Stock Repurchase and Media Coverage：Evidence from S&P 500 Company

• Main Authors: Jo-Hsuan Chiang, 江若萱
• Other Authors: Hsiang-Hsuan Chih
• Format: Others
• Language: zh-TW
• Published: 2011
• Online Access: http://ndltd.ncl.edu.tw/handle/84998532152208533060

碩士 === 國立東華大學 === 會計與財務碩士學位學程 === 99 === This study examines association between S&P 500 repurchasing company and media coverage, in addition to the relationship with firm characteristics and media coverage, primarily to test whether the repurchasing company’s coverage have impact on market performance and investor trading activity. First, we find that little coverage tend to have high abnormal return due to lack of information in the short term, reveal the media reduce post-announcement abnormal return. Second, the press-initiated coverage which the influence is nonlinearity has bigger impact than firm-initiated. However, we did not find the evidence in long-term, but discover that high coverage firm has larger long-term abnormal return. Third, we find that media coverage does affect investors trading activity during the repurchase announcement. Finally, the results indicate that media coverage plays an important role in short-term market reaction and investor activity during the repurchase announcement.