How Disaggregation Enhances the Credibility of Management Earnings Forecasts

By D. E. R I C H I R S T, L. I. S A K O O N C E, A. N. D S H A N K A R V E N K A T A R A M A N, Stephen Baginski, Phil Berger, Shuping Chen, Ted Christianson, Rebecca N. Hann, J. Hassell, Michael T. Kirschenheiter and 8 more. 2007

196 citations recorded by the source corpus.

Subfields: Accounting, Finance, Management Science and Operations Research

View Paper: https://www.semanticscholar.org/paper/de41fae820b6cf271d611a86466f382d37127d81

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In Management Science and Operations Research

Citations in the corpus

Analysts’ GAAP earnings forecasts and their implications for accounting research (2018, background): “As a result, GAAP forecasts provide disaggregated information that should increase earnings credibility (Hirst et al., 2007; Merkley et al., 2013).”
Societal Trust and Management Earnings Forecasts (2020, background): “Specifically, following prior studies on the properties of management forecasts (Baginski and Hassel 1997; Hirst et al. 2007; Lansford et al. 2013), we investigate the implications of societal trust for management earnings forecast precision (MF_PREC), error (MF_FERR), and disaggregation…”
Spreading the Word: Price Discovery and Newswire Dissemination of Management Earnings Guidance (2016, background): “A large literature examines factors that influence how investors react to guidance (see Hirst et al. (2008) for a review of this literature).”
Fifty-Year Overview of Judgment and Decision-Making Research in Accounting (2011, unknown): “Hirst et al. (2007) investigated whether the disaggregation of management forecasts would lead to an increase in investor’s assessment of their credibility.”
Management Earnings Forecasts: A Review and Framework (2008, unknown): “These data are consistent with Hirst et al. ͑2007͒ who review an ad hoc sample of 172 earnings forecasts for the year 2005 and report that, although most forecasts ͑71 percent͒ are of earnings, or earnings and revenues, a substantial number of forecasts ͑29 percent͒ include multiple…”
Does concrete language in disclosures increase willingness to invest? (2014, unknown): “Prior literature in accounting shows that investors react more strongly to information when more detail is provided via disaggregation (Hirst et al. 2007) or when information is easier to visualize (Sedor 2002; Kadous et al.”