The Quality Of Accounting Earnings,Media Attention,and The Risk Of Stock Price Crash

Since the establishment of China's securities market in the 1990 s,it has developed rapidly.However,many problems have been accumulated in the development process.In the development process of less than 30 years,China's securities market has experienced many huge rises and falls.The collapse of stock price has hit the investment enthusiasm of investors,infringed on the interests of investors,affected the continuous operation of the company,and brought a heavy blow to the healthy development of the national economy.Therefore,the research on how to mitigate the risk of stock price crash is of great significance.Stock price crash risk comes from the phenomenon that the management conceal or delay the disclosure of negative corporate news through earnings information manipulation.The manipulation of earnings information is often accompanied by the low quality of accounting earnings.The low quality of accounting earnings usually means the problem of information asymmetry and the cellar of negative news inside the company,and the risk of stock price crash is also high.With the development of multimedia and internet technology,the media has penetrated into every corner of the society and become the most important information disseminator and external supervisor in the securities market.This paper takes the media as the entry point to study whether media attention has played a positive role in restraining the stock price crash and stabilizing the securities market at the present stage.This paper takes the 2013-2017 a-share listed companies as the research sample,and uses the multiple regression model to empirically test how the quality of accounting earnings a ffect s t he sto ck price crash,ho w t he med ia att ent io n and t he emotional tendency of media reports adjust the relationship between the quality of accounting earnings and the risk of stock price crash.The empirical study draws the following conclusions :(1)The quality of accounting earnings is negatively correlated with the risk of stock price crash.The lower the quality of accounting earnings,the more serious the problem of information asymmetry,and the higher the risk of stock price crash.(2)Media attention can weaken the negative correlation between the quality of accounting earnings and the risk of stock price crash.(3)The emotions of media reports can weaken negative correlation between the quality of accounting earnings and the risk of stock price crash.When investing based on financial information,investors are often affected by the content of media coverage.The emotional tendency of the media coverage will affect the corporate image and the market or investors' assessment and expectations of companies' operation and development.It enables investors to have a more comprehensive understanding and comprehensive judgment of enterprises,thus restraining the negative correlation between the quality of accounting earnings and the risk of stock price crash.In this paper,the media attention,the quality of accounting earnings,stock price crash risk are put into a research framework,which enriches the stock price crash risk factors research.From the perspective of media attention,this paper innovatively studies how media attention and emotional tendency of media reports respectively adjust the relationship between the quality of accounting earnings and the risk of stock price crash.This paper innovatively quantifies the emotional tendency of media reports by using the score of emotional tendency of media reports.At present,few studies on the emotional tendency of media reports can accurately quantify the emotional tendency of media reports.The study of this paper is of great significance for improving the quality of accounting earnings of enterprises,giving full play to the utility of media,stabilizing stock prices,reducing the risk of stock price crash and promoting the healthy development of the securities market and even the national economy.