IPO First-Day Returns, Offer Price Revisions, Volatility, and Form S-1 Language

By Tim Loughran, Bill McDonald. 2013

488 citations recorded by the source corpus.

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Citations in the corpus

Textual Sentiment in Finance: A Survey of Methods and Models (2014, neutral): “Loughran and McDonald (2013a) have used absolute value of revision (the percentage revision in the IPO offer price from the mid-point of the filing range) as the dependent variable.”
Media Sentiment and IPO Underpricing (2017, unknown): “The documented evidence is apparently in sharp divergence with Loughran and McDonald (2013), who show how a negative sentiment in the S-1 filings is associated with larger underpricing.”
The Use of Word Lists in Textual Analysis (2015, unknown): “The sign on the % Diction optimism coefficient is somewhat surprising given the strong previous evidence that investors discount positive language (see Tetlock (2007) and Loughran and McDonald (2013)).”
Executive Extraversion: Career and Firm Outcomes (2018, unknown): “analyzes the text of company disclosures to measure tone (Tetlock, Saar-Tsechansky, and Macskassy, 2008; Loughran and McDonald, 2011; Jegadeesh and Wu, 2013), uncertainty (Loughran and McDonald, 2013), readability (Li, 2008; Loughran and McDonald, 2014), and uncover deception (Larcker and Zakolyukin”
Rumor Has It: Sensationalism in Financial Media (2015, methodology): “By identifying features of the text that predict accuracy, we also extend prior research on textual analysis in finance (Tetlock, Saar-Tsechansky, and Macskassy 2008; Loughran and McDonald 2011, 2014; Gurun and Butler 2012).”
Redacting Proprietary Information at the Initial Public Offering (2015, background): “Moreover, several studies examine disclosure in the context of IPOs and the association between the information content of IPO prospectuses and the levels of underpricing (Beatty and Ritter, 1986; Leone, Rock and Willenborg, 2007; Hanley and Hoberg, 2010; and Loughran and McDonald, 2013).”
Analyst Information Discovery and Interpretation Roles: A Topic Modeling Approach (2018, unknown): “We follow Loughran and McDonald (2013) and measure the percentage of uncertain words contained in a (denoted as ).22 Specifically, when managers use words such as “may,” “assume,” “possibly,” and “approximately,” it is more difficult for investors to judge the quality of the information.”
Perceptions and Price: Evidence from CEO Presentations at IPO Roadshows (2017, methodology): “Prior research has shown that variation in the level of uncertainty in this document impacts the valuation process (Loughran and McDonald, 2013).”