Earnings Announcements and Investor Focus in the Hospitality Industry
No Access Until
This study examines how the release of multiple firms’ earnings announcements on the same day combines with human attention constraints to affect the trading of hospitality stocks. We document two opposing effects. We find that a rush of earnings announcements from nonhospitality firms leads to investor distraction and reduces the reaction of hospitality stocks to earnings news. Conversely, we find that multiple announcements by firms within the hospitality sector lead to increased investor focus and larger hospitality stock reactions to news. Our results show that multiple announcements can either diminish or enhance investors’ reactions to company news, which directly affects the incorporation of new information into hospitality stock prices.
Journal / Series
Volume & Issue
investor distraction; hospitality stocks; earnings announcements; market efficiency
Number of Workers
Based on Related Item
Has Other Format(s)
Part of Related Item
Link(s) to Related Publication(s)
Link(s) to Reference(s)
Previously Published As
Required Publisher Statement: Copyright held by the authors.