Title
"Wall Street Week": Information or entertainment?
Abbreviated Journal Title
Financ. Anal. J.
Keywords
Equity Investments : other; Portfolio Management : equity strategies; STOCK-PRICES; RECOMMENDATIONS; COLUMN; RETURNS; SIZE; Business, Finance
Abstract
The purpose of the study we report was to determine the information content of the recommendations made by panelists during 1997 on "Wall $treet Week with Louis Rukeyser." Using event-study methodology for the short term, we found a statistically significant positive abnormal return of 0.65 percent for the recommendations on the first trading day after the show on Friday. To determine the abnormal long-term (one- and two-year) average holding-period returns, we used two matching processes. Using industry and size matching, we found not only that the portfolio of recommended stocks improved in value during the following eight quarters but that its increase in value was higher than for the matched sample in all eight quarters and statistically significantly higher in half of the eight quarters. Using industry, size, and book-to-market matching, we found similar results. Overall, this study's results suggest that the panelist recommendations have significant information content.
Journal Title
Financial Analysts Journal
Volume
59
Issue/Number
1
Publication Date
1-1-2003
Document Type
Article
Language
English
First Page
45
Last Page
+
WOS Identifier
ISSN
0015-198X
Recommended Citation
""Wall Street Week": Information or entertainment?" (2003). Faculty Bibliography 2000s. 3747.
https://stars.library.ucf.edu/facultybib2000/3747