Research On Earnings Announcement Effect Of The Informal News Supply Of Individual Investors

In the Internet age,the information supply in the stock market is not limited to the traditional channels of information supply,such as corporate financial reports,formal media reports.The rise of a large number of information open source network platform,investors are information providers,or information demanders,its identity boundary has gradually blurred.The information released by individual investors in the online forum will be recognized and appreciated by other investors,which will eventually lead to changes in the market.As the main way to informal information supply,the stock forum attracts a large number of individual investors' attention.This article is based on 2011-2015 in Internet industry listed 30 company's earnings announcement events as the background,examining informal information supply of individual investors will further complement formal information supply,and the informal information supply will bring what influence to the stock market.It also examines whether informal information supply can improve information asymmetric.This paper uses the literature analysis method through theoretical analysis,and makes empirical analysis by the event study method and multiple regression model.This paper gets the important conclusions through empirical analysis are as follows: at the early stage of the listed company earnings announcement released,informal information supply of individual investors will gradually increase;informal information supply will affect the investors' trading market,the more closer the earnings announcement,the informal information supply will make share price reaction to earnings announcement in advance.It further believes that in the absence of formal information,informal information has information value,can affect the market;in the announcement period,a large of informal messages supply make stock prices reaction to earnings announcements in advance,so when the actual announcement released,timely response of the stock price to the earnings announcement is weakening.Further,under the cover of the formal information,information value of informal information will disappear.