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Common institutional ownership and analyst earnings forecasts

Author

Listed:
  • Wang, Jiachen
  • Tian, Xinmin
  • Ma, Xiaoyue

Abstract

This research investigates the impact of shared institutional ownership on the accuracy of analysts' predictions. Drawing from theoretical frameworks, we have formulated and empirically tested our research hypotheses. The results indicate a negative correlation between shared institutional ownership and the precision of analysts' forecasts. Additionally, peer pressure has been found to mediate this relationship. Furthermore, ownership type has been identified as an intermediary factor, with state-owned enterprises exhibiting a more significant negative effect.

Suggested Citation

  • Wang, Jiachen & Tian, Xinmin & Ma, Xiaoyue, 2024. "Common institutional ownership and analyst earnings forecasts," International Review of Economics & Finance, Elsevier, vol. 96(PA).
    • Handle: RePEc:eee:reveco:v:96:y:2024:i:pa:s1059056024005148
    DOI: 10.1016/j.iref.2024.103522
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    References listed on IDEAS

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