Quiz Ch 08 – Ball and Brown’s Research on Earnings Announcements
Essentials of Investments
Bodie, Kane, and Marcus
12th Edition
How do securities markets react to earnings announcements as per Ball and Brown’s 1968 study?
How do securities markets react to earnings announcements as per Ball and Brown’s 1968 study?
According to Banz’s 1981 study, what was the typical relationship between the risk-adjusted returns of small firms compared to large firms?
What did Basu discover regarding firms with high P/E ratios in two studies conducted in 1977 and 1983?
What level of the Efficient Market Hypothesis (EMH) asserts that stock prices incorporate all publicly available information except insider information?
What are the usual price-to-book and price-to-earnings ratios associated with value stocks?
What could elucidate the capacity to generate excess returns on a stock flagged as undervalued by fundamental analysis, despite the widespread availability of information and the stock’s absence from major exchange trading?
It’s widely accepted that the stock market does NOT exhibit which efficiency level?
What phenomenon describes the continuation of stock performance from one period to the next?
What is the main aim of fundamental analysis?
What was observed regarding the performance of the poorest-performing and best-performing stocks across periods according to DeBondt and Thaler’s research in 1985?