Investors' Opinion Divergence and Post-Earnings Announcement Drift in REITs

Gow-Cheng Huang, Kartono Liano and Ming-Shiun Pan

Journal of Real Estate Portfolio Management, 2019, vol. 25, issue 1, 53-65

Abstract: Executive Summary. In this study, we examine whether investors' opinion divergence has explanatory power for post-earnings announcement drift in equity real estate investment trusts (REITs). We measure investors' opinion divergence using abnormal trading turnover around the earnings announcement date. Our results show that investor opinion divergence is positively related to the REIT post-earnings announcement drift (PEAD) after controlling for the effects of earnings surprise, initial market reaction to the announcement, firm size, and risk. Further analysis shows that the effect of investor opinion divergence on the REIT PEAD is asymmetric. The effect exists for negative earnings surprises but not for positive earnings surprises.

Date: 2019
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/10835547.2019.12090023 (text/html)
Access to full text is restricted to subscribers.

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:taf:repmxx:v:25:y:2019:i:1:p:53-65

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/repm20

DOI: 10.1080/10835547.2019.12090023

Access Statistics for this article

Journal of Real Estate Portfolio Management is currently edited by Peng Liu and Vivek Sah

More articles in Journal of Real Estate Portfolio Management from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().