Sentiment and stock returns: anticipating a major sporting event

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F67985998%3A_____%2F18%3A00492943" target="_blank" >RIV/67985998:_____/18:00492943 - isvavai.cz</a>

Výsledek na webu

<a href="http://dx.doi.org/10.1177/1527002516684170" target="_blank" >http://dx.doi.org/10.1177/1527002516684170</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.1177/1527002516684170" target="_blank" >10.1177/1527002516684170</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Sentiment and stock returns: anticipating a major sporting event

Popis výsledku v původním jazyce

This study documents the effect of the Super Bowl on the stock returns of firms that are geographically associated with the competing teams. We find significant upward return drift in the 9 trading days leading up to the Super Bowl, a pattern consistent with investors trading in anticipation of the game itself. The ‘‘anticipatory behavior’’ among investors leads to widespread pregame returns, which is not documented in prior studies. These pre-event abnormal returns are positive and statistically and economically significant for all firms, and the size of pre-event returns variesnaccording to each team’s favored status. In addition, firms associated with the winning team exhibit significant positive return drift over the 10-day period after their win. Firms associated with the losing team exhibit moderate downward drift. Our findings are strongest among the smallest quintile of firms and are robust to various risk adjustments and using a matched sample control group. The collective findings suggest that only by standing on the sideline will investors avoid winning around the Super Bowl.

Název v anglickém jazyce

Sentiment and stock returns: anticipating a major sporting event

Popis výsledku anglicky

This study documents the effect of the Super Bowl on the stock returns of firms that are geographically associated with the competing teams. We find significant upward return drift in the 9 trading days leading up to the Super Bowl, a pattern consistent with investors trading in anticipation of the game itself. The ‘‘anticipatory behavior’’ among investors leads to widespread pregame returns, which is not documented in prior studies. These pre-event abnormal returns are positive and statistically and economically significant for all firms, and the size of pre-event returns variesnaccording to each team’s favored status. In addition, firms associated with the winning team exhibit significant positive return drift over the 10-day period after their win. Firms associated with the losing team exhibit moderate downward drift. Our findings are strongest among the smallest quintile of firms and are robust to various risk adjustments and using a matched sample control group. The collective findings suggest that only by standing on the sideline will investors avoid winning around the Super Bowl.

Druh

J_imp - Článek v periodiku v databázi Web of Science

CEP obor

—

OECD FORD obor

50206 - Finance

Projekt

<a href="/cs/project/GA14-27047S" target="_blank" >GA14-27047S: Extrémní výkyvy na kapitálových trzích: teorie, empirie a regulační perspektiva</a><br>

Návaznosti

P - Projekt vyzkumu a vyvoje financovany z verejnych zdroju (s odkazem do CEP)

Rok uplatnění

2018

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

Journal of Sports Economics

ISSN

1527-0025

e-ISSN

—

Svazek periodika

19

Číslo periodika v rámci svazku

6

Stát vydavatele periodika

US - Spojené státy americké

Počet stran výsledku

30

Strana od-do

843-872

Kód UT WoS článku

000438594500004

EID výsledku v databázi Scopus

2-s2.0-85049922423