• I & II Jan-Dec VOL-12
  • I & II Jan-Dec VOL-11
  • I & II Jan-Dec VOL-10

BUSINESS VISION (Vol. 11)

business_vision

QUARTERLY FINANCIAL REPORT AND THE STOCK PRICE REACTION AT THE NATIONAL STOCK EXCHANGE

  • Author : Prof. Manas Pandey
  • Edition : January - December 2016
  • Pages  : 113
  • ISSN   : 0973-1369
  • Abstract : His paper examines the stock market’s reaction on quarterly earnings announcements by Indian companies. We observe if information content of quarterly reports is accordingly reflected in stock prices, as theoretically applied in efficient market hypothesis. An event study methodology has been applied to search for the post announcement drift of abnormal returns, similar to the one observed on well-developed and matured world markets. The empirical findings indicate that there are significant post announcement drift of abnormal returns in a group of companies that unexpectedly report highly disappointing quarterly earnings.

A.K. Mishra

Professor

Indian Institute of Management, Lucknow, India

 
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