Over the Moon or Sick as a Parrot? The Effects of Football Results on a Club's Share Price

Adrian Bell, Chris Brooks, David Matthews () and Charles Sutcliffe

Post-Print from HAL

Abstract: This paper considers the impact of match results on the stock returns of English football clubs. We propose that the magnitude of the response to a given result depends on the importance of the game, which is measured in two ways. First, we consider the extent to which the clubs are close rivals vying for similar league positions, as winning such games is particularly significant. Second, we argue that each individual game becomes more important for those clubs likely to be promoted or relegated as the season draws to a close, since a given match will have increasing information content concerning the final league position of the club. Using a fairly large panel comprising data for 19 clubs, we find some support for the notion that stock prices are more affected by the results of important matches than matches of lesser importance. We also observe that the difference between the number of points the club secures from a given match, and the number it was expected to secure, affects its stock price, as does the number of goals that the club under question scores in the match, relative to its competitor.

Keywords: Social; Sciences; &; Humanities (search for similar items in EconPapers)
Date: 2011-06-17
Note: View the original document on HAL open archive server: https://hal.science/hal-00709557
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Published in Applied Economics, 2011, pp.1. ⟨10.1080/00036846.2011.577017⟩

Downloads: (external link)
https://hal.science/hal-00709557/document (application/pdf)

Related works:
Journal Article: Over the moon or sick as a parrot? The effects of football results on a club's share price (2012)
Working Paper: Over the Moon or Sick as a Parrot? The Effect's of Football Results on a Club's Share Price (2009)
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:hal:journl:hal-00709557

DOI: 10.1080/00036846.2011.577017

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().