The role of earnings management on the relationship between shareholder attention and stock undervaluation

Subject Areas : Stock Exchange

Hadi Ghafari ¹ , Donya Ahadian Poor Parvin ^{2 *} , Khadijeh Khodabakhshi Parijan ³

1 - Master's student, Department of Accounting, West Tehran Branch, Islamic Azad University, Tehran, Iran
2 - Assistant Professor, Department of Accounting, West Tehran Branch, Islamic Azad University, Tehran, Iran
3 - Assistant Professor, Department of Accounting, West Tehran Branch, Islamic Azad University, Tehran, Iran

Received: 2024-08-07 Accepted : 2025-03-03 Published : 2025-06-22

Keywords: shareholders' attention, earnings management, stock undervaluation,

Abstract :

The role of earnings management on the relationship between shareholder attention and stock undervaluation Abstract Valuation of company shares is one of the most important and the most complex economic concepts in any financial market, which is influenced by several factors. The aim of this research was to investigate the moderating role of earnings management on the relationship between shareholders' attention and stock undervaluation. This research is a post-event research (use of past information) in the library method, it is applied in terms of purpose and descriptive, analytical-correlative in terms of nature. The statistical population of this research is the companies listed in the Tehran Stock Exchange between 2016-2022. Based on the systematic elimination method, 130 companies were selected as a statistical sample, and a multivariate regression model was used to test the hypotheses. The results of the research have shown that the attention of shareholders has a significant effect on the stock undervaluation. Also, according to the obtained results, earnings management moderates the effect of attention of shareholders on stock undervaluation. Keywords: shareholders' attention, earnings management, stock undervaluation

References:


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