Journal of the Korea Society of Computer and Information (한국컴퓨터정보학회논문지)

Korean Society of Computer Information (한국컴퓨터정보학회)
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Stock Market reaction of disclosure of technological information and R&D intensity

  • Lee, Posang (Dept. of Finance & Tax Management, Songwon University)
  • Received : 2016.09.24
  • Accepted : 2016.11.09
  • Published : 2016.11.30
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Abstract

This study analyzes the stock market reaction of disclosure of technological information using events which are collected in the Korean stock market for the thirteen-year period between January 2002 and December 2014. We find that abnormal return on the disclosure day of full sample firms is positive and statistically significant. However, abnormal return of high R&D intensity subsample is a larger positive number than that of the low one. Using a longer window, it shows that low R&D intensity negatively decreases the long term performance after the adoption of new technological information. The empirical evidence of the studying is expected to serve as a good judging guide-line for the investors.

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