In the stock market, return reversal occurs when investors sell overbought stocks and buy oversold stocks, reversing the stocks' price trends. In this paper, we develop a new method to identify key drivers of return reversal by incorporating a comprehensive set of factors derived from different economic theories into one unified dynamical Bayesian factor graph. We then use the model to depict f...

Purpose Motivated by significant global developments affecting the sell-side industry, in particular a shift toward passive investments and growing regulation, this study examines whether financial analyst coverage declined over past decade if any loss of is associated with change forecast accuracy. Design/methodology/approach After investigating, confirming, general decline following, authors ...

Sell-side analysts employ different benchmarks when defining their stock recommendations. For example, a ‘buy’ for some brokers means the stock is expected to outperform its peers in the same sector (“sector benchmarkers”), while for other brokers it means the stock is expected to outperform the market (“market benchmarkers”), or just some absolute return (“total benchmarkers”). We explore the ...

On 17 March 1813 King Frederick William III of Prussia issued his appeal “to my people.” It was a call to arms for the struggle against Napoleon, a war of liberation, “...It is the final, decisive struggle that we must endure, for the sake of our existence, our independence, our fortune. There is no way out except an honorable peace, or glorious defeat.” The proclamation appeared in the newspap...