Accounting anomalies and fundamental analysis: A review of recent research advances

Scott Richardson, Irem Tuna, Peter Wysocki

Research output: Contribution to journalArticle

128 Citations (Scopus)

Abstract

We survey recent research in accounting anomalies and fundamental analysis. We use forecasting of future earnings and returns as our organizing framework and suggest a roadmap for research aiming to document the forecasting benefits of accounting information. We combine this with opinions from the academic and practitioner communities to critically evaluate key clusters of papers about accounting anomalies and fundamental analysis disseminated over the last decade. Finally, we provide a new analysis on how an ex ante and ex post treatment of risk and transaction costs affects the accrual and PEAD anomalies, and offer suggestions for future research.

Original languageEnglish (US)
Pages (from-to)410-454
Number of pages45
JournalJournal of Accounting and Economics
Volume50
Issue number2-3
DOIs
StatePublished - Dec 2010

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Anomaly
Fundamental analysis
Accounting information
Survey research
Transaction costs
Organizing
Roadmap

Keywords

  • Accruals
  • Anomalies
  • Forecasting
  • Fundamental analysis
  • Market efficiency
  • Risk

ASJC Scopus subject areas

  • Accounting
  • Economics and Econometrics
  • Finance

Cite this

Accounting anomalies and fundamental analysis : A review of recent research advances. / Richardson, Scott; Tuna, Irem; Wysocki, Peter.

In: Journal of Accounting and Economics, Vol. 50, No. 2-3, 12.2010, p. 410-454.

Research output: Contribution to journalArticle

Richardson, Scott ; Tuna, Irem ; Wysocki, Peter. / Accounting anomalies and fundamental analysis : A review of recent research advances. In: Journal of Accounting and Economics. 2010 ; Vol. 50, No. 2-3. pp. 410-454.
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