Results 151 to 160 of about 13,967 (199)

Managerial Overconfidence and Dividend Stickiness

Journal of Accounting, Auditing & Finance, 2023
In this study, we examine whether overconfident CEOs strive to smooth dividends. Our findings show overconfident CEOs increase dividends more as earnings increase and decrease dividends less as earnings decline, resulting in downward dividend stickiness.
Jui-Chia Lin, Min-Teh Yu
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Dividends and Managerial Overconfidence

SSRN Electronic Journal, 2013
We analyze the direct impacts of managerial overconfidence upon the dividend decision and demonstrate that the dividend levels and speeds of adjustment to target levels can increase when managers exhibit overconfidence. However, we demonstrate that the directional impact upon dividend levels will depend upon the nature of the managerial overconfidence.
Balasingham Balachandran, Suren Basov, Michael F. Theobald   +2 more
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Managerial Overconfidence and Accounting Conservatism

Journal of Accounting Research, 2012
ABSTRACTOverconfident managers overestimate future returns from their firms’ investments. Thus, we predict that overconfident managers will tend to delay loss recognition and generally use less conservative accounting. Furthermore, we test whether external monitoring helps to mitigate this effect.
Anwer S. Ahmed, Scott Duellman
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Corporate Diversification and Managerial Overconfidence

SSRN Electronic Journal, 2011
This study investigates the role of managerial overconfidence in the context of corporate diversification decisions. First, we find that overconfident managers are more likely to manage diversified than focused firms. Second, we find that the diversification discount is concentrated exclusively in companies managed by overconfident managers.
Panayiotis C. Andreou, John A. Doukas, Christodoulos Louca   +2 more
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Managerial overconfidence and corporate takeovers

International Journal of Managerial Finance, 2006
PurposeThe purpose of this paper is to model the announcement returns of merging firms based on managerial overconfidence about merger synergy.Design/methodology/approachThe paper applies continuous‐time real options techniques and game theoretic concepts.
Hongbo Pan, Xinping Xia, Minggui Yu
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Managerial Overconfidence and Market Feedback Effects

Management Science, 2023
We show that managerial learning from stock prices can lead to feedback loop vulnerability: corrective actions based on perceived negative market signals reduce the sensitivity of asset payoffs to stock market information. Less sensitivity discourages liquidity provision and increases the price impact of liquidity shocks.
Suman Banerjee, Shiyang Huang, Vikram Nanda, Steven Chong Xiao   +3 more
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Managerial overconfidence and firm profitability

Asia-Pacific Journal of Accounting & Economics, 2019
This study examines how Chief Executive Officer (CEO) overconfidence affects profitability. Using United States data from 1992 to 2010, we find that firms with overconfident CEOs have a greater ret...
Hyun Ah Kim, Seung Uk Choi, Wooseok Choi
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Managerial Overconfidence and Covenant Protection

SSRN Electronic Journal, 2016
This paper examines how managerial overconfidence affects covenant usage. We find that creditors significantly use more covenants, increase covenant intensity, and use different types of covenants such as performance-based covenants and capital-based covenants to curb the default risk emanating from managerial overconfidence. Besides, creditors tighten
Jan P. Voon, Chen Lin, Yiu C Ma
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Managerial Overconfidence and Deferred Tax Assets

Korean Accounting Information Association, 2023
[Purpose] In this study, we examine how managerial overconfidence can influence the deferred tax assets reported in corporate financial statements. [Methodology] Using a sample of 5,208 firm－year observations listed in Korea from 2012 to 2020, we examine the effect of managerial overconfidence on deferred tax assets. Based on prior studies, we use and
Maria A. Leach-López, Woo-Seok Choi, Eun-Suh Lee, In-Young Baik   +3 more
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Managerial Overconfidence and Bank Bailouts

Journal of Economic Behavior & Organization, 2020
Abstract Empirical evidence suggests that managerial overconfidence and government guarantees contribute substantially to excessive risk-taking in the banking industry. This paper incorporates managerial overconfidence and limited bank liability into a principal-agent model, where the bank manager unobservably chooses the level of risk.
Daniel Gietl, Bernhard Kassner
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