The earnings announcement premium around the globe

A-Tier
Journal: Journal of Financial Economics
Year: 2013
Volume: 108
Issue: 1
Pages: 118-138

Authors (4)

Barber, Brad M. (University of California-Davis) De George, Emmanuel T. (not in RePEc) Lehavy, Reuven (not in RePEc) Trueman, Brett (not in RePEc)

Score contribution per author:

1.005 = (α=2.01 / 4 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

U.S. stocks have been shown to earn higher returns during earnings announcement months than during non-announcement months. We document that this earnings announcement premium exists across the globe. Moreover, it is not isolated to a few countries. Of the 20 countries with enough data to conduct a within-country analysis, nine exhibit a significantly positive premium. A cross-country analysis finds that the premium is strongest in countries with the greatest increase in idiosyncratic volatility around the time of their firms' earnings announcements, suggesting that uncertainty over the earnings information to be disclosed is a primary driver of the global announcement premium.

Technical Details

RePEc Handle
repec:eee:jfinec:v:108:y:2013:i:1:p:118-138
Journal Field
Finance
Author Count
4
Added to Database
2026-01-24