUROPEAN JOURNAL OF FINANCE, 2023, 29 (09): : 1022 - 1042
  • [44] The Effects of Cash, Debt, and Insiders on Open Market Share Repurchases
    Feng, Liang
    Pukthuanthong, Kuntara
    Thiengtham, Dolruedee
    Turtle, H. J.
    Walker, Thomas J.
    [J]. JOURNAL OF APPLIED CORPORATE FINANCE, 2013, 25 (01) : 55 - +
  • [45] Stock Market Anomalies: What Can We Learn from Repurchases and Insider Trading?
    John E. Core
    Wayne R. Guay
    Scott A. Richardson
    Rodrigo S. Verdi
    [J]. Review of Accounting Studies, 2006, 11 : 49 - 70
  • [46] Economic conditions and the motives for multiple open-market share buybacks
    Farrugia, Damien
    Graham, Michael
    Yawson, Alfred
    [J]. RESEARCH IN INTERNATIONAL BUSINESS AND FINANCE, 2011, 25 (02) : 156 - 168
  • [47] THE RELATIVE SIGNALING POWER OF DUTCH-AUCTION AND FIXED-PRICE SELF-TENDER OFFERS AND OPEN-MARKET SHARE REPURCHASES
    COMMENT, R
    JARRELL, GA
    [J]. JOURNAL OF FINANCE, 1991, 46 (04): : 1243 - 1271
  • [48] The impact of internal and external factors on the relationship between information opacity and open-market repurchases
    Wang, Chih-Wei
    Peng, Jing-Yu
    [J]. ACCOUNTING AND FINANCE, 2021, 61 (03): : 4085 - 4118
  • [49] Stock market anomalies: what can we learn from repurchases and insider trading?
    Core, JE
    Guay, WR
    Richardson, SA
    Verdi, RS
    [J]. REVIEW OF ACCOUNTING STUDIES, 2006, 11 (01) : 49 - 70
  • [50] The market reaction to open market share repurchases announcements: The South African experience
    Bhana, N.
    [J]. INVESTMENT ANALYSTS JOURNAL, 2007, (65) : 25 - 36
12345