THE EFFECT OF EARNINGS PERSISTENCE, PREDICTABILITY, SMOOTHNESS AND STABILITY ON THE RETURNS-EARNINGS RELATIONSHIP:
EVIDENCE FROM WARSAW STOCK EXCHANGE Cover Image

WPŁYW STABILNOŚCI I PREDYKCYJNOŚCI ZYSKU KSIĘGOWEGO NA JEGO UŻYTECZNOŚĆ DLA PROGNOZOWANIA STOPY ZWROTU Z AKCJI NA PRZYKŁADZIE GIEŁDY PAPIERÓW WARTOŚCIOWYCH W WARSZAWIE
THE EFFECT OF EARNINGS PERSISTENCE, PREDICTABILITY, SMOOTHNESS AND STABILITY ON THE RETURNS-EARNINGS RELATIONSHIP: EVIDENCE FROM WARSAW STOCK EXCHANGE

Author(s): Rafał Cieślik
Subject(s): Economy, Business Economy / Management, Accounting - Business Administration
Published by: Wydawnictwo Wyższej Szkoły Menedżerskiej w Warszawie
Keywords: earnings quality; earnings per share; stock market return; persistence; predictability; smoothness; stability

Summary/Abstract: This paper examines whether and how earnings quality affects the role of earnings in a firm’s valuation. It is basicallyfocuses on the returns-earnings relationship taking into consideration four earnings attributes including persistence,predictability, smoothness and stability. For a large sample of Polish non-financial firms over the period 2009–2016, thestudy showed that earnings quality has a weak, but positive, influence on earnings response coefficient.

  • Issue Year: 15/2016
  • Issue No: 1
  • Page Range: 17-24
  • Page Count: 7
  • Language: English