Do Stock Prices Fully Reflect Information in Accruals and Cash Flows About Future Earnings?

1996/07/01 by Richard G. Sloan · 9 citations
Business, Management and Accounting · Economics, Econometrics and Finance · #Auditing, Earnings Management, Governance #Financial Markets and Investment Strategies #Financial Reporting and Valuation Research

paper · doi:10.2308/tar-9608042309

Abstract

Abstract Investigates whether stock prices reflect information about future corporate earnings contained in accrual and cash flow components of currents earnings. Relationship of current earnings performance on the magnitude of cash and accrual flows; Relationship between the accrual and cash flow of earnings.

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• The Relevance of Non‐Income Tax Relief*
• The Difference between Earnings and Operating Cash Flow as an Indicator of Financial Reporting Fraud*
• Does the Identity of Engagement Partners Matter? An Analysis of Audit Partner Reporting Decisions

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• Earnings Quality and Stock Returns
• The Quality of Accruals and Earnings: The Role of Accrual Estimation Errors
• The mediating role of profit stability in the relationship between comparability of financial statements and predictability of profit and pricing efficiency of accruals
• Stock Price Drift from the Content of Projected Earnings Information Resulting from Quarterly Operations: Evidence of the Contradiction Between Timeliness and Profitability
• Bringing the Future Forward: The Effect of Disclosure on the Returns‐Earnings Relation