IDEAS home Printed from https://ideas.repec.org/a/mes/emfitr/v50y2014i1sp134-147.html
   My bibliography  Save this article

Do Institutional Investors Use Earnings Forecasts from Financial Analysts? Evidence from China's Stock Market

Author

Listed:
  • Fangfei Ding
  • Min Chen
  • Zhongxin Wu

Abstract

China has an immature stock market. The typical features of an emerging market may have impaired investors' confidence in Chinese financial analysts. We investigate the association between institutional investors' ownership holding changes and financial analysts' earnings forecast revisions. Results show that there is no significant relationship between them, which suggests that institutional investors do not adopt financial analysts' earnings forecasts when making investment decisions. The result supports the view that sophisticated Chinese institutional investors do not respond to Chinese financial analysts' reports due to lack of trust.

Suggested Citation

  • Fangfei Ding & Min Chen & Zhongxin Wu, 2014. "Do Institutional Investors Use Earnings Forecasts from Financial Analysts? Evidence from China's Stock Market," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 50(1S), pages 134-147, January.
    • Handle: RePEc:mes:emfitr:v:50:y:2014:i:1s:p:134-147
    as

    Download full text from publisher

    File URL: http://mesharpe.metapress.com/link.asp?target=contribution&id=UU133T635686Q84H
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Brzeszczyński, Janusz & Gajdka, Jerzy & Kutan, Ali M., 2015. "Investor response to public news, sentiment and institutional trading in emerging markets: A review," International Review of Economics & Finance, Elsevier, vol. 40(C), pages 338-352.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mes:emfitr:v:50:y:2014:i:1s:p:134-147. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/MREE20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.