Research | John R. M. Hand

SCHOLARSHIP & RESEARCH of Prof. John R. M. Hand

Opinion pieces

[1] “Racial underrepresentations of and bias against Black and Hispanic executives: Is it real, and what does the future hold for executive racial representations and why?” (3/25/25)

Published or forthcoming in refereed journals

[46] “Racial/ethnic misrepresentation of and bias against minority executives” with S. Bermiss and J. Green. Journal of Economics, Race & Policy, Sept. 2024.

Media mentions:

C-Suite demographics are less racially biased than they seem (Chicago Booth Review, 12/9/24)

[45] ““Does greater diversity in executive race/ethnicity reliably predict better future firm financial performance?” with S. Bermiss and J. Green. Journal of Economics, Race & Policy, Mar. 2024, 7(1): 45-60.

Selection of media mentions:

What Trump’s war on DEI means for business (Callum Borchers, WSJ, 2/2/25)
You can’t blame DEI for failures at work anymore (Callum Borchers, WSJ, 1/21/25)
Do diverse leadership teams produce better performance? (Chicago Booth Review, 6/11/24; most visited article on CBR in June 2024)
Boardroom diversity revisited (IEDP Editorial, 4/17/24)
There’s no “business case” for diversity (The Daily Sceptic, 4/3/24)

[44] “McKinsey’s diversity matters/delivers/wins results revisited in S&P 500^® firms” with J. Green. Economic Journal Watch, Mar. 2024, 21(1):5-34.

Podcast about the paper on EJW 3/31/2024

Selection of media mentions:

The Economics of DEI and Merit (Roland Fryer, WSJ, 3/7/25)
McKinsey joins the stampede of corporations retreating from DEI (Pamela Danzinger, Wall Street Journal, 1/8/25)
They helped create DEI—and even they say it needs a makeover (Callum Borchers, Wall Street Journal, 12/26/24)
Diversity was supposed to make us rich. Not so much. (StreetWise by James Mackintosh, Wall Street Journal, 6/28/24)
Study linking ethnic diversity with performance questioned by academics (Personnel Today, 4/12/24)
About those studies that show how DEI programs boost corporate earnings (Washington Examiner, 4/4/24)
Seminal ‘Diversity = Profits’ research doesn’t fare well under the microscope (Richard Bernstein, Real Clear Investigations, 10/14/21)
Does diversity deliver? We don’t know yet—and here’s why (Board Agenda, Sept. 2021).
Is McKinsey wrong about the financial benefits of diversity? (Sarah Todd, Quartz, 7/29/21)

[43] “A reinvestigation of the stock price reactions to announcements of Black top executive appointments” with S. Bermiss and J. Green. Journal of Management Scientific Reports (Nov. 2023)

[42] “The Asymmetric Mispricing Information in Analysts’ Target Prices” with J. Green and A. Sikochi. Review of Accounting Studies (October 2022).

[41] “Explaining firms’ signed earnings announcement stock returns using FactSet and I/B/E/S data feeds” with H. Laurion, A. Lawrence, and N. Martin. Review of Accounting Studies (2021).

[40] “Hedge fund voluntary disclosure” with G. Cassar, J. Gerakos, J. Green, and M. Neal (deceased). The Accounting Review, March 2018, Vol. 93, 2:117-135.

[39] “The use of RI and DCF valuation models by U.S. sell-side equity analysts” with J. Coyne, J. Green, and F. Zhang. Journal of Financial Reporting, Spring 2017, Vol. 2, No. 1:1-29.

[38] “The characteristics that provide independent information about average U.S. stock returns” with J. Green and F. Zhang. Review of Financial Studies, 2017, 30 (12): 4389-4436.

[37] “Errors and questionable judgments in analysts’ DCF valuation models” with J. Green and F. Zhang. Review of Accounting Studies, 2016, 21(2), 596-632.

