We examine the impact of managerial sentiment on analysts' following decisions and earnings forecast accuracy. By … analyzing the textual tone of management discussion and analysis sections in annual reports to capture managerial sentiment, we … find that when managerial sentiment is more positive, firms attract more analyst following, while analysts' earnings …

buy or sell. The second essay, Managerial Sentiment and the Value of the Firm, examines the effect of managerial sentiment … on the project selection process using net present value criterion and also effect of managerial sentiment on the value …