Journal article
Corporate Managers’ Perspectives on Forward-Looking Guidance: Survey Evidence
Journal of accounting & economics, Vol.78(2-3), 101731
11/2024
DOI: 10.1016/j.jacceco.2024.101731
Abstract
We survey corporate managers of both guiding and non-guiding firms. We find that managers of firms that provide guidance say that they: (1) primarily provide guidance to satisfy analyst and investor demands and manage analysts’ earnings expectations; (2) are relatively unconcerned about proprietary or litigation costs (managers of non-guiding firms are more likely to see litigation risk as a concern); (3) predominantly issue guidance that is conservative relative to their internal expectations; (4) are concerned that guidance induces analysts and investors to focus on the short-term but not that it induces managers themselves to make myopic decisions internally. We also find that managers are miscalibrated about the accuracy of their guidance and that significant quantities of guidance that managers say their firms issue are not captured by conventional sources. We offer several other new insights relevant to the voluntary disclosure literature.
Details
- Title: Subtitle
- Corporate Managers’ Perspectives on Forward-Looking Guidance: Survey Evidence
- Creators
- Andrew C. Call - University of Southern CaliforniaPaul Hribar - University of IowaDouglas J. Skinner - University of ChicagoDavid Volant - Indiana University
- Resource Type
- Journal article
- Publication Details
- Journal of accounting & economics, Vol.78(2-3), 101731
- Publisher
- Elsevier B.V; AMSTERDAM
- DOI
- 10.1016/j.jacceco.2024.101731
- ISSN
- 0165-4101
- eISSN
- 1879-1980
- Language
- English
- Electronic publication date
- 07/2024
- Date published
- 11/2024
- Academic Unit
- Accounting
- Record Identifier
- 9984696673102771
Metrics
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