Accounting and Auditing Research

Accounting and Auditing Research

Analyst Coverage, Management Myopia and Investment Opportunities: A Study of analysts’ monitoring and pressure roles

Document Type : Original Article

Authors
1 Department of Accounting, Faculty of Literature and Humanities, Ilam University, Ilam, Iran.
2 department of accounting, college of management and economic, lorestan university, khoramabad, iran
3 Assistant Professor, Department of Accounting,, Faculty of Management and Economic, Lorestan University, Khoramabad, Iran
10.22034/iaar.2025.493469.1799
Abstract
The purpose of this research is to investigate the role of investment opportunities on the relationship between analyst coverage and management Myopia. In order to test the hypotheses of the research, a number of 166 companies were selected as a statistical sample during the years 2013 to 2022, and in order to analyze the data from the multivariable regression model using panel data, the results were investigated. The results of the first hypothesis test of the research showed that there is a positive and significant relationship between the analyst coverage variable and the dependent variable, i.e. management myopia; In other words, analyst coverage exacerbates managerial myopia. In addition, the results of the second hypothesis test showed that investment opportunities moderate the relationship between analyst coverage and management myopia. In other words, the interaction between analyst coverage and investment opportunities reduces managerial myopia. Investment opportunities have a moderating role in the relationship between analyst coverage and management myopia. Hence, investors can consider investing in companies with higher analyst coverage to protect their investment. The results of this research can help in the proper selection of investors, the correct assessment and advice of consultants and analysts, the decision-making and planning of company managers, as well as the direction and control of the capital market and macroeconomics by the statesmen.
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Articles in Press, Accepted Manuscript
Available Online from 05 May 2025