Sell-side analysts' benchmarks

Sell-side analysts employ different benchmarks when defining their recommendations. A buy for some brokers means the stock is expected to outperform its industry, while for other brokers it means the stock is expected to outperform the market, or some return threshold. We show that these stated benc...

Full description

Saved in:
Bibliographic Details
Main Authors: KADAN, Ohad, MADUREIRA, Leonardo, WANG, Rong, ZACH, Tzachi
Format: text
Language:English
Published: Institutional Knowledge at Singapore Management University 2020
Subjects:
Online Access:https://ink.library.smu.edu.sg/lkcsb_research/6523
https://ink.library.smu.edu.sg/context/lkcsb_research/article/7522/viewcontent/Sell_Side_Analysts_Benchmarks_av.pdf
Tags: Add Tag
No Tags, Be the first to tag this record!
Institution: Singapore Management University
Language: English
id sg-smu-ink.lkcsb_research-7522
record_format dspace
spelling sg-smu-ink.lkcsb_research-75222020-09-25T08:13:53Z Sell-side analysts' benchmarks KADAN, Ohad MADUREIRA, Leonardo WANG, Rong ZACH, Tzachi Sell-side analysts employ different benchmarks when defining their recommendations. A buy for some brokers means the stock is expected to outperform its industry, while for other brokers it means the stock is expected to outperform the market, or some return threshold. We show that these stated benchmarks have implications for the distribution of recommendations, price reactions to recommendations, and the investment value of recommendations. We conclude that, depending on the question, academics may need to account for the benchmarks when studying analysts’ outputs, and investors may find the benchmarks beneficial in interpreting analysts’ advice. 2020-01-01T08:00:00Z text application/pdf https://ink.library.smu.edu.sg/lkcsb_research/6523 info:doi/10.2308/accr-52446 https://ink.library.smu.edu.sg/context/lkcsb_research/article/7522/viewcontent/Sell_Side_Analysts_Benchmarks_av.pdf http://creativecommons.org/licenses/by-nc-nd/4.0/ Research Collection Lee Kong Chian School Of Business eng Institutional Knowledge at Singapore Management University Analysts Benchmarks Recommendations Finance and Financial Management Portfolio and Security Analysis
institution Singapore Management University
building SMU Libraries
continent Asia
country Singapore
Singapore
content_provider SMU Libraries
collection InK@SMU
language English
topic Analysts
Benchmarks
Recommendations
Finance and Financial Management
Portfolio and Security Analysis
spellingShingle Analysts
Benchmarks
Recommendations
Finance and Financial Management
Portfolio and Security Analysis
KADAN, Ohad
MADUREIRA, Leonardo
WANG, Rong
ZACH, Tzachi
Sell-side analysts' benchmarks
description Sell-side analysts employ different benchmarks when defining their recommendations. A buy for some brokers means the stock is expected to outperform its industry, while for other brokers it means the stock is expected to outperform the market, or some return threshold. We show that these stated benchmarks have implications for the distribution of recommendations, price reactions to recommendations, and the investment value of recommendations. We conclude that, depending on the question, academics may need to account for the benchmarks when studying analysts’ outputs, and investors may find the benchmarks beneficial in interpreting analysts’ advice.
format text
author KADAN, Ohad
MADUREIRA, Leonardo
WANG, Rong
ZACH, Tzachi
author_facet KADAN, Ohad
MADUREIRA, Leonardo
WANG, Rong
ZACH, Tzachi
author_sort KADAN, Ohad
title Sell-side analysts' benchmarks
title_short Sell-side analysts' benchmarks
title_full Sell-side analysts' benchmarks
title_fullStr Sell-side analysts' benchmarks
title_full_unstemmed Sell-side analysts' benchmarks
title_sort sell-side analysts' benchmarks
publisher Institutional Knowledge at Singapore Management University
publishDate 2020
url https://ink.library.smu.edu.sg/lkcsb_research/6523
https://ink.library.smu.edu.sg/context/lkcsb_research/article/7522/viewcontent/Sell_Side_Analysts_Benchmarks_av.pdf
_version_ 1770575148627263488