IDEAS home Printed from https://ideas.repec.org/h/spr/sprchp/978-3-032-09332-5_11.html

Whisperers Versus Analysts and Implications for Market Efficiency

In: Financial Social Media

Author

Listed:
  • Ying Zhang

    (Fairfield University)

Abstract

Before comparing stock opinions on financial social media (FSM hereafter) with financial analyst recommendations, it’s essential to understand the concept of market efficiency and how these different sources of information impact the Efficient Market Hypothesis (EMH). Financial markets are generally believed to efficiently reflect available information in security prices. According to Fama (1970), if a market is efficient, information spreads very quickly, if not instantly, and is incorporated into security prices without delay. Consequently, neither technical analysis (the study of past stock price patterns to predict future prices) nor fundamental analysis (the study of financial information to identify mispriced stocks) would enable an investor to achieve abnormal returns greater than those obtained from holding a randomly selected, well-diversified portfolio of securities, ceteris paribus.

Suggested Citation

  • Ying Zhang, 2026. "Whisperers Versus Analysts and Implications for Market Efficiency," Springer Books, in: Financial Social Media, edition 0, chapter 11, pages 203-220, Springer.
    • Handle: RePEc:spr:sprchp:978-3-032-09332-5_11
    DOI: 10.1007/978-3-032-09332-5_11
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    More about this item

    Statistics

    Access and download statistics

    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:spr:sprchp:978-3-032-09332-5_11. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.