Assessment of the effect of news announcements on stock prices of oil- and gas-producing companies

Thesis/Dissertation · Fri Jan 01 04:00:00 EST 1982

OSTI ID:6029388

Wright, C J

This dissertation assumes capital-market efficiency and addresses two research questions: (1) do news announcements concerning activities of nonintegrated oil- and gas-producing companies affect the companies' common stock prices; and (2) are announcements concerning nonintegrated oil and gas companies' financial, personnel, explorational, and developmental and operational activities used equally by investors in their decision-making. The following conclusions were made: (1) news announcements concerning explorational activities and developmental and operational activities of nonintegrated oil- and gas-producing companies are rapidly reflected in companies' security prices (since these two announcement-types are related primarily to information concerning changes in reserve quantities, it appears that investors do seek and respond to reserve quantity information); and (2) since security prices of oil and gas producers do appear to respond to news announcements, researchers engaged in market-type analyses of individual oil- and gas-producing companies' securities should expand their research to include examination of the company-related news announcements appearing during their research period.

• OSTI ID: 6029388
• Country of Publication: United States
• Language: English

Related Subjects

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020700* -- Petroleum-- Economics
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CAPITAL
FINANCING
INDUSTRY
INFORMATION
NATURAL GAS INDUSTRY
PETROLEUM INDUSTRY
PRICES