Does NYSE listing affect firm visibility?

H. Kent Baker, Gary E. Powell, Daniel G. Weaver

Research output: Contribution to journalArticlepeer-review

36 Scopus citations

Abstract

Corporate managers often cite improved firm visibility as a motive for listing on the New York Stock Exchange (NYSE). We use three proxies to test this motive: the number of analysts following a firm, the number of institutional shareholders, and the number of shares held by institutions. We compare visibility changes over successive six-month periods for a sample of firms that listed on the NYSE and find that the changes in the post-listing period are less than the changes for the two pre-listing periods. Further tests suggest that increased visibility for a firm is primarily associated with changes in market capitalization, not with listing itself.

Original languageEnglish (US)
Pages (from-to)46-54
Number of pages9
JournalFinancial Management
Volume28
Issue number2
DOIs
StatePublished - 1999
Externally publishedYes

All Science Journal Classification (ASJC) codes

  • Accounting
  • Finance
  • Economics and Econometrics

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