Profitability, investment and average returns

By Eugene F. Fama, Kenneth R. French. 2006

890 citations recorded by the source corpus.

Subfields: Accounting, Finance, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/86e7c2e5de183d89e96e277a213e5151fe4cd4c2

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Citations in the corpus

A re-examination of analysts’ superiority over time-series forecasts of annual earnings (2012, neutral): “16 Additionally, some researchers use cross-sectional models to derive earnings forecasts for individual firms (e.g., Fama and French 2006; Hou et al. 2010).”
Average Returns, B/M, and Share Issues (2008, methodology): “4”
The five-factor asset pricing model tests for the Chinese stock market (2017, neutral): “1 See, e.g., Fairfield et al. (2003), Titman et al. (2004), Fama and French (2006, 2008a), Aharoni et al. (2013) and Novy-Marx (2013). http://dx.doi.org/10.1016/j.pacfin.2017.02.001 0927-538X/© 2017 Elsevier B.V.”
Capital Allocation and Timely Accounting Recognition of Economic Losses (2011, background): “In this, we complement a recent paper by Francis and Martin (2010) who examine the link between firm-level conservatism and future project selection by exploiting acquisition announcements. In contrast, we examine relations between country-level TLR and general capital expenditures, and further, we ”
Identifying Expectation Errors in Value/Glamour Strategies: A Fundamental Analysis Approach (2012, positive): “1 The central premise behind security analysis, as discussed by Graham and Dodd (1934), among others, is that sophisticated investors can use historical financial information to select profitable investment opportunities. Through careful analysis of historical financial data, investors identify over”
Arbitrage Asymmetry and the Idiosyncratic Volatility Puzzle (2014, background): “Among the securities most likely to be mispriced, as identiﬁed by our mispricing measure, we expect to see the magnitude of mispricing increase with IVOL.”
Interpreting the Value Effect Through the Q-Theory: An Empirical Investigation (2008, background): “I follow Gilchrist, Himmelberg, and Huberman (2005) in defining mpk and, given that Fama and French (2006) show that current profitability is the most powerful predictor of future profitability, I employ mpk as a proxy for the expected future mpk. Table (5) shows that the value effect is unchanged…”