The DOI matches its Crossref record; 8 of the 8 references it cites were found in a registry or an index.
Don't Believe the Hype: Local Media Slant, Local Advertising, and Firm Value
Abstract
When local media report news about local companies, they use fewer negative words compared to the same media reporting about nonlocal companies. We document that one reason for this positive slant is the firms' local media advertising expenditures. Abnormal positive local media slant strongly relates to firm equity values. The effect is stronger for small firms; firms held predominantly by individual investors; and firms with illiquid or highly volatile stock, low analyst following, or high dispersion of analyst forecasts. These findings show that news content varies systematically with the characteristics and conflicts of interest of the source.
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Cites
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On Persistence in Mutual Fund Performance
Carhart, M. M. (1997) · The Journal of Finance · doi:10.1111/j.1540-6261.1997.tb03808.x · Cited by 17,283
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“We prefer this method to using a fraction of positive words to total words because negative information may have more impact than positive information (see Tetlock (2007), Baumeister et al. (2001), and Rozin and Royzman (2001)).”
Shleifer, A., & Vishny, R. W. (1997) · The Journal of Finance · doi:10.1111/j.1540-6261.1997.tb03807.x · Cited by 5,291
Giving content to investor sentiment: The role of media in the stock market
TETLOCK, P. C. (2007) · The Journal of Finance · doi:10.1111/j.1540-6261.2007.01232.x · Cited by 4,827
Negativity Bias, Negativity Dominance, and Contagion
Rozin, P., & Royzman, E. B. (2001) · Personality and Social Psychology Review · doi:10.1207/s15327957pspr0504_2 · Cited by 4,342
Cited by
Wisdom of Crowds: The Value of Stock Opinions Transmitted Through Social Media
Chen, H., De, P., Hu, Y. (., & Hwang, B.-H. (2014) · Review of Financial Studies · doi:10.1093/rfs/hhu001 · Cited by 1,251
The Causal Impact of Media in Financial Markets
ENGELBERG, J. E., & PARSONS, C. A. (2011) · The Journal of Finance · doi:10.1111/j.1540-6261.2010.01626.x · Cited by 1,121
Disclosure processing costs, investors’ information choice, and equity market outcomes: A review
Blankespoor, E., deHaan, E., & Marinovic, I. (2020) · Journal of Accounting and Economics · doi:10.1016/j.jacceco.2020.101344 · Cited by 1,076
IPO first-day returns, offer price revisions, volatility, and form S-1 language
Loughran, T., & McDonald, B. (2013) · Journal of Financial Economics · doi:10.1016/j.jfineco.2013.02.017 · Cited by 537
Manipulation of online reviews: An analysis of ratings, readability, and sentiments
Hu, N., Bose, I., Koh, N. S., & Liu, L. (2012) · Decision Support Systems · doi:10.1016/j.dss.2011.11.002 · Cited by 530
Metadata
- Authors
- GURUN, U. G., & BUTLER, A. W.
- Venue
- The Journal of Finance
- Publisher
- Wiley
- Published
- 2012-03-27
- Volume
- 67
- Issue
- 2
- Pages
- 561-598
- ISSN
- 0022-1082 (ISSN-L)
- 1540-6261
- OpenAlex
- W2148905644
- Cited by
- 612
- References
- 8
- FWCI
- 47.76
- Type
- journal article
- Language
- en
- Open access
- closed
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- GURUN, U. G., & BUTLER, A. W. (2012). Don't Believe the Hype: Local Media Slant, Local Advertising, and Firm Value. The Journal of Finance. https://doi.org/10.1111/j.1540-6261.2012.01725.x
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Bibliographic data: Semantic Scholar, OpenAlex, Crossref.
Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.
