Research On The Impact Of Auditor Change On Stock Synchronization

As capital markets develop and business complexity increases,auditors play an increasingly important role.However,due to the competitiveness of the audit market and the company's independent choice of auditors,it is easy for the company to change auditors.When the management of the company produces an unfair interest claim,it will actively choose an auditor who is consistent with its own opinions,which will have an impact on the soundness of the accounting information and ultimately affect the stock price of the enterprise.As a comprehensive indicator reflecting the financial status,operating results and cash flow of the company,the stock price can effectively measure the difference in the operating efficiency of different enterprises.The effective information contained in the stock price is an important basis for various investors to make investment decisions.The stock price synchronicity is a measure of the stock price information content.The higher stock price synchronicity indicates that the company's stock trait information is less,which is not conducive to investors making accurate judgments,and the capital market information efficiency is low.Therefore,when studying the economic consequences of the auditor's change behavior,it is necessary to combine the macro capital market environment.This paper takes the A-share non-financial listed companies in Shanghai and Shenzhen as the research samples,and systematically examines the impact of auditor changes on stock price synchronicity.The research conclusions show that the auditor's change reduces the information content of the stock price and improves the stock price synchronization.Further research found that in companies with low information transparency and non-state-owned enterprises,the effect of auditor changes leading to a synchronous increase in stock prices is more pronounced.After using the propensity score matching method(PSM),the substitution variable calculation method and the subsample method to conduct the robustness test,the conclusions of this paper are still valid.In the expansive research,it is found that the different direction of the auditor has different effects on the stock price synchronization,and the effect of the downgrade change leading to the stock price synchronization is more significant.The research in this paper helps to theoretically understand the impact of auditor changes on stock price synchronicity,so as to strengthen the supervision and risk prevention of auditor changes and improve the efficiency of resource allocation in capital markets.