Accession Number : ADA186550

Title :   Analysis Earnings Forecast: An Alternative Data Source for Failure Prediction.

Descriptive Note : Technical rept. Sep-Nov 86,

Corporate Author : NAVAL POSTGRADUATE SCHOOL MONTEREY CA

Personal Author(s) : Moses, O D

PDF Url : ADA186550

Report Date : Nov 1986

Pagination or Media Count : 39

Abstract : This study investigates four properties of earnings forecasts made by financial analysts to determine if systematic differences in these properties exists failing and healthy firms. The four properties are: The level of forecasts, forecast error, forecast bias, and forecast dispersion. Measures reflecting the four properties are used in models to distinguish failing and healthy firms and predict future bankruptcy. Results indicate that measures developed from analysts forecasts of future earnings can be exploited to distinguish failing from healthy firms.

Descriptors :   *FINANCIAL MANAGEMENT, *ECONOMIC ANALYSIS, *INCOME, ANALYSTS, BANKRUPTCY, BIAS, DISPERSING, ERRORS, FAILURE, FINANCE, FORECASTING, PREDICTIONS

Subject Categories : Economics and Cost Analysis

Distribution Statement : APPROVED FOR PUBLIC RELEASE