ANALYST RESPONSES TO THE ANNOUNCEMENTS OF SYNDICATED LOAN APPROVAL IN TAIWAN

Chia-Jung Tu

《Advances in Investment Analysis and Portfolio Management》 8期 (2017/05) Pp. 67-81

https://doi.org/10.6291/AIAPM.2017.08.03

摘要

This study uses the data for listed companies in Taiwan from 1995 to 2010 to examine whether analyst earnings forecasts and absolute forecast errors are different for the companies that obtained approval for their syndicated loan application and the matching companies. The empirical results indicate that the magnitudes of the changes in the analysts EPS forecasts for the approved companies are similar to those of the matching companies. Additionally, the absolute forecast errors made by the analysts for the approved companies reveal no statistically significant difference with those made by analysts for the matching companies. Apparently, companies that obtained loan approval do not experience better operating performance. Therefore, there is no significant information effect from the announcement of syndicated loan approval.

關鍵字

Syndicated Loan ； Earnings Forecast ； Information Effect ； Absolute Forecast Error

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