Artikis, P., Diamantopoulou, L., & Papanastasopoulos, G. (2022). Asset Growth and Stock Returns in European Equity Markets: Implications of Investment and Accounting Distortions. Journal of Corporate Finance, 73, Article ID: 102193.
https://doi.org/10.1016/j.jcorpfin.2022.102193

has been cited by the following article:

• TITLE: Do Fictitiously High Asset Growth Rates Drive the Asset Growth Anomaly?

  AUTHORS: Panagiotis Artikis, Georgios Papanast Asopoulos, Evangelos Sfakianakis, Lydia Diamantopoulou

  KEYWORDS: Asset Growth, Stock Returns, Earnings Manipulation, Mispricing

  JOURNAL NAME: Theoretical Economics Letters, Vol.13 No.3, June 30, 2023

  ABSTRACT: Purpose: This paper investigates whether the well-documented asset growth anomaly can be related to information uncertainty due to earnings management. Design/Methodology/Approach: We perform both portfolio-based and regression-based analyses. We employ the 5 Variable Version of the Beneish model (Beneish, 1999) as an earnings management proxy and Piotroski’s (2000) FSCORE as a proxy for firms’ fundamental strength. Findings: Overall, our evidence suggests that the asset growth anomaly can be driven by high asset growth firms, manipulating their accounting figures. Originality: Given the implicit inferences that attribute the phenomenon to earnings management mainly by employing country-level proxies, we provide new insights by employing variables measured at the firm level.