PT - JOURNAL ARTICLE AU - John C. Alexander, Jr AU - James S. Ang TI - The Market Response to Low-Balling Earnings Expectations AID - 10.3905/joi.1999.319392 DP - 1999 Feb 28 TA - The Journal of Investing PG - 57--64 VI - 8 IP - 1 4099 - https://pm-research.com/content/8/1/57.short 4100 - https://pm-research.com/content/8/1/57.full AB - After controlling for the content of earnings information over the quarter, security returns measured over the entire quarter are affected by the path of earnings expectations during the quarter. This research uncovers cases consistent with low-balling, in which negative information elicits a positive market response. There are also observed cases consistent with high-balling, in which positive information elicits a negative or zero market response.