Judgement effects of familiarity with an analyst's name.
Date of Issue2011
College of Business (Nanyang Business School)
In this study, I provide experimental evidence on how familiarity with the analyst's name (induced by prior exposure to the name) influences investors' judgments. I find that in the absence of the performance cue about the analyst, exposure to the analyst's name enhances the perceived analyst credibility, which in turn influences the investors' earnings estimates and investment intentions. The effect of exposure on investors' reactions to the analyst's earnings forecast is less likely in the presence of the performance cue about the analyst (compared to the situation when the performance cue is absent).
Nanyang Technological University