EconPapers    
Economics at your fingertips  
 

Do actions speak louder than words? Evidence from microblogs

Stéphane Goutte ()

Journal of Behavioral and Experimental Finance, 2022, vol. 33, issue C

Abstract: This research identifies the determinants of investors’ future beliefs by analyzing more than 50 million tweets on thousands of stocks from the microblogging platform StockTwits. To do so, I divide tweets into two categories: beliefs, representing the average sentiment of all investors regarding a particular stock, and actions, representing the actual transactions disclosed by StockTwits’ users in their tweets. The results show that investors’ next-period beliefs are positively impacted both by beliefs and actions of the current day. The quality of the investment advice strengthens this effect. More communication between investors leads to greater diversity in beliefs and more uncertainty.

Keywords: Sentiment analysis; NLP; Text analysis; Microblogs; Text classification; Herding; Word-of-mouth (search for similar items in EconPapers)
JEL-codes: G14 G40 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S2214635021001611

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:beexfi:v:33:y:2022:i:c:s2214635021001611

DOI: 10.1016/j.jbef.2021.100619

Access Statistics for this article

Journal of Behavioral and Experimental Finance is currently edited by Michael Dowling and Jürgen Huber

More articles in Journal of Behavioral and Experimental Finance from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

 
Page updated 2023-02-01
Handle: RePEc:eee:beexfi:v:33:y:2022:i:c:s2214635021001611