Information and Long-Term Stock Performance Following Open-Market Share Repurchases

2013 ◽  
Vol 48 (3) ◽  
pp. 461-487 ◽  
Author(s):  
Fei Leng ◽  
Gregory Noronha
Keyword(s):  
Market Share ◽  
Share Repurchases ◽  
Open Market ◽  
Stock Performance ◽  
Open Market Share Repurchases

scholarly journals Open Market Share Repurchases and Earnings Management

2020 ◽  
Vol 15 (1) ◽  
pp. 31
Author(s):  
Arturo Rodríguez ◽  
Heng Yue
Keyword(s):  
Earnings Management ◽  
Market Share ◽  
Discretionary Accruals ◽  
Significant Part ◽  
Share Repurchases ◽  
Open Market ◽  
Managerial Opportunism ◽  
Repurchase Announcements ◽  
Open Market Share Repurchases

In this study we examine earnings management around open market share repurchases. We examine two hypotheses: managerial opportunism and market response, both of which predict that managers will manage earnings down prior to an open market repurchase. Using 2,939 repurchase announcements during 1980- 1998 we find evidence that managers do manage earnings down before share repurchases. We also find that the market does not identify the earnings manipulation when the repurchase is announced, and that discretionary accruals can explain a significant part of long-term positive returns following repurchases. Altogether the evidence is consistent with the managerial opportunism hypothesis. Further investigation indicates that managers with higher ownership in the firm are more likely to manage earnings down.

scholarly journals EU Regulation and open market share repurchases: new evidence

2021 ◽  
pp. 1-21
Author(s):  
Angeliki Drousia ◽  
Athanasios Episcopos ◽  
George N. Leledakis ◽  
Emmanouil G. Pyrgiotakis
Keyword(s):  
Market Share ◽  
Share Repurchases ◽  
Open Market ◽  
Eu Regulation ◽  
New Evidence ◽  
Open Market Share Repurchases
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