Analysts'Fatigue,Forecasting Quality and Stock Returns——The Evidence from China
The decision fatigue of analysts and its impact on the decline in forecast quality is an issue worthy of attention in the industry.This study examines the relationship between analyst fatigue and forecast quality in the Chinese A-share market.Through statistical analysis of earnings forecasts in sell-side analyst'reports from 2006 to 2023 in the A-share market,the study found that analyst decision fatigue is positively related to earnings forecast errors.This means that as the number of forecasts issued by analysts increases within a week,their errors in forecasting company earnings also in-crease.Forecasts released by analysts with severe decision fatigue predict lower long-term returns for individual stocks,with earnings forecast errors acting as partial intermediary variables in this relationship.The lower stock returns caused by decision fatigue are related to market information asymmetry.
NETL
NSTL
万方数据
