This paper investigates accounting conservatism's effects on accrual persistence and accrual-related future stock returns. We find conservatism significantly increases accrual persistence and accrual-related future stock returns and more so in high accrual firms. We attribute this to...

This paper investigates whether increases in future stock returns related to levels of total book assets (TBA) are due to risk or stock mispricing. Based on a large sample from 1989 to 2013, the findings at the portfolio-level reveal that average annual abnormal returns increase by 11.2 percent...

This study investigates whether increases in future stock returns related to levels of total book assets (TBA), after controlling for market value (MV), are due to risk or stock mispricing. Based on a 30 year sample from 1987 to 2016, the findings reveal statistically significant average annual...

This article examines the relationship between dividends and capital gains taxation differences and annual stock returns of Canadian public companies. Using the Compustat and Datastream databases over an 18-year period (1995-2012), we find this relationship to be positive for all stocks on the...