Market reactions to stock rating and target price changes in analyst reports: Evidence from Japan

Shohei Ishigami; Fumiko Takeda

doi:10.1016/j.intfin.2017.09.014

Market reactions to stock rating and target price changes in analyst reports: Evidence from Japan

Shohei Ishigami, Fumiko Takeda

Research output: Contribution to journal › Article › peer-review

6 Citations (Scopus)

Abstract

We aim to perform a comprehensive analysis of the effects of stock ratings and target prices published in the Japanese markets using a large number of analyst reports. Our study is the first to cover reports published by six domestic brokerage firms and ten foreign brokerage firms. In addition to the impact of rating changes on stock prices, we provide analyses on the combined effects of stock ratings and target prices. Furthermore, we find that market responses are affected by the information quality of securities companies issuing analyst reports and the number of reports issued on the same day.

Original language	English
Pages (from-to)	134-151
Number of pages	18
Journal	Journal of International Financial Markets, Institutions and Money
Volume	52
DOIs	https://doi.org/10.1016/j.intfin.2017.09.014
Publication status	Published - 2018 Jan
Externally published	Yes

Keywords

Efficient market
Event study
Stock rating
Stock recommendation

ASJC Scopus subject areas

Finance
Economics and Econometrics

Access to Document

10.1016/j.intfin.2017.09.014

Cite this

@article{8113d40168e0449cae33b19009e2bac0,

title = "Market reactions to stock rating and target price changes in analyst reports: Evidence from Japan",

abstract = "We aim to perform a comprehensive analysis of the effects of stock ratings and target prices published in the Japanese markets using a large number of analyst reports. Our study is the first to cover reports published by six domestic brokerage firms and ten foreign brokerage firms. In addition to the impact of rating changes on stock prices, we provide analyses on the combined effects of stock ratings and target prices. Furthermore, we find that market responses are affected by the information quality of securities companies issuing analyst reports and the number of reports issued on the same day.",

keywords = "Efficient market, Event study, Stock rating, Stock recommendation",

author = "Shohei Ishigami and Fumiko Takeda",

note = "Publisher Copyright: {\textcopyright} 2017 Elsevier B.V.",

year = "2018",

month = jan,

doi = "10.1016/j.intfin.2017.09.014",

language = "English",

volume = "52",

pages = "134--151",

journal = "Journal of International Financial Markets, Institutions and Money",

issn = "1042-4431",

publisher = "Elsevier BV",

}

TY - JOUR

T1 - Market reactions to stock rating and target price changes in analyst reports

T2 - Evidence from Japan

AU - Ishigami, Shohei

AU - Takeda, Fumiko

PY - 2018/1

Y1 - 2018/1

N2 - We aim to perform a comprehensive analysis of the effects of stock ratings and target prices published in the Japanese markets using a large number of analyst reports. Our study is the first to cover reports published by six domestic brokerage firms and ten foreign brokerage firms. In addition to the impact of rating changes on stock prices, we provide analyses on the combined effects of stock ratings and target prices. Furthermore, we find that market responses are affected by the information quality of securities companies issuing analyst reports and the number of reports issued on the same day.

AB - We aim to perform a comprehensive analysis of the effects of stock ratings and target prices published in the Japanese markets using a large number of analyst reports. Our study is the first to cover reports published by six domestic brokerage firms and ten foreign brokerage firms. In addition to the impact of rating changes on stock prices, we provide analyses on the combined effects of stock ratings and target prices. Furthermore, we find that market responses are affected by the information quality of securities companies issuing analyst reports and the number of reports issued on the same day.

KW - Efficient market

KW - Event study

KW - Stock rating

KW - Stock recommendation

UR - http://www.scopus.com/inward/record.url?scp=85031324205&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=85031324205&partnerID=8YFLogxK

U2 - 10.1016/j.intfin.2017.09.014

DO - 10.1016/j.intfin.2017.09.014

M3 - Article

AN - SCOPUS:85031324205

SN - 1042-4431

VL - 52

SP - 134

EP - 151

JO - Journal of International Financial Markets, Institutions and Money

JF - Journal of International Financial Markets, Institutions and Money

ER -

Market reactions to stock rating and target price changes in analyst reports: Evidence from Japan

Abstract

Keywords

ASJC Scopus subject areas

Access to Document

Other files and links

Fingerprint

Cite this