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Analysts’ recommendations on peer-relative comparable sustainability disclosure

Author

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  • Nazari, Jamal A.
  • Poursoleyman, Ehsan

Abstract

This study delves into the financial impact of standardized sustainability disclosure on industry-wide risks and opportunities. Focusing on U.S. firms adhering to Sustainability Accounting Standards Board standards, our findings reveal heightened analyst coverage and favorable recommendations. Notably, these recommendations favor buy positions while discouraging sell positions. The research provides ex-post evidence on the financial implications of peer-relative standardized sustainability reporting, highlighting its value relevance for financial analysts’ recommendations.

Suggested Citation

  • Nazari, Jamal A. & Poursoleyman, Ehsan, 2024. "Analysts’ recommendations on peer-relative comparable sustainability disclosure," Finance Research Letters, Elsevier, vol. 64(C).
    • Handle: RePEc:eee:finlet:v:64:y:2024:i:c:s1544612324005166
    DOI: 10.1016/j.frl.2024.105486
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    References listed on IDEAS

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    More about this item

    Keywords

    Analysts’ recommendations; ISSB; Materiality; Peer-relative sustainability; SASB;
    All these keywords.

    JEL classification:

    • G14 - Financial Economics - - General Financial Markets - - - Information and Market Efficiency; Event Studies; Insider Trading
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility

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