Rahmat Allah Houshmand Zaferanie; Omid Pourheydari
Volume 12, Issue 45 , April 2015, , Pages 39-58
Abstract
The purpose of this study is investigation of the type and information content of accounting adjustments of Firms Listed in the Tehran Stock Exchange (TSE). In this regard, in order to measure the information content of accounting adjustments, the mean cumulative abnormal returns before and after the ...
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The purpose of this study is investigation of the type and information content of accounting adjustments of Firms Listed in the Tehran Stock Exchange (TSE). In this regard, in order to measure the information content of accounting adjustments, the mean cumulative abnormal returns before and after the information has been released. The data used, has been extracted from firms listed in the Tehran Stock Exchange (TSE) in the period 1380-1389. A paired comparison test is used for testing of hypotheses and data analyses. The results of the present study showed that there accountings adjustments have been information content to capital markets and the market shows negative reaction to the accounting adjustments. Also, results showed that the Iran capital market shows a negative reaction to accounting adjustment of errors kinds accounting, income and costs transfers; So that the difference in average abnormal returns for these adjustments were %3/41, %3/44 and %4/52. In addition, the results showed that the cumulative abnormal returns before and after the publication of information on the accounting adjustment of type positive accounting errors, there is not a significant correlation, Therefore, we cannot determine that the market reacts to such adjustments or not. In other words, the capital market show not is interpreting reaction to accounting adjustments of positive accounting errors.
O. Pourhaydari; A. Sadeghi
Volume 8, Issue 31 , October 2010, , Pages 1-31
Abstract
This paper investigates the relationship between stock returns and financial and non-financial information, such as operating income, net Income, dividends, cash flows, industry effects, price-earnings ratios, and earnings growth in companies listed in Tehran Stock Exchange (TSE). The testing period ...
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This paper investigates the relationship between stock returns and financial and non-financial information, such as operating income, net Income, dividends, cash flows, industry effects, price-earnings ratios, and earnings growth in companies listed in Tehran Stock Exchange (TSE). The testing period is from 1378 to 1387. We use cross sectional data for investigate trends and use pooled data for investigate the relationship between stock returns and financial and non-financial information. The results show that operating earnings, net income and earnings growth have the most explanatory power in determinant stock return. Similar to the findings of western studies, our study shows that earnings data is key information for investors. Also, our findings indicate that cash flows, industry effects, and price-earnings ratios are relatively less important information to the market.
Omid Pourheydari; Saeid Ali Ahmadi
Volume 4, Issue 15 , October 2006, , Pages 1-14
Abstract
This study examines the relation between residual earnings and stock prices in Tehran Stock Exchange (TSE). The analysis is based on a residual income model that expresses the value of the firm in terms of book value of equity and residual income. The model holds for any clean surplus accounting ...
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This study examines the relation between residual earnings and stock prices in Tehran Stock Exchange (TSE). The analysis is based on a residual income model that expresses the value of the firm in terms of book value of equity and residual income. The model holds for any clean surplus accounting system. The study address the question that whether book value per share (BV) and abnormal (residual) earnings per share (RE) have incremental and relative explanatory power or not. We find that RE have less explanatory power than BV. Also, we find that accounting book value of equity and residual earnings are positively and significantly related to current stock prices in Tehran Stock Exchange (TSE).
Omid Poorheidari; Mahmood Kohansal
Volume 3, Issue 9 , April 2005, , Pages 27-41
Abstract
The role of accounting information in setting security prices is one of the most fundamental issues in accounting. The purpose of this study is to extend the research on the value relevance of accounting numbers in two important directions. Firstly, we consider the Iran context and analyze if earnings ...
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The role of accounting information in setting security prices is one of the most fundamental issues in accounting. The purpose of this study is to extend the research on the value relevance of accounting numbers in two important directions. Firstly, we consider the Iran context and analyze if earnings and/or cash flows are relevant to explain stock returns. Secondly, we investigate how firm-specific attributes such as size, leverage and firm life-cycle influence the relative relevance of accounting measures (earnings and cash. flows). Our results support a linear relationship between stock returns and accounting variables. They indicate also that the relevance of earnings is conditional on size, debt level and life cycle of the firm. In contrast, the earning change reveals more information when the firms are small, mature and leverage firms. With regards to cash flows, we find that they do not reveal additional information beyond that contained in earnings.