[36] Discussion of “Customer franchise—A hidden, yet crucial, asset.” Contemporary Accounting Research, 2015.

[35] “The supraview of return predictive signals” with J. Green and X.F. Zhang. Review of Accounting Studies, 2013, 18(3), 692-730.

[34] “Employee compensation in entrepreneurial companies” with O. Bengtsson. Journal of Economics & Management Strategy, 2013, 22, 312-340.

[33] “Are hedge funds systemically important?” with G. Brown and J. Green. Journal of Derivatives, Winter 2012.

[32] “Going, going, gone? The apparent demise of the accruals anomaly” with J. Green and M.T. Soliman. Management Science, 2011, 57(5), 797-816.

[31] “CEO compensation in venture-backed firms” with O. Bengtsson. Journal of Business Venturing. 2011, 26, 4: 391-411 [Lead article].

[30] “The importance of accounting information in portfolio optimization” with J. Green. Journal of Accounting, Auditing & Finance, 2011, 26: 1-34 [Lead article].

[29] “Market-to-revenue multiples in public and private capital markets” with C. Armstrong, A. Davila and G. Foster. Australian Journal of Management, 2011, 36 (1): 15-57.

[28] “Give everyone a prize? Employee stock options in venture-backed companies.” Journal of Business Venturing, 2008, 23 (4): 385-404 [Lead Article].

[26] Discussion of “”Accounting for software development costs and the cost of capital: Evidence from IPO underpricing in the software industry”. Journal of Accounting, Auditing & Finance, Spring 2008, Vol. 23 (2): 305-310.

[25] “Biases in multi-year management financial forecasts: Evidence from private venture-backed U.S. companies” with C. Armstrong, A. Dávila and G. Foster. Review of Accounting Studies, 2007, Vol. 12, Nos. 2-3, 183-215 [Lead article].

[24] “Determinants of the round-to-round returns to pre-IPO venture capital investments in U.S. biotechnology companies.” Journal of Business Venturing, Vol. 22, 1-28, 2007 [Lead article].

[23] “The value relevance of financial statements in venture capital markets.” The Accounting Review, 613-648, 2005.

[22] “The stock price reaction to the repricing of executive stock options” with B. Murray and Ken Klassen. Contemporary Accounting Research, Vol. 22 (4), 791-828, 2005.

[21] “Accrual components, earnings forecasting, and equity values” with M. Barth, W. Beaver, and W. Landsman. Journal of Accounting, Auditing & Finance, Vol. 32, 3-4, 435-776, 2005.

[20] “The pricing of dividends in equity valuation.” with W. Landsman. Journal of Business Finance & Accounting, 435-469, 2005 [Lead article].

[19] “Discussion of ‘Earnings surprises, growth expectations, and stock returns, or, Don’t let an earnings torpedo sink your portfolio,” by R. Sloan and D. Skinner. Review of Accounting Studies, Vol. 7, Nos. 2/6, 313-318, 2002.

[18] “The role of economic fundamentals, web traffic, and supply and demand on the pricing of U.S. Internet stocks.” European Finance Review, Vol. 5, 295-317, 2001.

[17] “Earnings or cash flow?” with M. Barth, W. Beaver, and W. Landsman. Investor Relations Quarterly, Vol. 4, 4, 2001.

[16] Discussion of ‘Earnings, book values, and dividends in equity valuation: An empirical perspective’ by J. Ohlson.” Contemporary Accounting Review, Vol. 18, No 1, Spring 2001.

[15] “Valuing deferral: The effect of permanently reinvested foreign earnings on stock prices”, with J. Collins and D. Shackelford. In International Taxation and Multinational Activity edited by Jim Hines (University of Chicago Press), 2001.

[14] “Accruals, cash flow and equity value,” with M. Barth, W. Beaver, and W. Landsman. Review of Accounting Studies Conference, 1999.

