Cookies

We use cookies to ensure that we give you the best experience on our website. By continuing to browse this repository, you give consent for essential cookies to be used. You can read more about our Privacy and Cookie Policy.


Durham Research Online
You are in:

The importance of corporate environmental reputation to investors.

Hussainey, K. and Salama, A. (2010) 'The importance of corporate environmental reputation to investors.', Journal of applied accounting research., 11 (3). pp. 229-241.

Abstract

Purpose – The purpose of this paper is to explore how corporate environmental reputation (CER) affects the association between current annual stock returns and current and future annual earnings. In particular, it seeks to examine the potential usefulness of CER to investors in predicting future earnings. Design/methodology/approach – The paper uses the returns-earnings regression model introduced by Collins et al. to examine the importance of CER for investors. It uses a sample of 889 non-financial firms listed on the London Stock Exchange from 1996 to 2004. Findings – The paper finds that firms with higher levels of CER scores exhibit higher levels of share price anticipation of earnings than firms with lower levels of CER scores. Originality/value – This paper is the first direct evidence that CER contains value-relevant information. Such information is potentially useful to investors in anticipating future earnings.

Item Type:Article
Keywords:Corporate social responsibility, Earnings, Investors, Stock returns, United Kingdom.
Full text:Full text not available from this repository.
Publisher Web site:http://dx.doi.org/10.1108/09675421011088152
Record Created:22 Nov 2010 13:05
Last Modified:26 Oct 2011 15:34

Social bookmarking: del.icio.usConnoteaBibSonomyCiteULikeFacebookTwitterExport: EndNote, Zotero | BibTex
Usage statisticsLook up in GoogleScholar | Find in a UK Library