2. Semi-annual performance forecast: before July 15 of the reporting year.
Performance forecast refers to the performance forecast made by listed companies on the reporting day before the announcement of accounting reports. Performance forecast is essentially a forecast report on the profitability of listed companies in the next year or quarter. Its purpose is to avoid the sharp fluctuation of the company's share price when the accounting report is officially released, so as to release the performance risk in advance and protect the interests of small and medium-sized investors and other information vulnerable groups.
economic consequences
1, market reaction of performance forecast information
Early research found that management performance forecast has information content, because it affects stock prices. After confirming the valuable relevance of management performance forecast, the follow-up research turned to study whether the characteristics of performance forecast information affect the information content or stock price of the forecast. When the company has established a reputation for forecasting, the stock price is more sensitive to good news forecasting. How the stock market reacts also depends on the type of additional information attached to the management's advance notice. Compared with the forecast released at the same time as the earnings announcement, the information of individual forecast is more.
2. Performance forecast information and cost of capital
Involuntary disclosure of economic theory, especially disclosure commitment, can reduce information asymmetry, which will lead to low capital cost.
3. Performance forecast information and earnings management
Management can't directly influence the reaction of their share price or cost of capital to performance forecast, but it can influence the news they finally report. This control over the subsequent profit figures only leads many people to worry that the management who provides performance forecasts will engage in profit management or potentially manipulate profit projects in the future to achieve their forecast goals.
4, performance forecast information and analyst behavior.
Analysts modify the forecast according to the company's performance forecast. Because companies provide more performance forecasts, the number of analysts covering a company becomes more.
5, performance forecast information and investor behavior.
The economic model predicts that the expansion of the company, including the disclosure of the management performance forecast, will be related to the growth investment of the company's stock. The continuous growth of H-share performance forecast has led to the increase of institutional investors' holdings. However, not all institutional investors' shareholding is positively related to company information disclosure.