Can analyst predict stock market crashes?

The frequency of financial market turmoil has been rising over the past two decades. While the incidence of market turmoil has increased, the performance of analysts during tumultuous times has not received much attention in the literature. This paper examines whether the accuracy of analyst forecasts on stock returns varies during tumultuous times. Our results indicate that analysts' forecast performance during stock market crashes drops significantly.

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Year of publication:	2013
Authors:	Chong, Terence t. l. ; Wang, Xiaolei
Published in:	Economics Bulletin. - AccessEcon, ISSN 1545-2921. - Vol. 33.2013, 1, p. 158-166
Publisher:	AccessEcon
Subject:	Analyst forecast dispersion \| Stock market crash \| Excess returns

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Extent:	application/pdf
Type of publication:	Article
Classification:	G1 - General Financial Markets
Source:	RePEc - Research Papers in Economics

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