Effect of earnings smoothness on firm performance: a study of Indian National Stock Exchange

Autor:	Shikhil Munjal, Bashir Tijjani, Gurcharan Singh
Rok vydání:	2021
Předmět:	Tobin's q Index (economics) Return on assets Earnings Stock exchange Earnings quality Econometrics Context (language use) Business Business and International Management health care economics and organizations Panel data
Zdroj:	J. for Global Business Advancement. 14:335
ISSN:	1746-9678 1746-966X
DOI:	10.1504/jgba.2021.116723
Popis:	The aim of this study is to empirically examine the impact of earnings smoothness on operational and market performance of Indian National Stock Exchange (NSE) using panel data. The dynamic generalised method of moment is utilised in this study. The study covers a period of seven years (2013-2019) and the sample firms were drawn from companies listed on NSE 500 Index. The results revealed a significant effect of earning smoothing on company's operational as well as market performance. These results are consistent with a number of prior studies which found that both ROA and Tobin's Q affect the earning smoothness. Similarly, firms with non-smooth earnings are significantly affected by only ROA. Findings from this study will enable researchers to understand the role of earnings quality in shaping company decisions, not only in the Indian context, but also for the rest of the world.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_________::c9725d08c7b3571938589c2613e59adf https://doi.org/10.1504/jgba.2021.116723 Zobrazit plný text záznamu