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Smart investments by smart money: Evidence from seasoned equity offerings

Show simple item record Gibson S. Safieddine A. Sonti R.
dc.contributor.editor 2004 2017-09-07T07:51:37Z 2017-09-07T07:51:37Z 2004
dc.identifier 10.1016/j.jfineco.2003.05.001
dc.description.abstract We document that seasoned equity issuers experiencing the greatest increase in institutional investment around the offer date outperformed their benchmark portfolios in the year following the issue by a statistically and economically significant margin relative to those experiencing the greatest decrease. No such relationship exists for a control sample of matched non-issuers. Issuers with the greatest institutional investment are also found to have the highest ratio of sell-side analyst upgrades less downgrades to total forecasts in the two quarters following the issue. Again, no such relationship is found for matched non-issuers. We interpret our results as evidence that institutions are able to identify above-average seasoned equity offering SEO firms at the time of equity issuance and increase their holdings in these potential outperformers. © 2003 Elsevier B.V. All rights reserved.
dc.format.extent Pages: (581-604)
dc.language English
dc.publisher LAUSANNE
dc.relation.ispartof Publication Name: Journal of Financial Economics; Publication Year: 2004; Volume: 72; no. 3; Pages: (581-604);
dc.source Scopus
dc.title Smart investments by smart money: Evidence from seasoned equity offerings
dc.type Article
dc.contributor.affiliation Gibson, S., School of Hotel Administration, Cornell University, Ithaca, NY 14853, United States
dc.contributor.affiliation Safieddine, A., American University of Beirut, Beirut, Lebanon
dc.contributor.affiliation Sonti, R., A.B. Freeman School of Business, Tulane University, New Orleans, LA 70118, United States
dc.contributor.authorAddress Gibson, S.; School of Hotel Administration, Cornell University, Ithaca, NY 14853, United States; email:
dc.contributor.authorCorporate University: American University of Beirut; Faculty: Suliman S. Olayan School of Business; Department: School of Business;
dc.contributor.authorDepartment School of Business
dc.contributor.faculty Suliman S. Olayan School of Business
dc.contributor.authorInitials Gibson, S
dc.contributor.authorInitials Safieddine, A
dc.contributor.authorInitials Sonti, R
dc.contributor.authorReprintAddress Gibson, S (reprint author), Cornell Univ, Sch Hotel Adm, Ithaca, NY 14853 USA.
dc.contributor.authorUniversity American University of Beirut
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dc.description.citedCount 37
dc.description.citedTotWOSCount 35
dc.description.citedWOSCount 35
dc.format.extentCount 24
dc.identifier.coden JFECD
dc.identifier.scopusID 2442641737
dc.publisher.address PO BOX 564, 1001 LAUSANNE, SWITZERLAND
dc.relation.ispartOfISOAbbr J. Financ. Econ.
dc.relation.ispartOfIssue 3
dc.relation.ispartofPubTitle Journal of Financial Economics
dc.relation.ispartofPubTitleAbbr J. Financ. Econ.
dc.relation.ispartOfVolume 72
dc.source.ID WOS:000221890500006
dc.type.publication Journal
dc.subject.otherAuthKeyword Institutional investors
dc.subject.otherAuthKeyword Seasoned equity offerings
dc.subject.otherKeywordPlus OPERATING PERFORMANCE
dc.subject.otherKeywordPlus PORTFOLIO HOLDINGS
dc.subject.otherKeywordPlus PUBLIC OFFERINGS
dc.subject.otherKeywordPlus ISSUES PUZZLE
dc.subject.otherKeywordPlus RETURNS
dc.subject.otherWOS Business, Finance
dc.subject.otherWOS Economics

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