Share pledges, tone of earnings communication conferences, and market reaction: evidence from China

Wanlong Zhao · Wei Zhang · Xiong Xiong · Gaofeng Zou

59 citations0/0 files storedAccounting and Finance

No readable copy stored yet — this record is metadata only.

No open-access location is known for this record yet.

Literature note Cite in a project Citation map

Auditing, Earnings Management, Governance Financial Markets and Investment Strategies Corporate Finance and Governance

Abstract

Abstract We investigate how share pledging affects firms’ disclosures and influences investors in Chinese stock market. The tone of firm disclosures when there are shares pledged by controlling shareholders is more positive than that of firms without them. Considering tone inflation motivation and ability simultaneously, we find share pledge risk has an inverted U‐shaped relation with tone. Investors react positively to tone in short‐run windows, and firms with controlling shareholders’ pledges have higher stock returns for earnings communication conferences. We identify an inverted U‐shaped link between margin distance of controlling shareholders and stock returns for earnings communication conferences.

Paper brief

Loading…

Cite this work

Citation unavailable for this work.

BibTeX RIS CSL-JSON

No public copy is stored for this record, so only the metadata is cited.

Citations in this library

Citation map →

Stored only when both papers are in the corpus — 59 citations exist upstream.

References

2011When Is a Liability Not a Liability? Textual Analysis, Dictionaries, and 10‐Ks 2008More Than Words: Quantifying Language to Measure Firms' Fundamentals 2016Textual Analysis in Accounting and Finance: A Survey 2013Corporate Social Responsibility Reporting in China: Symbol or Substance?2017The effect of mandatory CSR disclosure on firm profitability and social externalities: Evidence from China 2010The Information Content of Forward‐Looking Statements in Corporate Filings—A Naïve Bayesian Machine Learning Approach 2009The Effect of Disclosures by Management, Analysts, and Business Press on Cost of Capital, Return Volatility, and Analyst Forecasts: A Study Using Content Analysis 2008Are Investors Influenced By How Earnings Press Releases Are Written?

Cited by

2022Earnings management and tone management: evidence from FTSE 350 companies 2022Monetary policy, assets mispricing and share pledge: empirical evidence from A-share listed companies of China

Explore the map →

Papers that cite the same references — the relational fallback while embeddings are still backfilling.

Imported from OpenAlex (CC0) — nothing here is generated.