A Phenomenon of the Market: Stock Market-Based Mergers and Acquisitions
New research explains who acquires whom, whether payment is made in cash or stock, what valuation consequences arise from mergers, and why there are merger waves.
Content: Article | Authors: Andrei Shleifer, Robert W. Vishny | Source: Capital Ideas | Subject: Finance
Understanding Investor Sentiment: You Can Profit From Investor Mistakes
What happens when important news hits the financial markets? Suppose a company reports earnings much higher than expected or announces a big acquisition. Traders and investors rush to digest the information and push stock prices to a level they think is consistent with what they have heard. But do they get it right? Do they react properly to the news they receive? Recent evidence suggests … [ Read more ]
Content: Article | Authors: Nicholas Barberis, Robert W. Vishny | Source: Capital Ideas | Subject: Finance | Industry: Investing