Are the stock prices influenced by the publication of the annual financial statements? Evidence from the Dow Jones Industrial Average

  • Silvia AngilellaEmail author
  • Daniele Morelli
Original Paper


The impact of financial statements on the stock prices of listed companies after its publication has been reported and analyzed in several studies. On the basis of financial reporting, the evaluation of a company’s financial performance requires taking into account a plurality of indicators, which are related to profitability, liquidity and managerial performance. In this paper, we investigate whether the publication of the annual financial statements can influence the stock prices of listed companies. Empirical time series data of companies listed on the Dow Jones Industrial Average (DJIA) are used adopting a regression approach. From a different perspective of other papers the regression model proposed considers stock returns measured from the publication of the form 10-k to the disclosure of the quarterly financial statements in May. The obtained results confirm that stock prices are affected by the publication of the financial statements. Finally, the performed analysis also provides some useful guidelines to managers and investors.


Stock prices Financial and accounting variables Financial statements 



The authors would like to thank the three anonymous Reviewers, whose comments have helped to improve this manuscript.


The first author has benefited of the fund “FFABR” of the Ministry of Education, University and Research of the Italian government.


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Copyright information

© Springer-Verlag GmbH Germany, part of Springer Nature 2019

Authors and Affiliations

  1. 1.Department of Economics and BusinessUniversity of CataniaCataniaItaly

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