Analyst Following Intensity and Annual Report Disclosure Timeliness

Overseas Chinese College, Capital University of Economics and Business, Beijing, China

^* Corresponding author: fraser2004816@gmail.com

Abstract

As the capital market improves, analysts serve as information intermediates, not only transmitting information to market investors but also playing an important role in information governance and are important participants in financial activities. Annual reports are a significant source of information disclosure for publicly traded firms. They allow investors, creditors, and other stakeholders to understand the company’s operating conditions and financial performance throughout the reporting period. The impact of analyst following on the timeliness of annual report disclosure in Chinese A-share listed businesses between 2021 and 2023 is empirically examined in this article. The statistics reveal that during the sample period, companies with a higher following intensity had better annual report disclosure timeliness. This finding provides a new perspective on how listed companies disclose information, and it offers more proof that the attributes of the company and the external monitoring function of analysts play a moderating effect in information disclosure.