Advertising, Breadth of Ownership, and Liquidity

By Gustavo Grullon, George Kanatas, J. Weston. 2004

807 citations recorded by the source corpus.

Subfields: Accounting, Economics and Econometrics, Finance

View Paper: https://www.semanticscholar.org/paper/6259576675f0fb2a73ff4386cfba8d1e634a175f

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Accounting

In Economics and Econometrics

In Finance

Citations in the corpus

Open source information, investor attention, and asset pricing (2013, background): “…Teoh, 2003; Merton, 1987; Sims, 2003) of investor attention, different kinds of indirect proxies, including advertising (Chemmanur and Yan, 2009; Grullon et al., 2004), media coverage (Chan, 2003; Fang and Peress, 2009), excessive trading volume and stock return (Barber and Odean, 2008) and…”
Media Coverage and the Cross-Section of Stock Returns (2008, background): “Grullon, Kanatas, and Weston (2004) document that firms with larger advertising expenditures have more liquid stocks.”
customers as advisors: the role of social media in financial markets (2011, neutral): “Grullon et al. (2004) find that firms with higher advertising expenditure have a wider shareholder base.”
Why Do Firms Invest in Consumer Advertising with Limited Sales Response? A Shareholder Perspective (2011, background): “Iizuka and Jin (2005) and Wosinska (2005) find that DTCA does 110 / Journal of Marketing, January 2011 not affect drug brand choice.”
Marketing and Firm Value: Metrics, Methods, Findings, and Future Directions (2009, neutral): “Several recent studies have suggested that a firm’s advertising (Frieder and Subrahmanyam 2005; Grullon, Kanatas, and Weston 2004; Joshi and Hanssens 2008) directly affects stock returns, beyond the indirect effect of advertising through lifting sales revenues and profits.”
Forecasting Abnormal Stock Returns and Trading Volume Using Investor Sentiment: Evidence from Online Search ? (2011, background): “Finally, Grullon et al. (2004) find that firms that advertise have shares that are more liquid and smaller bid-ask spreads, which they attribute to the fact that advertising draws more local small-scale investors to the firm.”
Product market advertising and new equity issues (2009, methodology): “We measure underwriter rank, RANK, following Loughran and Ritter (2004) (see also Carter, Dark, and Singh, 1998), with higher ranks representing higher quality.”
Company reputation and the cost of equity capital (2014, neutral): “Empirical studies find that highly recognized stocks are owned by more individual and institutional investors (Grullon et al. 2004) and are more liquid (Loughran and Schultz 2005).”