Prior research suggests that various financial anomalies are related to investors' inability to process historical earnings and price information. In particular, analysts' failure to incorporate appropriately the serial correlation in earnings surprises provides at least a partial explanation...

We examine the relation between security analysts' annual earnings forecast boldness ("bold analysts") and changes in the inferred flow of earnings-related information from managers of the forecasted firm to bold analysts. We find that unfavorably bold analysts experience an improvement in their...

This paper provides evidence that in quarterly earnings announcements, managers use discretion to strategically report a large, transitory component of prior-period earnings. Managers are more likely to report separately a prior-period transitory gain from the sale of property, plant, and...