An Examination of the Listing of Analyst Coverage on Corporate Websites*

We examine the decision of firms to list analysts covering their stocks on their corporate websites. We find that an analyst’s experience following the firm increases the likelihood of being listed but other aspects of analyst ability and reputation, such as experience in the profession, All-Star status and forecast accuracy, have no effect on the likelihood. We also find that analysts with more favorable opinions and analysts who issue beatable forecasts are more likely to be listed. Finally, we find that investors react more strongly to earnings forecast revisions by analysts who are listed than those who are not, suggesting that these listings increase investors’ awareness of listed analysts.