[13] “The implicit economic penalties in SEC investigations into underwriters” with R. Beatty and H. Bunsis. Journal of Financial Economics, Vol. 50, 2, 1998.

[12] “The economic determinants of accounting choices: The unique case of equity carve-outs under SAB 51” with T. Skantz. Journal of Accounting & Economics 24, 1997.

[11] “Individuals’ perceptions and misperceptions of the time-series properties of quarterly EPS” with L. Maines. The Accounting Review, July 1996. Abstract solicited by I/B/E/S International Inc. for inclusion in their Fifth Edition of the Annotated Bibliography: Earnings Expectations Research.

[10] “Advocating the value of experimental methods in conducting policy-relevant accounting research” with L. McDaniel. Contemporary Accounting Research, Spring 1996.

[9] “1974 LIFO excess stock return and analyst forecast error anomalies revisited.” Journal of Accounting Research, Spring 1995.

[8] “Resolving LIFO uncertainty: a theoretical and empirical reexamination of 1974-1975 LIFO adoptions and non-adoptions.” Journal of Accounting Research, Spring 1993.

[7] “The causes and effects of mandated accounting standards: SFAS No. 94 as a test of the level playing field theory” with R. Beatty. Journal of Accounting, Auditing and Finance, Fall 1992.

[6] “The effect of bond rating announcements on bond and stock prices,” with R. Holthausen and R. Leftwich. Journal of Finance, June 1992.

[5] “Extended functional fixation and security returns around earnings announcements: A reply to Ball and Kothari.” The Accounting Review, October 1991.

[4] “The motives and consequences of debt-equity swaps and defeasances: more evidence that it does not pay to manipulate earnings” with P. Hughes. The Continental Bank Journal of Applied Corporate Finance, Fall 1990.

Reprinted in The 1991 Corporate Finance Reader (Ed. R. W. Kolb).
Condensed in The Bowne Review for CFOs & Investment Bankers, Feb. 1991.

[3] “A test of the extended functional fixation hypothesis.” The Accounting Review, October 1990 Lead article].

[2] “Insubstance defeasances: security price reactions and motivations” with P. Hughes and S. Sefcik. Journal of Accounting & Economics, May 1990.

[1] “Did firms undertake debt-equity swaps for an accounting paper profit or true financial gain?” The Accounting Review, October 1989 [Lead article].

Published but not refereed:

“What drives the top line? Determinants of sales revenue in private venture-backed firms.” In The Oxford Handbook of Venture Capital, Oxford University Press (2012), Editor Douglas Cumming.

“Time to grow up: Large sample evidence on the maturation dynamics of private venture-backed firms.” In Venture capital: Investment strategies, structures, and policies, Ed. Douglas Cumming, Blackwell (2010).

“The market valuation of biotechnology firms and biotechnology R&D.” Solicited for Venture Capital Contracting and the Valuation of High Tech Firms, eds. McCahery & Renneboog, Oxford University Press, 2004. Other contributors include Hellmann (Stanford), Kaplan and Stromberg (Chicago), Rajan and Servaes (Chicago, LBS), Trigeorgis and Smit (Erasmus), Gilson and Black (Columbia and Stanford), Lerner (Harvard).

“The New Economy: Pricing of Securities.” Solicited for The New Economy Handbook, ed. D. Jones, Elsevier Science, Fall 2003.

“Profits, losses and the nonlinear pricing of Internet stocks.” In Intangible Assets: Values, Measures and Risks, eds. J.R.M. Hand and B. Lev (Oxford University Press), 2003. The book is a collection of papers on Intangible Assets for Ph.D. students and advanced MBAs. Authors include Shapiro (Berkeley), Varian (Berkeley), Romer (Stanford), Bond (Federal Reserve Board), Lev (NYU), Sougiannis (Illinois), Barth and Kasznik (Stanford), Darby and Zucker (UCLA), Aboody (UCLA), Lakonishok (Illinois), Morck (Alberta), and Yeung (NYU).